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03/10/2005

Even though more then 18,000 consumers told the FCC they are tired of confusing bills and misleading descriptions of fees and surcharge – the FCC sided with the cell phone companies in a decision that is clearly anti-consumer.

In one swoop the FCC required some additional clarity on bills, but then took a giant step backward in consumer protection, tying the hands of state officials who want to improve cell phone bills.

In response to a petition supported by consumer organizations and thousands of individuals, the FCC agreed to require cell phone to clearly label billing charges, under its “Truth in Billing” standard

But in a blow to state policy makers, the agency took action that stops states from passing their own, stronger laws on cell phone bills. Bills are pending in several states to grant cell phone customers new rights, including to clear and accurate bills. 

Two of the Commissioners dissented. Commissioner Jonathan Adelstein disagreed (PDF) with removing current consumer protections without putting in place sufficient alternatives and Commissioner Michael Copps objected (PDF) to the majority’s move to stop states from taking action regarding misleading fees and bills.

To find out more about the fees the NASUCA petition addresses, read our consumer tips

Consumers groups have banded together to protect consumers’ right to clear, easy-to understand wireless and wireline phone bills. Consumers Union, along with the National Association of State Utility Consumer Advocates, the National Consumer Law Center, the Consumer Federation of America, and the National Association of State PIRGs, released a joint press statement denouncing the FCC’s action.

 

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