Cell Me a New Plan
January 8, 2007
If you are tired of your cell phone service you are not alone. More people switched carriers last year than ever before and cell phone complaints continue to rise. Statistics from the Federal Communication Commission show that complaints are up 40 percent in the last year.According to Consumer Reports, 25 percent of the 176 million cell phone subscribers switched service providers in 2004. The same report estimated another 35 percent will do so this year. Reasons cited for changing providers included improper billing techniques, poor reception and price.
Natalie Berkman, an undeclared freshman at UC Davis, had billing problems with her last cell phone carrier. “I moved to a new area that my old carrier did not cover and they tried to charge me $150,” she said.
Berkman said that her contract stated moving out of a coverage area was a valid excuse for termination without fee. “I ended up paying half the fee and getting a new provider,” Berkman said.
According to a report by the U.S. Public Interest Research Groups, the average cancellation fee for a cell phone contract is $170. The fees range from $150 to $240 depending on the company. The report also showed that 47 percent of all cell phone customers would change their provider if they could avoid the early termination fee.
Cell phone providers are routinely offering one or two year contracts. The longer the contract, the cheaper the phone will cost.
Melissa Hollen, a sophomore and biology major, used to work for Cingular Wireless as a retail sales representative. “They use the cheaper prices on phones as a way to get a longer contract,” she said. Hollen said that most of the time people don’t think about the contract because the phone is so much cheaper.
Sacramento resident Mitchell Jones pays for his two sons’ cell phones. Jones, 54, complained that he gets double bills from Sprint all the time. “I have my billing set up automatically through my checking account,” he said. “They still managed to try and bill me twice and even shut my service off once.” Jones said.
Reception problems such as dropped calls and high levels of static have played a role on complaints. “On average, I lose a call a week,” Berkman said.
“My sons’ phone always cut out during our conversations, but usually because they are driving,” Jones said.
With national and family plans becoming increasingly popular plan pricing has changed over the past few years. “National plans help eliminate roaming charges as people can travel outside of their local service area,” Hollen said. She said that family plans are growing because plan prices are cheaper. “Sharing minutes are the only drawback, but if the plan has enough minutes, it can be much cheaper than individual plans,” Hollen said.
Providers change their plans on a regular basis as each company tries to compete with the others. Whether it is unlimited nights and weekends, anytime minutes, free mobile-to-mobile or free in-network calling, these perks draw customers from one provider to another.
“I changed my plan recently but had to sign a new contract to do so,” Berkman said. She said that the service is the same, but the price is more affordable and she gets more minutes.
Not all cell phone users suffer from these problems. Brandon Daniel, a junior exercise science major, said he has never had any problems. “My dad pays my bills, but he hasn’t complained to me about it,” he said. Daniel said he has heard of people having reception problems but he hasn’t had any problems with it.
Cell phone problems are nothing new. As problems continue, complaints will increase, as all companies are susceptible to them. For now, consumers will have to decide whether or not to deal with a provider that has problems or switch to another with the same problems.
Vincent Gesuele can be reached at [email protected]