Consumers across the country are complaining of cellphone bill cramming, noticing that their wireless phone bills consist of numerous subcharges and taxes.
Oftentimes these charges come with prepaid wireless phone bills, which are normally presented as legitimate fees that come with owning a cellphone.
However a recent investigation suggests that phone companies may be using these alleged cellphone bill cramming tactics, to pocket extra capital. This investigation applies to commercial customers who believe they may have actually been undercharged 911 subcharges.
One of these fees that is often included in the bill requires a 911 surcharge that is supposed to support emergency dispatch services when needed.
However phone companies may be keeping a large portion of these fees, which allegedly upcharges customers and rips off local government agencies.
The cellphone bill cramming investigation has already gained some traction, as a whistleblower lawsuit has already been filed against major phone companies: AT&T, Verizon, and Sprint.
The lawsuit alleges the companies were overcharging the government for phone services, with the whistleblower allegedly having direct knowledge of these allegations.
The whistleblower is reportedly in the position of rate analyst and billing auditor on behalf of the government and hundreds of companies in America.
Overview of Cellphone Bill Cramming Allegations
However, everyday consumers have also been feeling these charges, with unexpected charges from third party companies for miscellaneous items like ring tones.
AT&T has recently agreed to pay $88 million in refunds to over two million current and former customers who allegedly experienced cellphone bill cramming by the company.
The amount comes from a 2014 settlement, in which AT&T was allegedly conducting cellphone bill cramming by attaching unnecessary third party fees on customers’ phone bills without their consent.
According to a statement from the Federal Trade Commission, AT&T was adding on unauthorized $9.99 monthly charges for miscellaneous things like horoscopes and ring tones from third party companies.
AT&T would then keep 35 percent of of the charges, and will now have to pay back each customer and average of $31.
Fees telecommunications companies may be using for overcharging phone bills and cellphone bill cramming includes:
- Universal Service Fund Fee
- Emergency 911 Surcharge
- State Taxes
- State Telecommunications Excise Surcharge
- Regulatory Charge
- Administrative Charge
- City Taxes & Fees
- Gross Receipts Surcharge
- Local Connectivity Charge
- Federal Subscriber Line Charge
The Federal Communications Commission (FCC) requires phone companies to provide clear and factual information regarding how the charges are broken down on phone bills.
Commercial companies who may have been victims of cellphone bill cramming may be able to file legal action, and should contact a specialized lawyer to determine eligibility.
In general, whistleblower and qui tam lawsuits are filed individually by each plaintiff and are not class actions. Whistleblowers can only join this investigation if they are reporting fraud against the government, meaning that the government must be the victim, and that the alleged fraud should be a substantial loss of money.
Do YOU have a legal claim? Fill out the form on this page now for a free, immediate, and confidential case evaluation. The attorneys who work with Top Class Actions will contact you if you qualify to let you know if an individual qui tam lawsuit or whistleblower class action lawsuit is best for you. Hurry — statutes of limitations may apply.
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