Telephone scams, particularly "slamming," where your long-distance carrier is switched without consent, are not just deceptive and illegal—they're also costly. The National Consumers League reports that slamming is the fifth most reported telemarketing incident, with an estimated annual cost to consumers exceeding $100 million. Understanding the tactics used by scammers and knowing how to protect yourself is crucial in this era of increasing telephone fraud.
Slamming can occur in various ways, often catching consumers off guard. Here are some common scenarios:
A telemarketer may call, offering to switch your long-distance service. Even if you decline, they might proceed with the switch without your permission.
You might receive a check in the mail, which, upon signing and cashing, unknowingly enrolls you with a new long-distance carrier.
Entering a contest could unexpectedly sign you up for a new long-distance service, as detailed in the fine print.
Other scenarios involve smaller companies that purchase telephone services from larger carriers at wholesale rates and resell them at retail prices. They may attempt to mislead customers by associating their services with those of a well-known carrier.
To avoid becoming a victim of slamming, take the following steps:
If you discover you've been slammed:
The FCC's new slamming rules, effective since November 28, 2000, ensure compensation for verified complaints. If you've been slammed and haven't paid the unauthorized carrier, you're not liable for services up to 30 days post-slam. If you've paid, you're entitled to a 50% reimbursement of all charges, with the unauthorized carrier required to pay 150% of all charges to your authorized carrier.
To report slamming or an unauthorized carrier switch, contact:
While slamming is a significant issue, it's just one facet of the broader problem of telephone scams. According to the Federal Trade Commission (FTC), consumers reported losing $1.9 billion to fraud in 2019, with phone calls being the most common medium for fraudulent contact. The FTC also notes that while people aged 20-29 report losing money to fraud more often than those over 70, the latter group, when they do lose money, lose a much higher amount.
It's essential to stay vigilant and informed to protect yourself from these deceptive practices. By understanding the tactics used by scammers and taking proactive steps to safeguard your information, you can reduce the risk of falling victim to telephone scams.
Why is there a USF Fee or Tax on my bill?
Why is there a USF Fee or Tax on my bill?Long distance companies used to make money off of your USF Fee which is an FCC mandated fee that goes to schools, roads etc... in your community. AT&T used to charge 11.5% and MCI used to charge 12.3% for something the FCC used to charge them 5% for. Since these companies were making a ton of money, off of what the Public thought was a mandated fee, the FCC just changed the rule so that all telephone companies are required by law to charge the same amount, and give it all to the FCC. Read below to find out what all the USF is used for.
How to Avoid Telemarketing Scams
How to Avoid ... ... of amazing ... and ... offers are warning signs of ... fraud. ... to the Federal Trade ... ... fraud now co
VOIP Internet Phone and Internet Telephony FAQ
How VoIP / Internet Phone ... converts the voice signal from your ... into a digital signal that travels over the ... If you are calling a regular phone number, the signal is then co
