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Help Which contacts sync to use

I just got a new Alcatel Idol 3 (my previous phone, an iPhone 5C was stolen two hours before I activated the new Alcatel). I had already ported the number from Verizon to Cricket, for use with the new phone). I've been given a choice for syncing my contacts:

1. Sync Phone only

2. SIM card only, unsynced SIM card

Which is the preferred method? Pros? Cons?

I have a Yahoo email account, but would prefer to use the My contacts.CSV that I downloaded from Verizon. I'm now with Cricket.
 
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