can someone explain Bluetooth to me. I know it can be used on iPads, but I don't understand if there would be any charges associated with it.

BlueTooth is a short range communication standard. It basically eliminates the need for a cable between your cell phone and a hands free device, for example, or from a keyboard to an iPad.

There are no charges associated with its use.

It depends on your particular model iPhone, but yes.

This is also called "tethering".

iOS: System requirements for Personal Hotspot

iOS: Understanding Personal Hotspot

iOS: Troubleshooting Personal Hotspot

I have to qualify my earlier answer though - there are no charges associated with Bluetooth other than what your cellular carrier already charges for your data plan. You can't avoid that.

edithfrompowell river wrote:

... Either way there are no extra charges other than wha my carrier already charges. Right?

Right.

Bluetooth and your Wi-Fi network are totally separate. They don't need each other to function.

iOS: Understanding Personal Hotspot

http://support.apple.com/kb/HT4517

Use Bluetooth to tether your iPhone, iPod touch, or iPad

http://www.macworld.com/article/1159258/bluetooth_tethering.html

How to Connect an iPad to an iPhone Via Bluetooth Tethering

http://techtips.salon.com/connect-ipad-iphone-via-bluetooth-tethering-25472.html

 Cheers, Tom 😉