A bill for a bill? What gives?
Filed under: Ripoffs and Scams, Saving Money, Technology, Consumer Complaints
Consumers who haven't migrated their bill receiving functions online are increasingly finding that they're at the mercy of companies now charging for paper statements. It's a source of irritation for many who feel that businesses have no right to charge for information that informs consumers how much is owed.For many, including Rob Connor of Charleston, S.C., providing an itemized, paper bill is simply a cost of doing business companies must incur, and one that shouldn't be foisted upon consumers' wallets.
Connor's beef is with mobile-phone company T-Mobile, a unit of Deutsche Telecom AG, which recently sent him a note advising that it will soon begin charging $1.50 a month to receive a summary paper bill and $3.50 a month for detailed statement.
It's an imposition for Connor, who doesn't have Internet access at his home. T-Mobile is making the change, which takes effect this month, in part to help the environment, it says, but Connor isn't swayed.
"This thing of having to pay so I can pay is just a little too much," he told MSNBC's Red Tape Chronicles. "And I'm certainly not interested in some bogus argument about me contributing to global warming by NOT signing on to making it cheaper for T-Mobile to send me a bill."
T-Mobile isn't alone in promoting paperless billing. Sprint, for example, offers a $5 credit to customers who opt for electronic bills and cable-television provider Time Warner offers its customers a $1 monthly credit to forgo paper statements.
But T-Mobile's decision to charge even for a summary bill puts the company in a unique, scrooge-ish league.
After considering several factors, including costs and environmental impact, T-Mobile has begun charging for paper bills, the company told MSNBC. It noted that detailed billing information is freely available online and in some instances through consumers' cell phones.
The practice of charging for paper bills raises a larger question in the minds of consumer advocates: Do companies have the right to charge for information to which consumers have every right? It certainly has ignited a debate on the company's Forums page at its Web site. One contributor said in part: "I'm not happy about this. As a consumer I'm appalled and regardless of one's opinion on the matter as a consumer we should all be appalled."
Others questioned whether T-Mobile's decision doesn't constitute a change in the company's terms of service, which would allow users angry about the charge to walk away from the carrier without penalty.
Harvey Rosenfeld, founder of Consumer Watchdog, told MSNBC that consumers have every right to be angry. They are entitled to receive bills and invoices that detail costs.
"You need to know if you're being overcharged, if you've received a promotional discount," he said. "You can't figure anything out from a bill if all they give you is a single unitemized bill."
Further, if a company begins charging for a service it previously provided for nothing, "that's a material change for sure," he said. "I think consumers can get out of their contracts."
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Reader Comments (Page 1 of 3)
9-02-2009 @ 2:20PM
FDNYFRIEND said...
Can you imagine receiving a bill at the food store for how much the store is going to charge you for telling you how much you owe for the groceries you are purchasing from that store? This is the same thing. It's getting bad. If that same store charged you if you wanted a receipt, that is the same thing T- mobile and others are doing to you. When you pay off your mortgage you are given a statement fee for telling you how much money the lender wants to charge you for paying off your loan. Then they charge you a reconveyance or satisfation of mortgage fee, which is like a receipt that you have paid them off, but a little known secret is that you can sue them in most states for not clearing your title when you pay off a loan. Wosre yet is when you did pay and the bank never cleared the title on your property even though they chargted you for that service. That happens millions of times a year. Of course Freddie Mac and Fannie Mae changed their mortgages and deeds of trust a few years ago to state that the lender could charge you for both services. Niiiiiiiiiiiice! If they charged you they still have to clear that loan off of your title on the property. Check your real estate record at the county sometime and you'll be shocked at how many old paid in full loans the banks have left on your title. Good luck if you need to refinance in a hurry. Then contact a lawyer. The fine in most states is in the hundreds of dollars if a bank fails to clear your property. Again, talk to a lawyer and go for the fine. The bank has to pay you under law. If enough people do that the practice may stop, unless Congress passes a new law allowing the banks to steal your money that way too, No, I am not a lawyer looking for business. I am not a lawyer. I am an irrate homeowner.
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9-02-2009 @ 2:40PM
Angela Browning said...
How many people is this actually going to affect? Not very many. Most people view and pay their bills online. Get in the 21st century, get a computer or drive yourself to the library! Jeez.
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9-02-2009 @ 3:32PM
Lucky You said...
To Ms Angela Browning: So you have a computer with which to go online, and you have a car with which to drive to the library. Lucky you. The best part is - you think everybody does. Talk about sheltered? Or maybe just spoiled. "Jeez" right back atcha!
9-02-2009 @ 4:32PM
Mary Anne said...
Yah it might be the 21st century. Wages are not of the 21st century though to be able to afford a computer & exorbitant monthly fees.
9-02-2009 @ 4:42PM
Kent said...
I have internet access, but why should I waste my paper and ink? If the day comes that a vendor goes strictly paper, I will simply print every bill, because I keep my statements (bank, utilities, mortgage, etc.,) for at least 10 years.
There are times that I need information about something from 5 years ago, such as how often I was calling a number, or how much I was spending on natural gas. Without a paper bill, that information may be hard to track down.
With every bill, there will be a dead tree.
9-02-2009 @ 6:54PM
Caryn said...
Why should I pay for a company's billing. That's all figured into the charges anyway - for those of us who get billing online - and save the company money - there should be a discount - and for those of us who allow electronic transfer - it should be a bigger discount. This is just another way for big business to increase their never ending profits. And fyi - there are plenty of us who don't want to expose our computers and information online - that includes bills. Just because you don't care if your information is out there 24/7 for identity theft and hackers alike - many of us enjoy our privacy and like keeping the post office in business.
9-05-2009 @ 9:09PM
Avaloyuru said...
I can understand not wanting to put your personal information out there into cyberspace. However, I have been doing all my banking and bill paying online for about 8 years now. So far I have had no trouble at all. I understand the periodic need to review old bills, even ones from a few years in the past. When I receive the email notice that my bill is ready for viewing, I go to the site, download the billing and then file it in the appropriate file for future reference. I realize that not all companies use the same programs, however all the ones that I have had the good fortune to deal with have all the bills ready in a PDF format. The electric comany also provided me with a free download of AdobeReader so that I could work with the PDF files. Once filed, they are there on your computer until you delete them. It is the same way with my bank. I get all my statements via email and I download the monthly statements into an appropriate folder. As far as the cost of all of this... I pay only $35.00 a month for DSL through AT&T and $4.99 for Virus Protection through AOL. AOL is now free and has been since 2006. It is going to take time for people to get used to the idea but everything has been moving toward "paperless" for a number of years now. I suppose that the companies that are now charging to cover the costs of printed billings are attempting to both offset the costs as well as do their part for the "green movement". Either way, I will admit that I basically did it for convenience because I worked three jobs at the time and it was easy to forget to mail the payment. I was paying out a lot in late fees. Now that I do everything online, I have no more of that as I can sit down at midnight or one in the morning and pay a bill. I always get a confirmation number immediately as well as a follow up email thanking me for my payment. I simply file that in a pending file until I actually see it reflected on my bank statement. My bank actually has an internet fraud dept who researches any online purchases that I dispute. They are very good at what they do. But for those who are still really concerned about the identity theft, please do yourself a favor, LifeLock is real and it works and it’s really worth every penny of the $24.99 a month that you pay for the security of keeping your identity in your wallet where it belongs. Whether you use the internet or not, identity theft is the fastest growing crime world wide; it happens to someone every 3 seconds. Believe it or not, the greater majority of identity theft is through dumpster diving, people leaving their ATM receipts in the machine or on the floor next to it or even throwing them in the trash. There are a million ways to get your identity without the use of the internet.
9-03-2009 @ 4:58PM
Green Hills said...
Angela Browning: Do you know most people? You should never assume that because you and yours do something, most people do. I do...but my parents and siblings don't deal with paying on line. Neither do a majority of my neighbors...but I don't assume anything because of that. I don't know most people...do you?
9-02-2009 @ 2:47PM
rkeith306 said...
No more a rip-off than the college I attended and paid so dearly for charged me to even graduate!
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9-04-2009 @ 12:49AM
Prinni said...
And worse yet, they even charge you for the cap and gown seperate from the rest of the graduation costs. Next, each level of education you graduate from, costs even more and a new and more expensive cap and gown is required. My daughter just got her PhD and she rented the cap and gown. It had to be returned in 4 days or she would have to pay $800. I say that cap, gown and hood and no one will convince me it is anywhere close to worth $800. Welcome to our world. They even screw you to reward you for completing higher education. LOL
9-02-2009 @ 3:13PM
don ranski said...
I have T-Mobile (for the moment). If I don't get a bill in the mail, they don't get a check in the mail. Breach of contract.
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9-02-2009 @ 2:52PM
motorhead said...
How about saving half your printing costs by not duplicating everything in Spanish! Why do I need to press 1 for English. Is this AMERICA?
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9-02-2009 @ 4:33PM
ycav4424 said...
Tell it like it is Motorhead. Talk about a waste of time and effort. Press two for spanish is. All of the pamplets and labels are printed two times. Who the hell is running this country, Mexico? It probably is. 20 million is the same amount of mexicans here that they have in their capital city. That is BS.
9-07-2009 @ 12:03AM
J. Palmer said...
Well said.
9-02-2009 @ 3:06PM
Really Disgusted said...
I went ballistic when I saw that thing in the bill. I called T-Mobile yesterday to complain. I stated that I didn't have a choice in dealing with my electric or water company, but I can change cell phone carriers. I can't believe that they going to charge me to tell me how much I owe them!!
Also, when calling T-Mobile, the first thing you hear is "For English say English." I complained about that too. We're in the USA!!!!! Why should I have to say English?!!!! That should be a given! I'm thin king about changing carriers, because that whole thing just rubbed me the wrong way.
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9-02-2009 @ 3:06PM
James said...
I don't use Paperless Online billing for one BIG reason I do Not Trust any of the Places i get bills from to be Honest on thier Charges. If they want to they can charge you for services you didn't recieve and you would have No way to dispute them because All they would have to do is Add a Charge to your Online Bill and i am Sure that it is done regularly.If you get a Paper Bill and find something on the Bill that you didn't recieve You have proof of that Charge that The Company can't Change But with Online billing You are Trusting these Companies to be Honest and that ain't going to happen BIG BUSINESS is Looking out only for themselves and thier Stockholders, the Customer only is only thought of when They dont pay thier Bills on time and some companies will try and Rip off customers anyway.
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9-02-2009 @ 3:16PM
Shocked said...
I am a long term T-Mobile customer and not happy about this at all. I would have preferred them offer $1.50 savings to not get the paper bill rather than charge more for getting what I've gotten for years.
Bottom line people today offer and expect less service. Younger people hardly pay attention to their bills anyway. They pretty much just fork over whatever they are told to pay. I still look at every charge on every bill and frequently compare bills over time to see how quickly new charges are being added or old charges are being increased.
This move from paper bills is one more step to making sure companies don't have a informed customer...easier to take advantage of.
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9-02-2009 @ 3:20PM
Shocked said...
Pretty soon they will start charging you if you don't pay on line.
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9-02-2009 @ 3:28PM
What's Good for the Goose... said...
Hey, no problem! They can charge me $1.50 as their fee for sending me the bill, and I can deduct that same amount as my fee for paying it.
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9-03-2009 @ 5:02PM
Green Hills Farm said...
Now there's an idea that has merit.