Consumers' rights are at stake in today's wireless phone world. Cell phone plans are often confusing and difficult to compare. Service is often spotty or downright unavailable when and where it is most needed. Problems with billing advertising and contract termination top the list of consumer complaints filed at the Federal Communications Commission (FCC).
To make matters worse, you are forced to buy a new phone when you switch carriers. Why? Consumer frustration is boiling over into demands for better information and enforceable rights when it comes to cell phone service.
Stop Hidden Fees on Phone Bills
Many of us are tired of the proliferation of new add-on fees and charges on our cell phone bills. The National Association of State Utility Consumer Advocates has filed a petition to the FCC urging them for "truth in billing" in cell phone service. The petition calls on cell phone companies to include discretionary fees in the price of service, rather than as add-ons that appear to be mandated fees or taxes. Consumers Union joined with other consumer advocates supported the effort because it would have enabled consumers to both better compare prices across service plans and have a clearer idea of the actual cost of service before signing up for a plan. However, the FCC turned down the request.
Why Should You Have to Get a New Phone?
Today, many consumers would like to be able to keep their cell phone handset or multi-functional handheld computer (PDA) when they switch to a new cell phone service using a compatible network. Letting consumers re-use handsets, another term for cell phone, saves money—and saves the environment by keeping otherwise usable handsets out of landfills. But a cell phone company practice that prevents consumers from keeping their phones when switching carriers is called "handset locking." This software lock prevents consumers from using their cell phone on another compatible network.
The Foundation for Taxpayer and Consumer Rights petitioned a California Superior Court to block handset locking.
Consumers Union is calling on the FCC (PDF) to prohibit this anti-competitive practice. Prohibiting cell phone companies from locking cell handsets will give consumers even more freedom to change service plans, with the additional benefit of reducing toxic waste (PDF) caused by discarded cell phones.