Lawmakers Consider Consumer Protections on Cell Phone Billing

“The home phone has been replaced by the cell phone for many Massachusetts households as their only means of communication. Can you imagine how annoyed you would be if your home phone continuously disconnected while talking to family and friends, some on long distance?” asked Representative Steven Walsh, House sponsor of the bill, “We have the responsibility of regulating the cell phone industry, like we do for many other consumer products and services, to guarantee that Massachusetts residents are being treated fairly.”

MASSPIRG presented the committee with 60 stories of Massachusetts consumers who’ve experienced problems with their cell phone companies.

Nearly half (47%) of all cell phone customers would switch or consider switching cell phone service carriers to get a lower rate and better service if they didn’t have to pay an average penalty of $170 to cancel their service contract, according to a MASSPIRG report, “Locked in a Cell: How Cell Phone Early Termination Fees Hurt Consumers.”

Overall dissatisfaction was earlier confirmed in a March 2005, MASSPIRG report: “Can You Hear Us Now”. The survey of 874 Massachusetts cell phone customers found that 42% of consumers reported having a billing problem with their provider and 68% reported dropped calls and other quality problems.