Abstract: A telephone cord reel is particularly suited for use in airplanes, motor vehicles, and other places where space is limited. The reel contains a section of telephone cord and a hollow, cylindrical spool having helical channels around which the cord winds. The reel also contains a cord guide assembly having a track-mounted cord guide with a protrusion which engages the helical channels of the spool such that the cord guide moves along the track as the spool rotates to guide the cord into the proper channel. The reel further contains a biasing spring to provide a force to wind the cord and a ratchet assembly to hold the cord in a desired position against the force applied by the biasing spring. Finally, the reel contains an electrical contact assembly which enables the portion of the cord on the spool to rotate freely from the portion of the cord running to the telephone base.