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  #1  
Old 10-28-2008, 12:00 PM
Ed Hansberry
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Default New Charge On US Cell Phone Bills This Month, Or Is It Just Me?

Has anyone checked their cell phone bill this month? We have four phones on our plan, one for each of us because we don't have a land line in the house. There was a $3.44 "other" charge on the phone bill. I always notice these things in the "other" column because that is usually where international surcharges are that I often get reimbursed from my employer on, or it is where someone in the family has used information instead of Google. It turns out it was $0.86 per phone for "Fee we collect and retain to help cover our costs related to funding and complying with government mandates, programs and obligations." Uhm... yeah. I wish I could charge my customers a fee for complying with the government for things like tax returns, property tax filings, business licenses, etc.

It amazes me what phone companies, both cellular and land lines, and cable companies get away with.

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Old 10-28-2008, 12:45 PM
bystander
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I am so glad that you brought this up...

Federal Universal Service Charge $2.39
Kentucky Lifeline Support $0.16
State Gross Receipts Surcharge $1.04
Utility Surcharge for Schools $2.49
Regulatory Cost Recovery Charge $0.40

Total $6.48

I understand and support Lifeline Support but I am not at all sure of the meaning, reason, or agreement to any others.

I keep thinking of the Boston Tea Party except that this is a relationship between a business and a citizen with Public Utility Commission (Government) approval.


Anybody top these?
 
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Old 10-28-2008, 01:35 PM
Brad Adrian
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Quote:
Originally Posted by Ed Hansberry View Post
"Fee we collect and retain to help cover our costs related to funding and complying with government mandates, programs and obligations."
Interpretation: "Fee for doing all the things we should be doing anyway..."
 
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Old 10-28-2008, 01:39 PM
nosmohtac
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I didn't take the time to look up one of my old landline bills, but these types of charges is what made my decision to ditch the land line easy.

Many of the phone companies in my region advertise a monthly fee of 24.99 for a land line. Sounds like a reasonable deal, but when you get the bill and add up all the extras your bill ends up being around 40.00/mo.
That's 15.00/mo in taxes and surcharges!!!

If you go to the stores, you can easily figure out what the tax on your purchases are (if you're shopping in your home area), but when it comes to cable and telephone providers, it's not so easy.

I've even tried to get the providers to tell me what my monthly bill is going to be with all the taxes and surcharges and they refuse to tell you. The best answer I've been able to get from them is that is depends on where you live. I've even asked them to look at any account in my surrounding area to give me an idea of what to expect and they won't do it.

I am not proponent of "big government", but consumer protection is one government task I do believe in! There needs to be legislation that forces these companies to include all charges when advertising their monthly prices for plans.

Sorry for the rant, but this is one thing that can raise my blood pressure.
 
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Old 10-28-2008, 03:19 PM
je44
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yeah its nuts, in the beginning of the year I tried to keep track in MS money just how much of my money went to taxes/sales and charges and fees like license plates phone surcharges. I gave up but hell can I claim the government as a dependant on my taxes �.
 
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  #6  
Old 10-28-2008, 05:17 PM
ignar
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One of the best "feature" of prepaid phone is there is no tax and other fee section on the statement. I know I'm still paying, but at least I don't need to see them and get pissed off each month. I also got tired of paying $20.20 for my $14.99 Vonage service and switched to Skype. When other fees become more than a third of price, there gotta be something wrong.

Last edited by ignar; 10-28-2008 at 05:26 PM..
 
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Old 10-28-2008, 05:24 PM
martin_ayton
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You will be paying these charges anyway, this is just the companies' way of trying to say that it isn't their fault (yeah, right!). I don't know which I prefer: Paying a lump sum which has all these included and staying in blissful ignorance, or seeing them separated out.

Personally, when I visit the US and Canada I can never get used to the price on the ticket not being what I pay when I get to the till because your retailers don't include sales tax on the ticket. Over here (UK and Europe) tax is included on the ticket price, but usually (though not always) itemised on the receipt. I prefer our way because I know what I'm paying (and I've grown up with it), but I can see the argument from the other side too.

However, European budget airlines take this to ridiculous extremes: They can advertise a ticket for �0.01 which you actually end up paying �50 for when you've added in the taxes, fuel surcharges, airport handling fees etc. etc.. When the final price is 500 times the advertised one, it's a scam - pure and simple.
 
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Old 10-28-2008, 06:31 PM
Ed Hansberry
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Quote:
Originally Posted by martin_ayton View Post
You will be paying these charges anyway, this is just the companies' way of trying to say that it isn't their fault (yeah, right!). I don't know which I prefer: Paying a lump sum which has all these included and staying in blissful ignorance, or seeing them separated out.
Because by separating them out, they get to make lofty quotes like "Only $59.99 per month for 3,000 minutes" but when you get your bill, it is $69 - yes, some is taxes, but others are these "fees" that should really be part of the marketed service rate. The $3.44 fee on my bill is not a tax, it is a charge for their accounting department and regulatory compliance deparment to do their job, but the law allows them to put it on a different line, letting them keep the marketing slogans and claims that they have not changed their rates.

In fact, that is another point - I have a contract at $xx.xx per month. They cannot change it, but they can slip this crap in and say my basic rate is unchanged. Well, no DUH Mr. Tellephone Comnpany - you are sticking the rate increases in a line called "Other."

Borders on false advertising, but because it is legal, it is just misleading.
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Old 10-28-2008, 08:35 PM
JesterMania
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Quote:
Originally Posted by bystander View Post
I am so glad that you brought this up...

Federal Universal Service Charge $2.39
Kentucky Lifeline Support $0.16
State Gross Receipts Surcharge $1.04
Utility Surcharge for Schools $2.49
Regulatory Cost Recovery Charge $0.40

Total $6.48

I understand and support Lifeline Support but I am not at all sure of the meaning, reason, or agreement to any others.

I keep thinking of the Boston Tea Party except that this is a relationship between a business and a citizen with Public Utility Commission (Government) approval.


Anybody top these?
In Canada, the wireless carriers call it SAF (System Access Fee). There are no breakdowns, just one $6.95 CAD SAF. It's simple - if you don't pay the Fee, you cannot Access the System. Easy logic.

Last edited by JesterMania; 10-28-2008 at 08:38 PM..
 
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  #10  
Old 10-28-2008, 09:00 PM
jadesse
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That is why I switched to Vonage. Every 3 to 4 months my land line would become unusable because of too much noise on the line. Ameritech/SBC/AT&T would have to send someone out & I might be without a phone for a couple of days.

I have the cheap Vonage plan it it averages $22.00 a month compared to $50 or $60 dollars per month I was paying before. Living in the Chicago area 90% of our phone calls were considered long distance too. I finally had enough of being raped & getting crappy service.
 
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