Wireless

Wireless

by Mike Masnick




FCC Takes Some Action On Mobile Fee Creep

from the lay-it-out-clearly dept

It appears that regular customers aren't the only ones fed up with the bizarre, confusing and (often) misleading fees that show up on mobile phone bills. The FCC has decided that mobile phone operators need to follow "truth-in-billing" rules that regular telcos are already supposed to follow. Apparently, this means that operators aren't supposed to break out all the various fees they tack on at the end -- but include those in the base price, so subscribers can do a fair comparison on what they're getting. Of course, even though the article claims that telcos already are covered by this law, they're some of the worst offenders at adding various official looking "fees." Of course, the real problem isn't the operators breaking out the fees -- it's that there's no way to find out what these fees are until after you've signed up -- and they're often subject to change on a monthly basis. The problem is that companies advertise a base rate, but hide the fact that they're tacking on all this extra stuff. It's like a pizza place offering to sell you a pizza for $5, but then tacking on the extra crust, cheese, sauce, toppings, heating and transport fees when it's time to pay. What should really happen is that the companies shouldn't be allowed to advertise base rates if those rates are impossible to actually get. They should be required to advertise what people will actually pay, including all taxes and fees. As long as they do that, breaking out and explaining how they come up with the fees is perfectly reasonable.

4 Comments | Leave a Comment..

 
 

Reader Comments (rss)

(Flattened / Threaded)

  1. Mar 10th, 2005 @ 2:50pm

    "real cost"

    by Anonymous Coward

    The problem is that carriers buy add space that covers whole markets, or even the whole nation. Why should they have to figure in _every_ state, federal, and local tax?

    (reply to this comment) (link to this comment)

  2. Mar 11th, 2005 @ 6:12am

    No Subject Given

    You can also help the cause, if this irritates YOU as much as it did me when I got my first bill from Verizon.
    I signed up for a $39.99 monthly plan, and the first and all subsequent bills have never been lower than $44.00.
    So, I filed a complaint with the Federal Trade Commission. I certainly don't expect them to actually, you know, enforce the law ... but if they get enough complaints, then Congressmen will take notice.
    Their online complaint form is here:
    https://rn.ftc.gov/pls/dod/wsolcq$.startup?Z_ORG_CODE=PU01

    (reply to this comment) (link to this comment)

  3. Mar 11th, 2005 @ 7:27am

    Subject Given

    by eponymous geek

    one more time, a $30 plan with $15 of recurring monthly fees is a $45 plan. it needs to be advertised as $45 not $30!

    (reply to this comment) (link to this comment)

  4. Mar 13th, 2005 @ 12:14am

    Local taxes...

    by Eric

    Well, I don't entirely blame the wireless companies. Silly made-up charges like "regulatory recovery fees" definitely should be included in the advertised price. However, the taxes are a nightmare to calculate. When local taxes vary by ZIP code, there's no way the carrier can properly advertise the actual price of the service. Local, state, and federal goverments share in the blame for this "unfair billing".

    (reply to this comment) (link to this comment)

Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here
Get Techdirt’s Daily Email
Plain Text HTML Save me a cookie
  • Plain Text: A CRLF will be replaced by break <br> tag, all other allowable HTML is intact
  • HTML: No formatting of any kind is done without explicitly being written in
  • Allowed HTML Tags: <b> <i> <p> <a> <em> <br> <strong> <blockquote> <hr> <tt>
Close
Have a Techdirt Account? Sign in now. Want one? Register here
Get Techdirt’s Daily Email
Plain Text HTML Save me a cookie

Search Techdirt
And now, a word from our Sponsors..



Subscribe to Techdirt's Daily Email Newsletter

Techdirt's Daily Email Newsletter

Related Stories
Close
E-mail It