CFA Supports FCC Rules to Protect Consumers from “Bill Shock”

The Honorable Julius Genachowski Chairman Federal Communications Commission 445 Twelfth Street, SW Washington, DC 20554
Re: Support for Rules to Protect Consumers from “Bill Shock”
Dear Chairman Genachowski:
Consumer Federation of America writes this letter in support of Federal Communications Commission (FCC) efforts to move forward on promulgating rules on “Bill Shock” and Consumer Information and Disclosure requirements for wireless carriers.
As confirmed and illustrated by FCC’s study on “Bill Shock” earlier this year, many consumers have experienced sudden increases on their cell phone and other wireless carrier bills. Very few of them received any notice from their wireless carrier that such fee increases or charges were going to be implemented. Due to the lack of transparency about billing rates, CFA strongly supports efforts to improve consumer protections in this area by requiring disclosures to alert consumers about potential charges.
We support FCC efforts to require:
- Message alerts, free of charge to consumers, alerting them if they have reached 80% of their plan’s voice minutes, text messages, or data usage;
- Message alerts, free of charge to consumers, alerting them once limits have been reached, clearly stating costs for subsequent uses of these products and services, and requiring optin to continue to obtain services at the documented rates;
- Message alerts, free of charge to consumers, alerting them to rates of roaming charges and requiring opt-in to continue to obtain services at the documented rates; and
- Prominent, clear, comprehensible disclosure of any overage charges for exceeding a wireless plan’s limits on voice, text, data usage and roaming fees at the point of sale, on monthly billing statements and in advertisements. Consumer Federation of America • 1620 Eye St, NW, Suite 200 • Washington, DC 20006 • 202 387 6121 • www.consumerfed.org
Sincerely,
Mark Cooper Research Director
Rachel Weintraub Director of Product Safety and Senior Counsel
Our Subject Matter Experts

Erin Witte
Director of Consumer Protection

Mark Cooper
Senior Fellow
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