First, let's define "cramming."
According to the Federal Trade Commission (FTC), "cramming" is "unexplained charges on your phone bill for services you never ordered, authorized, received, or used. Sometimes a one-time charge for entertainment services will be crammed onto your phone bill. Other times, monthly recurring charges are crammed onto your phone bill. Cramming of monthly recurring charges falls into two general categories: club memberships, such as psychic clubs, personal clubs, or travel clubs; and telecommunications products or service programs, such as voice mail, paging, and calling cards."
Here are some tips to help you avoid cramming scams.
* Be aware that your local telephone company may bill for services provided by other companies. Your local phone bill may include charges for long-distance telephone calls, information, or entertainment services accessed through 900 numbers or presubscription agreements, club memberships, and non-basic telecommunications services like voice mail or paging.
* With the right technology, companies can get your phone number when you call them, using a process similar to caller ID. Once they have your number, an unscrupulous company can cram charges onto your phone bill. What's more, since this technology can automatically bill the phone number that is being called from, other people using your phone can cause charges to be billed to your phone.
* Carefully read the fine print before you fill out contest forms, especially if they ask for your phone number. Likewise, read the fine print before you place a call in response to a sweepstakes promotion.
* Be cautious about calling unfamiliar 800 numbers. Be especially wary if you're told to enter codes, leave your name, or answer "yes" to prompts. Unscrupulous entertainment providers may use this ruse to send you a bill.
* 900 numbers cost money, even if you're calling to claim a "free" prize. All 900 numbers that cost more than $2 must give you a brief introductory message about the service, the service provider, and the cost of the call. You have three seconds after the message ends to hang up without being charged.
* Consider a 900 number block; it stops calls from going through to 900 number services. Blocks also are available for international, long distance, and local toll calls. Call your local phone company for details.
* Check your phone bill every month for unfamiliar charges. Sometimes, a call placed to a toll-free number may be fraudulently billed as a 900 number, collect call, or international call. Also, calls to information and entertainment providers in foreign countries may not be described as such. They may be listed as ordinary international toll calls, or calling card calls.
* Examine your phone bill for recurring monthly charges. These charges typically appear as "Miscellaneous Charges and Credits." They may be so small, or described in such general terms, that they're easy to overlook or to confuse with valid services you may have ordered from another provider. Watch for fees described as "Min. Use Fee," "Activation," "Member Fee," "Voice Mail," or some similar phrase. If you find an error on your bill, follow the instructions on your statement. You will be told whom to call or write to dispute the charge. Follow up any phone conversations with a letter, sent by certified mail, return receipt requested. That's your proof that the company received your letter. Keep a copy for your files.
For additional information, download "Facts for Consumers: Cramming: Mystery Phone Charges"
available online at: www.ftc.gov/bcp/edu/pubs/consumer/products/pro18.shtm.
