FCC Fines Long-Distance Carrier $1 Million for Slamming, Cramming
The FCC fined Advantage Telecommunications $1 million after deciding the Florida-based long-distance company violated rules against "slamming" (changing consumers' phone service without authorization) and "cramming" (charging for unauthorized fees). The commission received more than 150 complaints against Advantage from consumers,…
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other agencies and the Better Business Bureau, said an FCC news release Tuesday. It said the vast majority of affected customers were small businesses. "Slamming and cramming are deceptive business practices that result in consumers paying for services they never requested and then expending great time and personal effort to return to their preferred carriers," said a commission forfeiture order, which called the practices "even more egregious" because they were "coupled with deceptive marketing and billing." The commission found "Advantage’s telemarketers engaged in deceptive marketing practices by pretending to be calling on behalf of consumers’ existing long distance carriers and misrepresenting the true nature of sales calls," said the order. "We also find that Advantage violated the Commission’s truth-in-billing rules by failing to clearly and plainly describe charges on consumers’ telephone bills." Commissioner Michael O'Rielly partially concurred and partially dissented. Advantage didn't comment.