Dear CTIA,
I write today to request that your members work with the Federal Communications Commission to require that both landline and wireless telephone services require opt-in protocols for any third-party charges on consumers' monthly bills. While Verizon and AT&T have taken productive steps towards preventing these charges on their landline customer's bills, many of your members have yet to extend this protection to their wireless customers. Some customers may want to receive these third-party services, but carriers should require their specific consent before placing concealed charges on their monthly bills.
Over the past several years, New Yorkers have been unknowingly charged up to ten dollars a month for text messages that contain unwanted offers or services. Companies send these text messages to consumer without approval. Much of the time, the consumer has no idea that this otherwise innocuous text message will later show up on the bill. These charges may be labeled a "service fee," "other fees," "voicemail," "calling plan" or some other vague term for which the consumer is tricked into believing that they are required to pay.
While this practice is often already illegal, consumers are forced to go through an onerous process to remove the charge. I believe that your members, which allow these crammers to operate, must take more responsibility to prevent this practice from occurring. Cramming is simply unfair to consumers who did not request nor approve such a charge.
The FCC has taken the lead by proposing rules that would help to prevent the problem of cramming. However, I would ask that you work to ensure your members voluntarily adopt a ban on these charges unless a consumer specifically opts in. Verizon and AT&T have already announced their intentions to create such a rule for their landline customers, and I strongly believe that all other companies should follow Verizon and AT&T's lead and that these changes should be extended to wireless customers. If companies do not make these changes voluntarily, I have requested the FCC to study imposing such a rule on wireless companies. I ask that you work with my staff and the FCC to ensure that there is transparency on your customers' bills.
I thank you for your attention to this important matter, and look forward to working with you to assist you in protecting American consumers from unfair and deceptive practices.
Sincerely,
Charles E. Schumer
United States Senator