3 Replies Latest reply: Dec 19, 2009 1:59 AM by Zehan RSS

    why do the cell phone companies ' lie '

    blackberry_nut

      first off many of us share the minutes and get the 9.99 a month that i can handle the 30 to activate the blackberry its not bad of a deal so what i can't figure out is why don't they tell us theres gonna be extra charges in your phone bill. phone bill should be around 40 a month but its been adding up to over 60 a month. i mean come on 1 dollar charge for the part of town we live in. the company that invented the word FEES should all see how bad its affecting us. its bad enough that the jobless rate is around 10 percent and they have the nerve to charge more money

        • 1. Re: why do the cell phone companies ' lie '

          Taxes and fees are not charged by the phone company, they are charged by local, stage, and federal governments and you are told there will be taxes and fees when you purchase your plan (if you bother to read it).

          • 2. Re: why do the cell phone companies ' lie '
            budone

            jimfitzgerald wrote:

            Taxes and fees are not charged by the phone company, they are charged by local, stage, and federal governments and you are told there will be taxes and fees when you purchase your plan (if you bother to read it).


            That statement is not quite true. Yes there are government fees and taxes the consumer bears. But Verizon & most other cell landline companies charge the consumer fees (They like to call them surcharges) on top of the normal charges to help pay their taxes and fees the government wants them to pay. See Below:

            Verizon Wireless' Surcharges include charges to recover or help
            defray costs of taxes and of governmental charges and fees
            imposed on us, including a Regulatory Charge (which helps defray
            costs of various regulatory mandates, including government
            number administration and license fees) and a Federal Universal
            Service Charge (and, if applicable, a State Universal Service
            Charge) to recover costs imposed on us by the government to
            support universal service, and may include other charges also
            related to our governmental costs. It also includes an
            Administrative Charge, which helps defray certain costs we incur,
            currently including charges we, or our agents, pay local
            telephone companies for delivering calls from our customers to
            their customers, (ii) fees and assessments on network facilities
            and services, and (iii) certain costs and charges associated with
            proceedings related to new cell site construction. Please note
            that these are Verizon Wireless charges, not taxes.
            These
            charges, and what's included, are subject to change from time to
            time.

             

            If I tried that in my business (well sir, the banana split is $2.00, but to cover my cost for health inspections, property taxes, personal property taxes, etc. it is 2.25) I'd be out of business. For most companies, it is called, "The cost of doing business."You offer a product and it is priced appropriately to cover the costs of their expenses and hopefully a little chunk of change at the backend for them.

             

            It is simply a way to make the plans look appealing and still get the money they need to cover THEIR costs, thus larger profits. Call it, creative financing.

            • 3. Re: why do the cell phone companies ' lie '
              Zehan

              At least Verizon's up front about charging the fees and what they charge them for. They could just jack up the plan prices to cover the same costs, which would make your bill look prettier but wouldn't really be as straightforward.