TRACNotes
Vol. 4 # 27 --
July 7, 2006
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WIRELESS WATCH
Verizon Wireless to Pro-Rate Early Termination Fees - Verizon Wireless seems to want to make their customers happy. Last week, CEO Denny Strigl announced that his company would break with industry tradition and begin pro-rating the early termination fees (ETFs) that subscribers are currently subject to when they cancel their service contract early. Verizon has yet to release all the details of the plan, but according to Strigl the change will affect new customers and existing customers who sign a new service contract. Existing subscribers who do not sign up for a new contract will not be affected by the change. The ETF will be pro-rated based on the number of months remaining on the subscriber’s contract. The ETF change will take effect this fall, said Strigl. The fee, currently $175 for Verizon Wireless, has consistently been one of the top complaints of wireless subscribers in industry customer satisfaction surveys. “While we applaud Verizon Wireless for listening to their subscribers, the proof will be in the pudding only when consumers know the numbers on how the pro-rating will be applied,” said TRAC Research Associate John Breyault. Strigl also announced that Verizon Wireless will be taking a more proactive approach to finding the best plans for consumers. According to Strigl, Verizon Wireless will begin periodically assessing customers’ usage against their price plan. If they find that the subscriber is on the wrong plan, they will notify them and provide one-click access to change plans. “There are still many unanswered questions about how these changes will apply in reality,” said Breyault “For example, will Verizon Wireless allow the many customers who have bought way too many minutes to switch to a less expensive plans?” For more information on these changes, click here.
BUCKS WATCH
Colorado Consumer Counsel’s Long Distance Comparison a Good Resource – Last month, the Colorado Office of Consumer Counsel (OCC) released its new long distance comparison chart, which offers consumers a wealth of great information on choosing a long distance calling service. Best of all, it’s free! While the in-state rates may not be useful for non-Coloradoans, the chart also lists state-to-state rates that apply nationally for 15 long distance plans. In addition, the chart contains a number of great consumer tips on local and long distance bundles, inside wiring maintenance, Do Not Call lists, PIC changes, and other topics of interest to residential telephone users. According to the OCC’s comparison, the “Leading Edge” plan from TouchTone Communications and ECG Long Distance’s 3.5¢ per minute plan were the best deals for consumers. While the OCC’s rate comparison is a great tool for consumers, its comparison does not factor in relevant taxes, fees, and surcharges. Consumers looking for such in-depth information should consider investing $6.00 in TRAC’s TeleTips Residential Long Distance Comparison Chart, which compares 89 of the nation’s leading long distance and local and long distance bundled plans. TRAC’s chart is the only chart that gives consumers an estimate of their monthly “checkbook cost.” To download a free copy of the Colorado Office of Consumer Counsel’s rate comparison chart, click here. To purchase a copy of TRAC’s TeleTips Residential Long Distance Comparison Chart, click here.
TRAC AND YOU
Parker Event 2006 Profile: Randall Pinkston
– TRAC and the Office of Communication, Inc. (OC, Inc.) of the United Church of Christ are proud to announce that the recipient of the 2006 Donald H. McGannon Award will be CBS News correspondent Randall Pinkston. Pinkston has been the recipient of numerous awards for journalistic achievement including an Emmy Award for Outstanding Investigative Journalism and the Edward R. Murrow Award. He has reported on numerous major news stories including U.S. military actions in Iraq, Afghanistan, and the Balkans; as well as earthquakes in Turkey, the Freemen siege in Montana; and the Unabomber. The work of Dr. Everett Parker holds a special significance for Pinkston. In 1971, his television career began in Jackson, Miss., as an anchor/reporter at WLBT TV. It was Dr. Parker and OC, Inc.’s landmark 1963 “petition to deny” to get the Federal Communications Commission to revoke WLBT’s license which served as the catalyst that created the modern media reform movement and rightly earned Dr. Parker a place in history. For more information on the 2006 Everett C. Parker Ethics in Telecommunications Lecture and Awards Luncheon, including ticket information, click here or visit www.trac.org/events.
(Note: This is the second article in a short series of profiles of the speaker and honorees that will be appearing at the Everett C. Parker Ethics in Telecommunications Lecture and Awards Luncheon that TRAC and the OC, Inc. are organizing on September 12, 2006 in Washington, DC.)
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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