Tuesday, November 06, 2012

FCC Orders AT&T To Refund Over Charged 'Grand Fathered' Data Customers

The Federal Communications Commission (FCC) has ordered AT&T to pay fines and penalties in the amount of $700,000 for overcharging "grand fathered" customers who were switched to a costlier, monthly subscription plan from a "pay-as-you-go" system.

The $700,000 fines will be issued as a refund to customers that AT&T forced to move to a monthly data plan despite their accounts being covered under a so-called grandfather clause. According to the commission, some existing AT&T users who replaced phones through warranty or moved homes were switched to the more expensive programs which resulted in additional fees of as much as $25 to $30 a month depending on usage.

AT&T estimates that fewer than 0.03 percent of their customers had been mistakenly switched, an error discovered in 2010. It then reimbursed those who contacted the company.

This "puts precious dollars back in the pockets of consumer — where they belong," said Michele Ellison, Chief of the FCC's Enforcement Bureau. "We strongly encourage AT&T subscribers to check their bills closely and contact the company if they spot any overcharges related to wireless data."

Customer who think they are do a refund should contact AT&T directly for more information.

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