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WEDNESDAY, NOVEMBER 25, 2009
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FCC to Examine Cancellation Fees for Cable, Phone, Web

Agency responding to consumer complaints

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(Newser) – The FCC says next month’s hearing on cell phone cancellation fees may also include similar charges leveled by cable and Internet providers. Chairman Kevin Martin hopes the hearing will ease consumer tension over the fees, which were among cell phone users’ five most common complaints last year, the Washington Post reports. The fees typically range from $150-200.

Wireless carriers have softened their policies recently, but they insist the fees compensate them for offering cheap phones to consumers. The companies, which want the fees to be part of the regular rates they charge, are also seeking lawsuit protection from disgruntled consumers. But one consumer advocate suggested companies retain customers through better service rather than “indentured servitude.”

Verizon Wireless faces a $1 billion class-action lawsuit from consumers about its termination fees.
Verizon Wireless faces a $1 billion class-action lawsuit from consumers about its termination fees.   (AP Photo/Don Ryan, file)
Consumers spend a monthly average of $200 for wireless phone, cable and Internet services.
Consumers spend a monthly average of $200 for wireless phone, cable and Internet services.   (Index Stock)
FCC Chairman Kevin Martin will lead a probe next month into early-termination fees paid by cell phone, cable, and Internet consumers.
FCC Chairman Kevin Martin will lead a probe next month into early-termination fees paid by cell phone, cable, and Internet consumers.   (AP Photo/Isaac Brekken)
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Monalisa
May 20, 09 8:59 PM CDT
Wouldn't it be much better to simply switch to a prepaid phone. I was tied to contract cells for more than 10 years in order to avoid the cancellation fees. It just became easier to renew when I needed a new phone. Till last year when I wised up and switched to NET10. Bought an LG phone at Wal-Mart which already came w/ 300 minutes. Now I only pay for what I need - no roaming and no hidden fees. Calls are only 10 cents and texting only 5 cents. Why should we put ourselves at the mercy of a contract provider when we can just take ownership of our cell expenses by switching to prepaid? Reply
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Soccermom
May 25, 09 5:00 PM CDT
With prepaid phones plans you can save plenty of money. You pay only for the minutes you use and can use the phone to text as well. Since I switched to prepaid, I have save over $30 a month on my cell phone bill. I would recommend this to anyone who is in the need to save money. Reply
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Soccermom
May 25, 09 5:01 PM CDT
A great way to reduce cell phone bills is to switch to a prepaid service. You pay only for the minutes you use and can use the phone to text as well. Since I switched to prepaid, I have save over $30 a month on my cell phone bill. I would recommend this to anyone who is in the need to save money. Reply
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