Friday, June 13, 2008

WTF? - AT&T: termination fees ultimately a great deal for consumers.

Those early termination fees (ETFs) that consumers pay for switching cell phones in mid-contract are a great deal, an attorney for AT&T told the Federal Communications Commission yesterday.
He said this with a straight face I am assuming.
"the overwhelming popularity of these rate plans has fueled the tremendous increase in wireless penetration, usage, and technical innovation documented by the [FCC's] annual reports on wireless competition."
Just how popular are these termination fees.
Various class action attorneys also appeared at the FCC hearing. Many of their cases involve cell phone customers who feel that they were mistakenly charged ETFs, do not think that ETFs are fair given the lousy service that they received, or could not afford to pay their ETF and wound up with a damaged credit rating. The FCC received over 3,700 complaints about ETFs in 2006 and 2007, agency Chair Kevin Martin disclosed at the event.