Sprint Surcharges, Taxes, Fees and other Charges

A look at your monthly mobile phone bill will tell you that one needs to pay for surcharges, taxes, fees and other charges in addition to your usage. You are obligated under you cell phone contract to pay these surcharges, taxes, fees and other charges. However, understanding and knowing about these charges may one understanding the need to pay for them. Let's look at some of these charges that are included in your Sprint monthly bill.

Now, these surcharges, taxes, fees and other charges may vary according to your wireless service and your geographical location.

Administrative Charge: this fee is applied per line, per month by Sprint to help defray various costs imposed on Sprint by other telecommunications carriers. It not required to be collected by law and the calculation for this charge are subject to change from time to time.
Regulatory Charge: This fee is collected to help defray costs of various federal, state, and local regulatory programs. It not required to be collected by law and the calculation for this charge are subject to change from time to time.

Gross Receipts Recovery: This fee is charged to recover receipts taxes and excise imposed by some states, counties, and cities. It not required to be collected by law.
State & Local Taxes: Some States, counties, cities, and special taxing districts assess various taxes on Sprint communication services and/or the sales and rentals of wireless phones. These charges are remitted to the jurisdiction that is assessing the tax.

State & Local Required 911 Charges: Some states and localities require wireless carriers to collect a fee for 911 funds. These fees vary by state and locality.

Federal & State Universal Service Fund Assessment: All interstate telecommunications service providers are required to contribute to the Federal Universal Service Fund (USF) and some states may require Sprint to contribute to a State Universal Service Fund (USF).

These are just some of the surcharges, taxes, fees and other charges that are included in your monthly bill. I hope you'll get a better understanding of these fees after this post.

Stay tuned for more mobile phone contract related topics.

How to Access Wireless Contract and ETF Information Online

Contracts are notorious for the tricky terms and hard-to-read fine print they employ. This can lead to painful fees and fines for consumers who find it hard to find out when their contract expires and other important details on their contracts. Fortunately, some important mobile phone contract and early termination fee information can be accessed right on your computer. Here are a few tips to help you find out:

AT&T

• Customers can view their contract expiration date when accessing their account online (Att.com/mywireless).
• To find out whether the contract has ended or provide a specific date for expiration simply click on the "My Profile" tab on the far right of the screen and click on "User Info."
• This section also provides a hyperlink on ETFs, which directs customers to an Answer Center that provides specific details on AT&T's ETF policy and fees as well as a two-page "Customer Service Summary" which is a PDF detailing the customer's service, plan, and support shortcuts.

Sprint

Log into My Sprint, select "My Account," and scroll over the "I Want To" tab in "About My Devices." Look for the "I Want To" tab and select the "See My Contract Details" link once the box pops up. This will lead to information on when their wireless contract expires.

Sprint provides a chart that allows customers to calculate their prorated fees. IT also provides a link from the site footer to Sprint.com/terms and conditions and Sprint.com/etf.

T-Mobile

T-Mobile subscribers can get general information about T-Mobile's ETFs within the "Terms & Conditions" link at the bottom of the home page on the carrier's main website . The "MyT-Mobile" account page also provides a link to general ETF policy details via the "Terms & Conditions" link.

T-Mobile does not currently include details about individual ETFs on the customer's online account site.

Verizon Wireless

Go to MyVerizon.com and click on "Change Plan".


That's it for this post. Tune in for more info on mobile phone contracts and related news.

Sprint's New Customer 30-Day Trial Wireless Contract Policy

Here's a note worthy change instituted by Sprint. The carrier has announced a new wireless contract policy on its 30-day trial period for new customers.

New Sprint customers will benefit from the carrier's new "Satisfaction Guaranteed or Money-Back" wireless contract policy. What does this new policy entail? Well, new customers who wish to cancel will have all fees returned to them as long as they are in the first 30 days of the wireless contract.

Yes, tha's right. new consumers who wish to cancel before the end of the 30-day trial period will get their money back from device and activation fees, the early termination fee, a full refund for service plan monthly daily charges, all associated taxes, and all Sprint surcharges associated with these charges.

This new "Satisfaction Guaranteed or Money-Back" policy is more consumer-friendly than the previous one which enforces fees on customers canceling in the first 30 days.

Consumer Lifestyle Advisor Jennifer Jolly comments on the "Satisfaction Guaranteed or Money-Back" from Sprint,

"This is a big win for cost conscious consumer . We want this kind of honesty and transparency. We want to know there's no more sticker-shock or bait and switch, that when a company promises us something, their word is good. Can you imagine if we could test drive a bank, health insurance, a credit-card, or any of the other things we spend our hard-earned money on every month - free for 30-days? This is a big step in the right direction for Corporate America and we savvy shoppers are the ones who will benefit the most."

That's it for this post. Tune in next time for more wireless contract news and updates.

Sprint Pro-rated ETF Policy Now Official!

Sprint has finally made it official. In my previous post, I blogged about Sprint's plans to finally pro-rate its ETF or early termination fee. A few days ago, Sprint released an announcement containing the details of its new wireless contract policy on pro-rated ETF or early termination fee.

Sprint's announcement contained the details and benefits that are included in its new contract policy on pro-rated ETF. Sprint's new ETF policy is basically designed to give customers who have signed wireless contracts more freedom. By pro-rating its ETF or early termination fee, Sprint is making it easier for customers to make changes or opt out of their wireless c0ntract.

Sprint's old ETF policy charges customers who want to get out of their contracts a flat early termination fee of $200. The carrier's new wireless contract policy allows subscribers to pay a reduced fee based on how long they have remained faithful to their wireless contract.

Starting on November 2 Sprint subscribers with new or renewed contracts will have a $200 ETF for the first six months. Then Sprints ETF will be reduced by by $10 for the succeeding months that the customer stayed with the wireless contract. The old early termination fee will only apply for customers who want to get out of a wireless contract for the fir six months.

Subscribers who stay faithful to Sprint's wireless contract after six months will have the benefit of paying a reduced early termination fee based on the new pro-rated ETF wireless contract policy. The new Sprint pro-rated ETF policy will charge only $100 for customers who have stayed on a contract for 15 months. The pro-rated early termination fee policy allows a fee of as low as $50.

However, this new Sprint ETF policy does not apply for old wireless contracts that were signed before Nov. 2. Subscribers have signed a Sprint Wireless contract will be under the old ETF policy that demands a flat amount. Old wireless contracts will not benefit from the pro-rated early termination fee of Sprint's new wireless contract policy.

Sprint also announced other initiatives and programs designed to improve the customer experience in their announcement for the new pro-rated ETF policy. These new Sprint programs include one-on-one interaction between subscribers and sales representatives and detailed summaries that explains transactions.

Wireless Contract Update: Sprint to Prorate Early Termination Fee

Here's some great news for all Sprint subscribers. According to an AP article, Sprint is planning to follow other mobile phone carrier's with pro-rated Early Termination Feesor ETF's.

Now ETF's are probably the most controversial aspect of mobile phone contracts because they prevent customers from moving to another carrier before their existing contracts expired. In the past, national and regional US carriers used to charge a flat rate of around $150 to customers who want to get out of a contract before it expired.

Carriers impose this wireless contract policy to recover the cost of subsidized cell phones and to reduce the expense spent on signing up new customers. Of course, subscribers and consumers are no fans of ETF's because it restricts their freedom to move to other carriers and the fee is quite expensive for those who have multiple handsets or phone lines.

Fortunately, many of these carriers have decided to prorate the Early Termination Fees that bind their customers to their existing wireless contracts. And Sprint seems to be on the verge of deciding to prorate its Early Termination Fee. But what is a prorated ETF anyway?

A contract with a prorated ETF will charge a reduced reduce the fee based on each month a subscriber stays with the plan. This means that a subscriber who has stayed with a contract for 14 months will pay less than a customer who wants to opt out of a contract after three months. The less number of months remaining in a contract, the lower the Early Termination Fee.

Sprint's plans to reduce their ETF charges was revealed by CEO Dan Hesse during an an interview. Hesse indicated that the wireless carrier will be able to implement a prorated early termination fee system as early as December.

Sprint CEO Dan Hesse explained that a new billing software should first be put in place before the prorated early termination fee system can operate. Customers will be able to benefit from Once is has the new software in place, it will deduct a small amount of money from the $200 ETF for each month that a subscriber stays with the plan.

I thin that this is a great update. One that many Sprint subscribers have been hoping for and they won't have to wait long. Sprint has been facing a lot of disputes and lawsuits based on ETF and perhaps this decision will provide a solution. Tune in to this blog for more information on wireless contract policies.

New Class Action Suits Filed Against Sprint and Verizon

Here we go again. It seems that class action suits are once again targeting wireless carriers. I have made several post that documented the disputes between carriers and customers over wireless contracts and other aspect of consumer-seller relationship. Let's take a look at the case filed against Sprint.

Sprint has been the subject of numerous class action suits and this time the mobile phone carrier has been accused of charging subscribers for unauthorized mobile content. A similar complaint was hurled against Alltel more than a month ago in Illinois federal court.

Subscribers have accused Sprint of billing customers of unauthorized charges that are caused by collaboration between wireless carriers and aggregators that represent premium mobile content providers. The lawsuit that began in state court before being moved to federal court in Kansas states:

“Sprint has for years been systematically, repeatedly and without authorization, billing its customers for purchases of products and services not agreed to by those customers. Sprint and third-party service providers have, on information and belief, profited significantly through this practice.”

In response to this accusation, Sprint emphasized that they are adhering to standard industry practices. A spokesman commented that "we adhere to the Mobile Marketing Association guidelines which emphasize the need for subscriber consent before third-party content is delivered to a handset.”

Sprint's wireless contract devotes a paragraph to third party-content. Here is a part of that paragraph

To protect our network, Services, or for other reasons, we may place restrictions on accessing certain Data Content (such as certain websites, applications, etc.), impose separate charges, limit throughput or the amount of data you can transfer, or otherwise limit or terminate Services. If we provide you storage for Data Content you have purchased, we may delete the Data Content with notice or place restrictions/limits on the use of storage areas. You may not be able to make or receive voice calls while using data Services.

Let's now look at the class action suit launched against Verizon Wireless. The wireless carrier is once again being accused of violating the Fair Credit Reporting Act. The complaint filed inn Alabama federal court claims that TransUnion L.L.C. and Verizon are ruining the credit of a wireless subscriber. Verizon Wireless and Alltel Communications L.L.C.. were also accused of violating FCRA laws in Pennsylvania and Georgia federal courts because of alleged breaches of credit privacy.

According to the plaintiff, Verizon Wireless is continuously trying to collect more than $1,000 from him. He feels that this is unlawful because The carrier falsely reported the disputed debt on his credit reports. The plaintiff claims to have followed Verizon Wireless’ instructions with regards to dealing with possible identity theft by filing l out a police report and sending a copy to the carrier.

Unfortunately, the problem remained even though, a collection agency later received the police report. The plaintiff was forced to contact TransUnion L.L.C. and Equifax because the overdue account remained on his credit reports. Equifax responded by removing the account but TransUnion allegedly did not do the same.

Verizon declined to release any statements in response to this accusations. Here is a part of Verizon's wireless contract statements on credit information,

You’ve authorized us to investigate your credit history at any time and to share credit information about you with credit reporting agencies and our affiliates. If you ask, we’ll tell you the name and address of any credit agency that gives us a credit report about you. It’s illegal for unauthorized people to intercept your calls, but such interceptions can occur. For training or quality assurance, we may also monitor or record our calls with you.

I hope that both parties can sort out their differences and reach a settlement. Of course, it would be naive to think that wireless contract disputes and other problems will cease.The mobile phone industry is among the leader at customer complaints so it's unlikely that customers will stop filing complaints against their service providers.

Changes to Sprint's Monthly Fees

Wireless company, Sprint will be changing some of the fees it charges its customers. Some sources say that it is the result of because of legal pressure for their alleged long-standing and industry-wide practice of misleading consumers into thinking certain fees are government mandated.

The company's phone and data customers will receive notices that will inform them that three fees from their bills will be removed. The Federal Programs Cost Recovery (FPCR) fee, the Federal E911 surcharge and the Wireless Local Number Portability (WLNP) will no longer be charged next year.

However, these charges may also be replaced. An Administrative Charge and a Regulatory Charge will be the replacement of the fees to be removed next year. This statement from Sprint's notice explains these changes:

"Sprint Nextel is charging the Administrative Charge to help defray various costs imposed on us by other telecommunications carriers, including, but not limited to, charges imposed by local telephone companies for delivery of calls from our customers to their landline customers and for certain network facilities and services we must purchase from them. The Regulatory Charge is being assessed to help defray the costs of various federal, state, and local regulatory programs. These charges are not taxes and are not amounts we are required to collect from you."

Many analyst comments that these changes are indeed a response to criticism that Sprint have been masking these fees as being required by the government. There may be truth to this analysis since Missouri's Attorney General sued the company for for misleading consumers into thinking these fees are government mandated about five years ago. As of now, the case has not been settled.

The important thing is that the consumer will have less fees to pay and will not be anymore lead to believe that they are paying for taxes or any government fees. Maybe these changes will also be rereflected in the company's contracts or temrs and conditions in the near future.

If Your cellphone is Lost or Stolen....

Have your ever lost your cell phone? Maybe someone stole it from you or you've left it behind at school. If you this situation has happened to you then you should know the proper steps that should be done. You wireless carrier might have a certain policy that will be applied in this situation. Let's have a look at these policies.

AT&T 's service agreement states that,

If your wireless phone or other device ("Equipment") is lost or stolen, you will be responsible for all charges incurred on your phone number until you report the theft or loss and provide a police report number to us. After you report the theft or loss to us, you remain responsible for complying with your other obligations under this Agreement including, but not limited to, payment of any monthly service fees.

This means that it is important that you should immediately inform AT&T if your phone was stolen or if you have lost it. You don't want to be charged with all the calls on your stolen or lost phone on top of the misery of having lost it.


If you signed a deal with Verizon Wireless then you should remember that,

If your wireless phone is lost or stolen, it is very important that you notify us immediately for your own protection, so that we can suspend your service to prevent further usage. If your bill shows charges to your phone after the loss but before you reported it, and you want a credit for those charges, we will investigate your account activity. You do not have to pay the charges you dispute while they are being investigated to determine whether the charges resulted from usage by someone not authorized to use the phone. Further, if we haven't given you a courtesy suspension of recurring monthly fees within the prior year, we'll give you one for 30 days, or until you replace or recover your wireless phone, whichever comes first. You may need to provide further information regarding the theft or loss if we ask for it.

Verizon's stance on the loss or theft of a cellphone is softer than that of AT&T but it still stresses the importance of reporting the loss or theft of the wireless phone immediately. They are also offering a suspension of recurring monthly fees until your replace or recovered your phone provided they did not give you a suspension a year earlier.
Sprint/Nextel has this to say about the loss or theft of a wireless phone:

Call us immediately if your Device is lost or stolen because you may be responsible for usage charges before you notify us of the alleged loss or theft. You agree to cooperate if we choose to investigate the matter (provide facts, sworn statements, etc.). We may not waive any Early Termination Fees if you choose to terminate Services as a result of loss or theft of your Device.

Their policy is basically the same with other carriers. Informing them of the loss or theft is extremely important. However, if you choose to terminate Services after losing your phone they may not waive any early termination fee.


T-Mobile's terms and conditions states that,

If your Phone is lost or stolen ("Lost Phone") you will not be liable for unauthorized airtime charges incurred on the Lost Phone if you: (a) notify us immediately; (b) ask us to deactivate the Lost Phone; and (c) provide within 14 days any documentation we request, including a police report. You must fulfill the remainder of your Term by activating a replacement Phone (which may be full price) or the cancellation fee will apply.

Again this policy emphasizes the importance of letting the carrier know about the loss or theft of the cellphone. T-mobile also stresses that a customer must activate a replacement phone if he or she loses the original device.

It's clear that informing your wireless carrier is the first step you should make when you lose your wireless phone. It also helps if you have proof of the lost of your phone because investigations will follow. However, the best way to avoid this situation is to take better care of your wireless phone so that you won't misplace it or have it stolen by a dishonest person.

Wireless Binding Contract Length and Freebies

Wireless carriers often offer long term contracts to their customers. They are commonly 1 or two years long. Some carriers do not require their customers contracts as needed to get their services. They may offer rebates in the place of contracts to persuade potential customers. The range of rebates for a two year agreement is usually between $30 to $330. If you get a one year contract then you may be able to get greater rebates.

If you sign a contract with some carriers, then you may be able to get some freebies. For instance, AT&T subscribers have the option of a dozen free phones to choose from. Just another promotion technique to draw customers.

If you want to go with Verizon Wireless, then you have to accept the mandatory one year minimum contract. You can also benefit from being able to choose between four free phones and substantial rebate discounts, if you sign a two year contract with Verizon.

You can also sign with Sprint for a two year contract and purchase online and gaining the option of only one free phone. Sprint has very expensive phones so it may not be good for them to offer more.

Wireless carrier, T-Mobile requires customers to sign a two year contract if they want to avail of their “My Faves” packages. Unfortunately, customers cannot benefit from the insignificant differences in the cell phone rebates between one or two year contracts.

You should not go with ALLTEL if you have a thing for free phones. This carrier does not offer any free phones as contract bait. But then again, free phones are technically not really free. Fortunately, this carrier offer three phones with their two year contract that will cost customers only a few bucks due to the discounts and rebates.

Unlimited Nights Time Frame of Top Wireless Carriers

The top wireless carriers offer unlimited night minutes to attract and gain more customers. This offer is indeed tempting because a caller can make unlimited calls during this period. However, there is still a need to exercise care when using this feature because every carrier has a different time frame for nights that is stated in their contract.

The last thing you want is to be charged for a call that you thought to be within the nights period. You should read the time frame for nights on the contract or terms and conditions of your carrier before you start making calls. Let me give some information on the nights time frame of various wireless carriers as stated on their contract.


You can avail of AT&'s unlimited nights minutes at 9 p.m. You can choose the option of changing that to 7p.m. by spending $9 more per month.


If you bought the "Power Pack" wireless plan of Sprint, then you should know that you can avail of unlimited nights starting at 7 p.m. You can make "night" an hour earlier or 6 p.m. by paying an extra $5 every month.


T-Mobile's unlimited nights begin at 9 p.m. and cannot be lowered by paying an extra fee.



Alltel’s “National Freedom” plan offers nights beginning at 9p.m., but its “Smart Choice Packs” have nights beginning at 7p.m.


Your unlimited nighttime minutes will commence at 9p.m. if you have purchased 450 minutes from US Cellular. You can avail of unlimited nights and weekends two hours earlier if you buy 900 minutes.



Verizon Wireless offer unlimited night minutes from 9 p.m. and no offers are made to extend this period.


Just by looking at these offers, it's clear that Sprint has the best nights policy because a subscriber can enjoy limited nights as early as 7 p.m with out paying any extra fee. This means that if you do most of your calls from 7 p.m. then Sprint may be the the best choice for you.