TRACNotes

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• BUCKS WATCH: More AT&T Local and Long Distance Rate Increases on the Way
• SCAM WATCH: The Dirty Truth About 1-900 Numbers
• TRAC IN THE NEWS: Consider Prepaid or Switching Plans to Contain Runaway Wireless Costs

BUCKS WATCH

More AT&T Local and Long Distance Rate Increases on the Way - A number of rate increases for AT&T local service subscribers in North Carolina, Nevada, and Oregon and long distance service subscribers nationwide are set to take effect in the coming months. Consumers should check their monthly local and long distance bills to see if they are subscribed to one of the calling plans listed below. For more information on the local rate increases, click hereⁱ.

SCAM WATCH

The Dirty Truth About 1-900 Numbers - Late-night television has long been characterized by advertisements for 1-900 numbers offering adult entertainment services. Consumers should be wary of some local 10-digit dialing numbers too, however. Some scam artists are putting area codes in front of telephone numbers beginning with "976" in an attempt to hide the true nature of the call. For example, one scammer is currently promoting a "job listing service" number in the Baltimore, Maryland area as "410-976-XXXX," which costs callers $9.95 per call. What many consumers don’t know is that there are ways to protect your family and your wallet from the adverse effect of these services. Consumers can obtain a 900/976 number block by contacting their local telephone service provider. The FCC requires local phone companies to make blocking available for a "reasonable" fee. New local service subscribers can request free blocking within sixty days after service begins. According to FTC regulations, 900/976 number services charging more than $2 must include an introductory message describing the nature of the service and its cost. Callers have three seconds to hang up without incurring a charge once the message ends. Charges for a 900/976 service will appear separately from local and long distance charges on consumers’ phone bills and must include the date, time, and length of call and a local or toll-free customer service number. Consumers who feel that they have been charged in error by a 900/976 service must notify the company within sixty days from the billing date of the erroneous statement. The company then must acknowledge the consumer’s notice in writing within forty days unless the dispute has been resolved. Finally, carriers are prohibited by FCC regulations from disconnecting consumers’ local or long distance service if the consumer does not pay a 900/976 number charge. The 900/976 number services themselves may conduct their own collection efforts, however. For more information on 900/976 numbers, click hereⁱⁱ.

TRAC IN THE NEWS

Consider Prepaid Wireless and Bundled Plans to Contain Runaway Costs - TRAC is quoted in the current issue of Money recommending that consumers with out of control wireless costs consider using a prepaid wireless phone. "A prepaid plan includes taxes, fees, surcharges and overages as well as minutes. That's a clear advantage if you need to know how much your monthly bill will be. Yes, the minutes look more expensive--an average of 24[cents] vs. 16[cents] on a pay-as-you-go plan, according to TRAC," quotes the article. In another article in this month’s Money, TRAC chairman Sam Simon is quoted suggesting consumers consider bundled local and long distance plans to simplify communications costs. "Dealing with one company is the biggest simplification you can make," says Simon. Look for the October issue of Money on your local newsstand. "Tip from the Telecommunications Research & Action Center: If you regularly use 200 fewer minutes than your monthly allotment, drop down a tier. If you consistently exceed your allotment by 100 minutes or more, consider going up a tier," quotes Newsday in a September 19, 2004 article on saving on wireless phone plans. Click hereⁱⁱⁱ to read the full article.

INTERESTING LINKS

FCC Main Page: http://www.fcc.org

FCC Complaint Form - http://svartifoss2.fcc.gov/cib/fcc475.cfm

List of State Regulatory Commissions: http://www.naruc.org/displaycommon.cfm?an=15

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©2004 Telecommunications Research and Action Center. TRAC grants unlimited rights to reproduce TRACNotes or any information contained in it provided attribution is given as follows: "Source: Telecommunications Research and Action Center. http://www.trac.org"

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