Guru
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552 Messages
New Admin Fee?
I hear everyone is getting a brand new fee, called the "MOBILITY ADMINISTRATIVE FEE".
What is it, how much is it, and what is it for?
Guru
•
552 Messages
I hear everyone is getting a brand new fee, called the "MOBILITY ADMINISTRATIVE FEE".
What is it, how much is it, and what is it for?
mikewho
Guru
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870 Messages
11 years ago
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suc223
Contributor
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1 Message
11 years ago
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harryspar
Guru
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552 Messages
11 years ago
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bdyelton
Teacher
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17 Messages
11 years ago
Can you explain why AT&T can charge a new fee that is not mandated by the government without letting customers get out of their contract without an ETF? What's from stopping AT&T from adding an additional $50/month fee and not letting customers out of their contract? I'd really like an answer for this.
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wingrider01
Expert
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12.2K Messages
11 years ago
sinple, using the 700 miinute family plan as example (the vocie portion being the main part of the contrsct you can raise or low the number of minutes but you cannot cancel before 2 years is up without playing a etf)
Before fee - 59.99
After fee - 59.99
same cost. no modification in base price, no contract modification.
Over the years that I have had cell service with the various carriers fees have gone up and gone down, federal, state, local taxes have gone up, cost recovery fees have been increased - either carrier dictate of govement organization dicated and that has never been the ooptn of termination with out etf.
Now on the other hand if they change the base prices of the voice portion and hit you with it during the 2 year commintment price, then yes you do have the ability to exit with no etf. So if you agree to the 59.99 plan in Januar of 2013 and they announce in May that price goes to 79.99 and you get charged you can get out, never seenthat happen though.
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neenee86
Tutor
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6 Messages
11 years ago
0
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jaiho
Voyager
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1 Message
11 years ago
it is not fair for companies like AT&T. They can not pass these operating or business charges to customers by tagging a different name. This practice allows the companies to identify minute/granular detils of their business process and call them as admintrative charges which most of customers may not aware of those terms.
I just put my comments on http://www.fcc.gov/complaints. If more customers put these type of complaints to FCC and I hope it will ring the bell to FCC for some action.
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harryspar
Guru
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552 Messages
11 years ago
I just filed complaints with the BBB, FCC, and FTC. Doubt it will accomplish much, but if lots more people did the same, it would.
It's real easy. You can just paste this into the forms on the BBB FTC and FCC websites:
"AT&T has raised the price on every wireless line in service by $.61 a month by adding a new fee to every bill, which they explain as follows:"MOBILITY ADMINISTRATIVE FEEEffective May 1, 2013, the Administrative Fee will be $0.61 per line per month. The Administrative Fee helps defray certain expenses AT&T incurs, including but not limited to: (a) charges AT&T or its agents pay to interconnect with other carriers to deliver calls from AT&T customers to their customers; and (b) charges associated with cell site rents and maintenance."
This is a baloney way of saying "price increase", and is a blatant violation of basic contract law which does not allow the changing of terms after the beginning of a bilateral agreement. The vast majority of ATT customers have 2-year contract agreements which prevent their switching carriers without paying a huge penalty clause.
The ATT Wireless Agreement reads: "If we increase the price of any of the services to which you subscribe, beyond the limits set forth in your customer service summary... you may terminate this agreement without paying an early termination fee or returning or paying for any promotional items."
CTIA Consumer Code reads: "Carriers will not modify the material terms of their subscribers' contracts in a manner that is materially adverse to subscribers without providing a reasonable advance notice of a proposed modification and allowing subscribers a time period of not less than 14 days to cancel their contracts with no early termination fee."
ATT claims that the price for the service remains the same and are only adding a "fee". What's from stopping AT&T from adding an additional $50/month fee and not letting customers out of their contract?
$.61 doesn't sound like much, but some people have multiple lines. In addition, multiplied by 115.78 million customers, AT&T makes an extra $847 million a year from this dishonest price hike.
As it is not any kind of tax or government mandated charge, the new fee should be included in the basic price displayed in advertising and informational material. The new fee should only be charged on new contracts beginning after the increase, and existing contract customers must be allowed to either reject the price hike or be allowed to terminate their service without penalty, as the contract has already been breached by the carrier."
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johnbinsc
Tutor
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3 Messages
11 years ago
Harryspar,
I agree completely with you. The justification provided by AT&T for this new Administrative Fee does not qualify as cost recovery in my opinion. Cell tower site rentals? Really? That is part of the cost of doing business.
I will also file complaints with BBB, FCC, and FTC.
Has anyone complained to AT&T? If so, did you get any relief?
I have a 5 line family plan, so my bill went up $3.06 per month because of this, or over $36 per year. The amount of money is not the big issue for me. It is the backhanded way they are increasing prices. If they just said we are increasing the prices when your contract renews I would have no problem with it, as I could decide to not renew at that point.
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johnbinsc
Tutor
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3 Messages
11 years ago
0