TRAC, the Telecommunications Research and Action Center, today released a new long distance comparison chart for small businesses. TRAC's survey found that the cost of most long distance plans has gone down significantly since its last study in November 1999 TRAC, a non-profit consumer organization, has been publishing rate comparisons for consumers and small businesses since 1984.
TRAC’s small business chart shows, for example, that AT&T has introduced a new plan for small businesses, All In One, that is 20% less expensive than their old plan, One Rate For Business. New plans from Cable and Wireless are anywhere from 20-26% lower in cost and Sprint has modified its All Calls All Day plan so that it is 14% cheaper than it was at the time of TRAC's last study. Qwest users are spending 15-18% less than they were in November 1999. Matrix users are spending 27-28% less.
MCI WorldCom's plan, 7 Cents Anytime for Small Business, offers a lower calling card rate and surcharge that is yours for the asking. The plan normally charges 7 cents a minute for calls to the office with no surcharge, but 75 cents with a $1.25 surcharge for all other calls. You can save tremendously by asking for the 15 cents per minute, 30 cents surcharge option.
Some small business consumers on Excel's plans enjoyed cost decreases of as much as 36%, while some consumers saw increases of as much as 6%. TRAC's research also found that plans requiring a two or three year commitment are no longer offered, as they were in TRAC's last study. When consumers don't have to lock themselves in to get a good rate, they are given the flexibility to reward better plans that might come along with their business.
“Long distance rates and plans are changing all the time,” said Samuel A. Simon, Chair of TRAC. “Our study documents that consumers on the right plan can save a lot of money. In addition, we found that other costs, especially calling card costs and directory assistance costs can make a big difference. Small businesses need to understand their needs and compare for rates and features.”
To obtain a copy of TRAC's Small Business Long Distance Comparison Chart, send a $7 check or money order and a self addressed stamped envelope (55 cents postage) to TRAC, P.O. Box 27279, Washington, D.C. 20005. You can also order an electronic or hard copy with a credit card on TRAC's website, www.trac.org.
TRAC HOT-TIPS FOR SMALL BUSINESSES
1. ASK MCI FOR THE PLAN WITH THE LOWER CALLING CARD RATES.
It doesn’t cost anything and it can save hundreds of dollars. You just have to ask for the MCI plan with the lower calling card rates. If you don’t you pay $.75 cents a minute. If you do ask, you pay only $.15 per minute!
2. CONSIDER A THIRD PARTY CALLING CARD
Calling card rates, even at special MCI rates, can be expensive. For travel, consider pre-paid calling cards and third party calling cards. Third party cards often offer rates significantly lower than those by your primary company.
3. WATCH YOUR DIRECTORY ASSISTANCE COSTS
Watch also your directory assistance costs. At rates that range from $.70 to $1.99 per call, these can add up to be a major part of your phone bill. Note that AT&T charges LESS for business directory assistance calls than from your residential line. ($1.49 for directory assistance from a business line instead of $1.99 for residential calls). Having a good directory in the office and use of the Internet can save money. Go to TRAC’s web site, http://www.trac.org for a list of directory assistance sites.
