Fee schemes on cell phone bills increase

Cramming, an old ploy that can net scammers millions of dollars, appears to be making a comeback as more consumers use their wireless phones for services ranging from news and weather reports to daily jokes and psychic connections.

The shift from land lines to mobile phones

“As you see more consumers making the shift from land lines to mobile phones, you see the complaints shift as well,” CU spokesman David Butler said.

According to an October FTC report, more than 3,000 people complained about cramming in the previous year for land line, mobile wireless and Voice over Internet Protocol [VoIP] telephone services.

So far this year, consumer questions about cramming to the Federal Communications Commission are outpacing last year’s number. In the first three months of 2010, the FCC, which regulates telephone companies, received 2,142 inquiries about cramming. That’s compared with 6,714 in all of 2009.

Telephone companies bill customers for services offered by outside parties, such as souped-up voice mail or music downloads. Those charges often are handled by third-party firms – aggregators — who process billing for companies that provide the add-on services. Major phone carriers, such as Verizon Wireless and AT&T, contract with those companies.

So, as both land lines and cell phone bills have become more complicated, crammers have fertile ground to slide in small charges in the hope consumers won’t catch on.

The FTC says Inc21

The FTC says Inc21 and its companies hired offshore telemarketers to call prospects and offer “free” trials for services such as website hosting, directory listings, search-engine advertising, and Internet-based faxing, without explaining they had to take steps to avoid charges.

When the Georgia Public Service Commission receives cramming complaints, it first sends them to the telephone company, said Consumer Affairs Director Mike Nantz. Usually, he said, that fixes the problem.

The public about their telephone bills

Verizon Wireless is working to educate the public about their telephone bills, spokeswoman Sheryl Sellaway wrote in an e-mail. Now that consumers can sign up for weather alerts, music subscriptions and other “premium” services through cell phones and websites, Sellaway said, it’s much easier to get confused.

“We encourage consumers to do three things,” Conroy said. “Read your bill read your bill, read your bill. Look at it thoroughly. If you have a land line and a cell phone, sometimes it can be a few pages, but take the time to look for it.”

Examine your telephone bills closely. Make sure you got the service you pay for, even for small charges. Crammers often try to go undetected by submitting $2 or $3 charges to thousands of consumers. Check past bills for unnoticed fees.

Block your account. Ask your phone company to put a cramming block on your account to stop third-party charges. Make sure you check on any costs involved.

Call your telephone company. The Federal Communications Commission requires companies to place toll-free numbers on their bills for customers with billing inquiries. Ask about their procedure for removing incorrect charges.

For non-telephone services, for example “content” services such as web hosting, online games or psychic hot lines, call the Federal Trade Commission 1-877-382-4357 , or use their complaint form: www.ftc?complaintassistant.gov

For telephone charges related to service between states or internationally, contact the Federal Communications Commission, 1-888-225-5322, or e-mail: fccinfo@fcc.gov. Or use their online complaint form: esupport.fcc.gov/complaints.htm

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If you have a tip about government waste, consumer rip-offs or threats to your health and safety, contact us by e-mail or phone: spotlight@ajc.com; 404-526-5041.