A $19,370 wireless oops
Filed under: Technology
This is not the first time we've heard of someone running up a huge wireless bill with a laptop computer. This story isn't quite as bad as the C$85,000 bill one family got, but racking up almost $20,000 in charges has got to hurt. Dave Terry got an AirCard from AT&T for wireless access to email and the internet while traveling. AT&T says they told the customer that the wireless plan didn't include international use, but Dave says when he got the card he wasn't told anything about international fees.
Dave Terry's son went to Vancouver in July and used the card 21 times to send pictures and emails. Their 200-page bill totaled $19,730 because of international charges. Dave says that since the family's wireless bill is usually $250 to $300, the company should have alerted them as soon as it got over $1,000.
I have a bit of a different take. Sure, I feel kind of badly that they got such a huge bill. On the other hand, it's the consumer's responsibility to know what the costs are before using the service. If I were traveling internationally, you better believe I'd have it in writing exactly what the cost would be before using the service. And don't expect the service provider to alert you that you're spending money with them.
AT&T could be nice to the family and reduce the bill so that it just covers the company's cost of providing the service. If it costs more for AT&T to provide international services, the family should definitely bear this cost. And everyone traveling internationally should be more careful in the future!
Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.
Dave Terry's son went to Vancouver in July and used the card 21 times to send pictures and emails. Their 200-page bill totaled $19,730 because of international charges. Dave says that since the family's wireless bill is usually $250 to $300, the company should have alerted them as soon as it got over $1,000.
I have a bit of a different take. Sure, I feel kind of badly that they got such a huge bill. On the other hand, it's the consumer's responsibility to know what the costs are before using the service. If I were traveling internationally, you better believe I'd have it in writing exactly what the cost would be before using the service. And don't expect the service provider to alert you that you're spending money with them.
AT&T could be nice to the family and reduce the bill so that it just covers the company's cost of providing the service. If it costs more for AT&T to provide international services, the family should definitely bear this cost. And everyone traveling internationally should be more careful in the future!
Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.
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Reader Comments (Page 1 of 4)
9-06-2008 @ 1:57AM
M Mead said...
I've never had this happen to me (thank God) but it seems like it would make common sense to send an alert when the bill got to $1,000 or even $5,000. That is obviously unusual and in need of an alert.
Reply
9-06-2008 @ 7:09PM
Robert said...
The MAGIC WORDS HERE ARE "Common Sense" Corporate America is only concerned consealment and profit usually generated by greed to appease the stock holder and support the outragious golden parachutes, most often referrred to as an "Exit Stradegy" at the time of employment. I not only forbid the company I used to own with a 40K per month phone bill from using AT&T or any company afiliates, We did our level best to keep banking activities to an absolute minimum with US banks often paying an extra preimum for using international credit cards here in the US. If you think the Communications and Mortgage businesses are shady just wait to see who pays for the failure of financial institutions that you would never dream are in deep trouble.
9-06-2008 @ 11:23AM
Walter H Harrison said...
That's the NEW AT&T for you.,They are the wrost scum on the earth/
They will do anything to scew the consumer.
I had a brawl with them over the DSL service.
It never worked.
Their workmen never showed up for appointments.
I tried with them on the phone, which is a horrifying put off.
I got lucky. Someone in my building installed a hi spee system and I hooked up with them.
AT&T wanted me to pay full charges for everything and a huge penalty for early cancellation for a system that never worked and they could not repair.
I filed a written complaint with the PUC in Calif. Sending copies of the complain to both Senators, and Congressman.
The PUC interceded on my behalf and AT&T settled be eradicating all charges, upon my return of equipment in the original box, which I had kept.
If you deal with AT&T you can expect to get screwed.
If you deal with Time Warner, expect the same treatment.
BUT-one has to deal with both or similar.
Verizon now is in the club of screw the public.
I would like to hold them accountable-
Reply
9-06-2008 @ 3:12PM
FRENCHY said...
SEEMS U CAN'T GET ALONG W/ ANYONE, MAYBE UR THE PROBLEM ???
9-06-2008 @ 7:15PM
Linda B said...
I have to agree with you about Verizon. AT&T is bad but Verizon is the absolute worse. Everytime I hear them talk about "The Network", I think Mafia, kneecaps and "Can you hear me now, smuck?"
9-09-2008 @ 6:57AM
randy epner said...
Absolutely on the mark about ATT.
I had their wireless service a few years ago in the NY metro area. 50% of the calls got dropped. I complained, and went to Verizon which was 100% better. ATT did not live up to their contract by providing decent service, but they did make me pay $ 175.00 to leave. I was willing to do this due to credit considerations and that I was just so pissed at them. I vowed on that day never ever to have anything at all to do with ATT again.
9-06-2008 @ 11:30AM
STEVE said...
TYPICAL OF AT&T TO HIDE THEIR "INTERNATIONAL" PRICES IN THE SMALL PRINT, AND WHO READS THE "LAWYERSPEAK" ANYWAY?
Reply
9-06-2008 @ 2:28PM
Billy said...
Steve,
It is your job to read the "Lawyerspeak," as you call it. This is the one place where the corporations can pull the rug over you and you can not do anything about it. If you are going to put your name to anything you MUST know what you are getting into. Would you sign a mortgage agreement or a loan for a vehicle without thouroughly reading everything you put pen to? Do your really think that the corporate lawyers make the kind of money they do by simply turninng out meaningless documents? NO! They are there to protect the company and its shareholders. Maybe look into to your lawyerspeak a little futher next time.
9-06-2008 @ 11:32AM
whitcombc said...
I have a problem with globalization when a multinational company ups it's charges 20 fold when you travel 20 miles across a river. My kid went to Niagra Falls, called and then went across the border to the Canadian side and called again. The cost was over $20 more than the US call. Come on! Not being a seasoned European traveler, I wonder if this happens between France and Belgium?
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9-06-2008 @ 11:43AM
ru said...
My bet is that AT&T would lose little if ANY money not collecting the ridiculous amount !
Reply
9-06-2008 @ 11:48AM
joan said...
I feel for this family. But at some point don't you think as consumers we should start taking some responsibilty and take the time to read the fine print. I don't work for AT&T thank goodness, but I am in a reatail business that people feel they should have no responsibility for fees and charges. When did companies become resposible for our use of products and services?
Reply
9-06-2008 @ 11:49AM
nick said...
It would be smart business if AT&T sent an alert both for the customer and AT&T. The higher the bill is, the higher the chance the person is not going to be able to pay it back. Then both the Company and the Customer are at a loss. More offten than not it's going to be the company that is going to be out of actual money. More than likely that bill will not get paid and all the customer is out of is just a bad mark on their credit. they can always get a new service provider and learn from their mistakes.
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9-06-2008 @ 11:57AM
steve said...
That is complete BS. 20,000 dollars. Vancouver international charges. 21 data files sent. Things like this should lead to an investigation and price gouging fines for AT&T of at least the bills amount. They are completely full of it. I a, all for capitalism, but when things like this happens it is not free market spirit it is greed. They are not synonyms.
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9-06-2008 @ 12:05PM
Karen said...
Are you kidding me? Every month I have to call ATT for something they messed up. Here's the best story:
I have two lines. The first line is just an "extra" line used for absolutely nothing, The scond line is my "do everything" line (DSL, home network, home phone, long-distance) I send in a separate check to pay each bill each month because ATT could NEVER figure out on their own that the first bill (which has the phone number wiritten on the check at the bottom in the comments section) stapled to the invoice. The first bill is about $12 a month. The second bll is ablout $90. I staple the second bill to the separate invoice as well. EASY, right?
A third grader could see the different bills, right? WRONG, again! The idiots apply the $90 to the $12 bill and nothing to the $90 bill. This happens for about three months. I call ATT each month and have to straighten it out and waste at least an hour (when I could be looking for better phone service) on the phone waiting listening to specials for ATT! Finally, the rep comes on the line (always get their name and ID #) and I have to explain the story. After another 20 minutes the rep "accidentally" disconnects me and I have to start all over again. So, finally, in May I am do my usual monthy correcting when an especially nce rep asks me if I want to have a "combined" bill, meaning my cells, home, and internet are all on one bill. Cheaper and easier, right? WRONG. I get the first bill and not only have those morons appplied my entire payment to my first line ($440), but they tell me that my payment is due immediately. So, of course, I call (This time I crunched tortilla chips, really loudly in their ear, to get even) to fix the problem. I'm on hold and transferred three times. Finally I think the problem is sorted out (Wireless=one amount which the idiots there have to figure out, line one=one amount, and the remainder goes to? Line two. Well, apparently, ATT only likes my first line because they applied the whole payment again to line one! Did they not notice that line two, the usual $12 bill now had a credit balance of like $772? It took these idiots 3 hours (I had a glass of wine for each hour I had to wait)
to finally figure out. Finally, today, five months later, it's all done and corrected. Now that is what I call excellent customer service!
Reply
9-15-2008 @ 4:51PM
cathy said...
darn
now I know what to do
drink wine with mybill problems.
I have done ok with them so far except that I read novels when on hold.
I always take notes. I always am polite.
I always read every word of the fien print.
I am single.. it takes so long to read fine print.. my dating time is much reduced.
9-06-2008 @ 12:05PM
nick said...
Fees and charges should be pointed out before the sell. You don't go to the store and buy all that you need then find out what the cost is when checking out. Hidden fees schould be outlawed.
Reply
9-06-2008 @ 1:15PM
phone worker said...
how is an international call a hidden fee? I work for a phone company and have to talk to idiots like you all day acting like you didn't know there is any cost associated with an international call. unfortunately the sad truth is that if we as phone representitives didn't have to listen to people making up stories and trying to scam the company all day (which is the majoritiy of the calls, people just trying to get money off their bill in any way they can) the people with actual problems wouldn't go through so much scrutiny trying to get issues resolved.
9-06-2008 @ 12:07PM
Darci said...
This happened to me with Verizon. I ordered an international calling plan that was unlimited for the US and Canada. Their computer never switched it on and continued charging 10 cents a minute. When we rented our house to some Canadian golfers and they spent a lot of time calling their girlfriends back home in Canada, the bill ended up a whopping $13,000. I have it on automatic withdrawal so imagine my surprise when I found that huge amount of money missing!!! It took a month and everyday spent on hold to finally get them to mail me a check. They are supposed to have alerts for when you activity is unusual. Shameful!
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9-06-2008 @ 12:16PM
nick said...
I had AT&T awhile back. I was told I would have no roaming charges to where I was moving to. They told me I was still in the coverage area. When I got the bill it was over $1,000. I told them I was not paing the bill, and moved on to a better service provider.
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9-06-2008 @ 12:19PM
SHEESH said...
TYPICAL business response it's the consumers fault not our fault we let this happen to them when using our service. Just like AOL and Yahoo letting known scam/fraud/misleading companies advertise Careerbuilder/Hot Jobs it's not our responsibility to check for scam/fraud companies as long as they pay to get advertised on our sites. It's the consumers responsibility when using our services to check , I could sware that legitimate companies check products/services before they put it on their shelves or offer it to their customers/consumers. Thats how they stay in business for as long as they do , but I guess they want to be known for scams/frauds/misleading programs. Do your JOB if you are legitimate so your customers/consumers that you want to use your services not to get mislead/scammed by what YOU ARE OFFERING.
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