If you don't understand all the fees and charges on your Cable TV bill, call the cable service provider for an explanation. Here are a few of the typical fees and charges that you might see. If your cable TV provider is also billing you for telephone service and/or Internet service, check our consumer tips on those topics as well.
A charge to set up new service, including when you add new services to an existing account.
The most basic level of service, delivering your local broadcast channels and usually a few others. The price for this tier of service must be approved by your local cable franchise authority.
A package of additional cable channels in addition to the basic package. This tier usually includes popular cable channels such as CNN and A&E. Some cable companies may have more than one tier of expanded service offerings.
- Premium or pay-per-view channels
These are channels such as HBO, Showtime and Cinemax that are priced on a per channel basis and/or included in premium tier packages.
Digital service transmits some of the same programming found in other tiers, but with a different technology that provides sharper images. Some providers may also offer additional programming, including music programming, as part of a digital service package.
Digital service generally requires a special converter box and remote, which are usually priced separately from the service package. A converter box is required for each television set receiving the digital signal.
A fee paid to a municipality to allow use of the public streets and rights-of-way and operate a cable television system within that municipality. This is a contractual agreement between the cable service provider and the town or city.
As required by federal Copyright Law, franchised cable systems are subject to copyright liability for their use of copyrighted material in the retransmission of television broadcasts to subscribers. This fee is paid to the Register of Copyrights. Some cable companies may pass this fee directly on to consumers.
Some cable companies pass directly on to customers a fee to cover certain of their regulatory obligations.
A fee to support Public, Educational, and Governmental facilities, equipment and services.
Taxes will vary by area, but expect to see taxes included state sales tax, local sales tax and city sales taxes.
