Sneaky Wireless Billing Problems

April 17, 2008

Did you know that some third-party services are showing up on many wireless bills and the consumer has no idea what is happening? It is true and here is how this new expense works.

First, these third-party services can range from ring tone suppliers to horoscope providers and just about anything in between. What many consumers do not realize, until they get their bill, is that these nifty little additions can cost big bucks. These charges may appear on your cell phone bill, but they are actually being charged by the third-party company.

“Most people have no idea that their cell phone provider can even act as a billing service for another company,” says Bob Sullivan, author of Gotcha Capitalism.

Many consumers do not know that these charges can be added without using a credit card to buy them. In fact, the only thing these content providers need is a cell phone number to begin billing for their products. Consumers are often surprised to learn that the third-party charges are often listed as direct bill charges, downloadable content or premium messages on your bill with no company name or details of what the charges are for. “It is not like your [cell phone] bill says $20 for ring tones”, says Sullivan.

Consumers who are tempted to sign on for any of these products should first read very carefully the small print. It is also a good idea to pass this along to those children who have cell phones as well.