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Sprint or Verizon customer? Deadline looms for your ‘cramming’ settlement
Verizon and Sprint, as well as the other companies, not only have to pay the customers who were defrauded back, but must now get expressed consent from customers for charges from third-party vendors; notify customers of upcoming charges; and provide information about how to block third-party charges.
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For those who don’t know, “cramming” refers to the practice of billing customers for $9.99 subscriptions to ringtones and premium text message services that they never signed up for.
The Verizon and Sprint settlements, announced in May, were the latest in a nationwide effort by the attorneys general of all 50 states and the District of Columbia, the Consumer Financial Protection Bureau, the Federal Communications Commission, and the Federal Trade Commission to curb the practice of mobile cramming. Keep in mind that the deadline to file for a refund is December 31st, which is a week from today. The companies kept at least 30 percent of what was billed.
In total, Verizon agreed $90 million, including $70 million that’s been earmarked for consumers who have been hurt by cramming charges.
If you use Verizon or Sprint, you might be owed some cash.
As a result of the settlements, both companies are now required to get customer approval before charging for third-party messages. Sprint customers, meanwhile, can submit their claims at this website and can ask the FCC about their situation by calling 1-877-389-8787.
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The FCC recommends that consumers closely review their monthly telephone bill statements and to take action if an unknown or suspicious charge is listed.