BUCKS WATCH
Read Fine Print Before Buying Net2phone’s Calling Card - Readers of Newsweek recently might have noticed an ad for long distance company net2phone’s cut-rate 3.9¢ per minute U.S. and Canada prepaid long distance calling card. What readers may not have noticed was the fine print at the bottom of the ad. As the tiny print makes clear, this isn’t quite the great deal that the rest of the ad makes it out to be. First, a $25 card is the minimum amount that can be purchased. Generally, we advise consumers to spend less than $10 on a prepaid calling card the first time they buy from a company, so as to make sure that they company is reputable and the call quality on the calls is acceptable. For reference, net2phone has generally had a good record of resolving customer complaints, according to the Better Business Bureau. A second detail to be aware of with net2phone’s calling card is the $1.49 monthly service fee, which applies whether calls are made on the card or not. To be fair, this is spelled out in legible print farther up in the ad. That said, we are generally not fans of calling cards that charge consumers when they don’t use the service, since many prepaid calling card users buy the cards for emergency use only. Third, a 90¢ surcharge applies to calls made with the card from a payphone. Since prepaid calling card users often rely on payphones for many of their calls, this fee represents a definite loss in cost savings. Surcharges may also apply to calls made with the net2phone calling card from a cellular phone, in addition to airtime usage. For the many cellular account holders already have nationwide long distance included in their service plan, using a net2phone calling card to make long distance calls within the U.S. probably won’t save any money. The only time using the net2phone calling card from a cell phone would likely save a caller money is if they wanted to make an international call from the cell phone. Fourth, higher rates apply when a caller uses the company’s toll-free access number rather than a local access number. Despite these additional charges, net2phone’s service may still be an attractive calling option to some consumers, such as those who make frequent international calls from their home by calling one of net2phone’s local access numbers. As with most calling cards, be sure to read the fine print and decide what you will be using the card for BEFORE purchasing the card. For more information on net2phone’s prepaid calling card service, click here. To read the New Jersey Better Business Bureau’s report on net2phone, click here.
Summer of Rate Increases Continues - The mercury is rising in the thermometers, but it’s AT&T long distance subscribers who may be feeling the heat this summer. The company recently announced four more rate or fee increases affecting long distance subscribers, all of which are set to take effect July 1, 2006. The company will begin charging a $5.00 Minimum Monthly Usage Charge to subscribers of the AT&T One Rate Simple Plan. This fee will be applied in months in which the subscriber makes less than $5.00 in applicable state-to-state, in-state, or international calls. For example, a subscriber accruing $3.00 in calling charges would be charged an additional $2.00 to meet the $5.00 monthly minimum. The second rate increase affects AT&T’s 150 Monthly Minutes plan. Currently, minutes used after the 150 monthly minute allotment are charged at 7¢ per minute. Effective July 1, these overage minutes will be rated at 10¢ per minute. The third fee increase affects AT&T’s Late Payment Charge. Currently, this charge is equal to 1.5% of current billing period's charges and any outstanding charges and late payment charges that remain unpaid at the time of the next bill. The coming fee increase will raise the percentage to $5 or 3.0% of applicable charges whichever is greater. This increase will not take precedence over applicable state laws and will not apply to AT&T long distance subscribers who have local telephone service with another company and who receive their long distance charges on their local phone bills. Finally, any AT&T long distance subscriber who does not also subscribe to an affiliated AT&T local service plan will see their Carrier Cost Recovery Fee increase by 50¢ from $1.49 per month to $1.99 per month. For additional information on these rate and fee increases, click here.
WIRELESS WATCH
New Energizer Cell Phone Charger Useful for Cord-Cutters – With more and more Americans “cutting the cord” and going completely wireless, the importance of having ways to recharge wireless phones during extended power outages has grown. TRAC has recommended that consumers who cut the cord with their local phone company be sure to have a car charger for their cell phones and extra batteries so that they can continue to call out during long periods without electricity, such as was the case on the Gulf Coast after Hurricane Katrina. Battery vendor Energizer is now offering another way for consumers to make sure that their cell phones never run out of juice. The company recently announced its Energizer Energi To Go portable cell phone charger that, the company claims, will recharge a cell phone with two AA batteries. The product, which will go on sale this September at various retail outlets, will cost $20, says the company. Energizer claims that the device will fit around 100 phone models from most major handset manufacturers. Similar products, marketed under such brand names as Cellboost and N-Charge Power System have been on the market for some time now. Energizer claims that two of its e2 batteries will give a dead cell phone enough battery life to make a call with just 30 seconds of charging. A more expensive four-battery charging device will also be available for use on personal electronic devices such as iPods, PDAs, and portable gaming devices. For additional information on the Energi To Go product, click here.
INTERESTING LINKS
FCC Main Page: http://www.fcc.gov
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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