Wireless Companies & "Preimum" Texting

Dixie Cup

Senate Member
Sep 16, 2006
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This is my very first thread so I'm a little nervous. Something has recently happened to my family which has really ticked me off. Since I am hearing that I'm not the first one this has happened to, I wanted to get the opinions of others.

For Christmas, I purchased my handicapped son a cell phone. He's had cell phones in the past, however, they were always taken away because either he went over the monthly allowance for "minutes" or, if prepaid, he always ran out of minutes purchased way before the month was up. The problem is that he has no concept of time or money (which is why my husband and I are his Guardians). He is mentally challenged but is very independent in his own way. We take care of his finances, clothing, where he resides, etc. He is able to use public transit independently and spends his days one or two libraries in the city and visitng the many friends he has made over the years.

But, while he is independent, he is also vunerable and we wanted to make sure either we could contact him or he could contact us or his group home staff, at any time.

Walking into a local mall, I noticed a couple of cell phone providers had kiosks so went over to one of them to find out what new plans have come out since our son last had a cell phone. I found out that this cell phone provider had "unlimited texting," unlimited phone calls and other services.

I wanted the unlimited texting, local phone calls only and no web access. No problem I was told. I was also assured that there were no hidden charges and that the phone bill would be the same each and every month. Great, I thought. I won't have to worry about excess minutes nor extra charges. I signed for the phone, (no locked-in contract either) and brought the cell phone home.

I spoke to the representative and clearly explained our past experiences with my son with a couple of other cell phone plans. I also emphasized that the phone was a gift and that I would not be in possession of it - my son would have it. I also said that, (wanting to cover all basis) in the future, should there be a problem with the account to contact me at my home phone number (msg machine would take msgs if I wasn't home) or via email which they had for billing purposes). I was also sure I gave them my personal cell phone number.

I brought the bloody thing home and I showed it to my husband who immediately asked about the texting. He didn't think our son needed it. I explained that some of my sons' friends had texting and did it all the time and besides, I was assured that it was "unlimited" and, therefore covered under the plan. At any rate, we gave our son the phone and he was extremely happy with his gift.

The first month after getting the phone, the cell bill was emailed to us (saved $2/mo doing that) and everything was fine. The bill was paid in a very timely manner (i.e. immediately). The next bill came a month later and it was $3,400.00!!! Say what????

I immediately emailed the cell phone provider and they stated that they couldn't help me via email that I had to phone. So I did. They told me it was from Premium texting. I told the rep that we were told that all texts were "unlimited" and no extra charge. They then said this was different. It took us a couple of phone calls to determine just what this "premium" texting was. Apparently, our son went to one of the libraries and got on the net to a "net texting" service, gave them his cell phone number, thinking that he could manage the $1.50 text cost. What he (nor anyone that I've spoken to since) could have imagined that he would get over $2,140 text msg in less than 10 days!! And, once we found out what was happening and cancelled the phone number, the phone bill is now at $3,800 (with service charges and extra texting), but I digress.

I almost had a heart attack! I called my son and asked him if he had any idea of what he'd done and how much his phone bill was. He simply said to give him his ATM card and he'd go pay it. I explained to him that he didn't have that kind of money; I didn't have that kind of money.

Later, after speaking with his group home staff and other close friends of his, he had told them about the situation but said he owed $300.00.

I contacted the cell phone company, explained the situation and requested that the charges be reversed. No matter what, my son cannot be held responsbile for something he clearly had no understanding of. I also wanted to know why the cell phone company did not contact me when the bill was say, $500 or even $1000. I was told that they had - by texting my son's phone. I told them that I had specifically stated to their rep @ the mall that i would not be in possession of the phone and that they were to contact me directly - they did not.

I am so angry at myself - my husband was right - but neither one of us knew about this "premium" texting business. I spoke to several people, including my brother, and they have told me that either they or someone in their family has been caught up in this type of situation as well. My brother was fortunate to catch it at $150; a co-worker's daughter ended up paying $500 before catching it and
another individual's 16 year old daughter had agreed, unknowingly, to getting updates on Canada's got Talent or Dance with the Stars Canada or something like that, not knowing that she'd also be charged for every text - 12 times a day!!

So it sounds like this is a real issue. I have contacted the dating site as well and emailed our legal papers showing that he cannot be held responsible for anything he agreed to on their website and have not received a response as yet. However, I also feel that cell phone providers have a responsibility to ensure that any information given to them (via their representatives) be duly recorded because that's why I told him that I wouldn't have the phone!!

I received a copy of all our correspondence/communicaton and no where does it state that I gave them that information. Also, in my representations to the rep when dealing with the initial situation, no where does it state that I offered to pay 1/2 of the bill plus the monthly fee and it was rejected.

I feel like a fool and used. My son will NEVER have a phone as far as I'm concerned because there are just too many traps for individuals like me who just phone and text - period. Oh, maybe I use the camera once in awhile, but I dont' tweet, I don't go on the net - that's not what I purchased my cell phone for. I purchased it so I could reach any of my friends or family and could be reached by them.

Am I crazy or what? I have, so far, refused to pay the bill. I'm in the process of writing them a letter and I am still also trying to contact the text dating site. Should the rep have mentioned the "Premium Texting" and the costs that incurs (not unlike roaming charges in my opinion but we are aware of those). Was there a way I could have foreseen something like this not having heard nor experienced this before? I am morified at the situation.

I am also going to cc the letter to the CRTC but I'm not overly optimistic there.

Any comments to my situation??

Dixie
 

Niflmir

A modern nomad
Dec 18, 2006
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According to law over here (I am not sure if it is EU law or Dutch law) the company must send you a message when your bill goes 50 euro over the normal fee. They must terminate services until you contact them if you go 100 euro over the monthly fee. I do not understand why they have not done something similar in Canada yet, what is happening to you is basically fraud.

If I understand correctly, the phone company has sold a special service to some company which is a pay-text option (like a 1-900 number) then every time your son received a text from them, the phone company billed your son in that company's name. If you can somehow prove that you did your best to try to uncover all possible fees that you might face and they were not diligent in their declarations to you, that then you might be able to make a fraud allegation stick, but I don't know if you really want this to go to court.
 

WLDB

Senate Member
Jun 24, 2011
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Ottawa
I used to be a customer service rep for Sprint and Rogers. I dealt with this kind of problem quite often. The premium texts aren't brought up when you buy a phone/plan because they do not come from the phone companies. They come from third parties. Its like buying something online. The phone company itself likely wont provide any credits as you've said your conversation wasn't properly documented. That is a huge problem in that job. I used to have lots of customers saying they had talked to a previous rep about one problem or another and there was no documentation to back it up. In that case there wasnt much I can do, though I would have liked to.

I think the only benefit that came from having that job was learning about how companies try to screw people and all of the loop holes in the system. I refuse to enter into a contract with any phone company. Once in, they have their way with you.

According to law over here (I am not sure if it is EU law or Dutch law) the company must send you a message when your bill goes 50 euro over the normal fee. They must terminate services until you contact them if you go 100 euro over the monthly fee. I do not understand why they have not done something similar in Canada yet, what is happening to you is basically fraud.

We do have something like that here but its meant for people with bad credit. People with good credit cant get it for some reason.
 

Dixie Cup

Senate Member
Sep 16, 2006
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Edmonton
By the way, there should NOT be a $ sign in front of the "2,143 texts" - don't know where that came from. He received 2,143 texts in less than 10 days @ $1.50 per.

I contacted some lawyers here in our city and they told me that because I signed the paperwork, I am responsible for the Bill. Well I know that, but my son cannot legally sign anything, so I had no choice in the matter. The lawyers aid that, while what the cell companies do is not illegal, it "morally reprehensible" and I may have no choice but to pay. However, I'm going down fighting!!

Dixie
 

Niflmir

A modern nomad
Dec 18, 2006
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Leiden, the Netherlands
I used to be a customer service rep for Sprint and Rogers. I dealt with this kind of problem quite often. The premium texts aren't brought up when you buy a phone/plan because they do not come from the phone companies. They come from third parties. Its like buying something online. The phone company itself likely wont provide any credits as you've said your conversation wasn't properly documented. That is a huge problem in that job. I used to have lots of customers saying they had talked to a previous rep about one problem or another and there was no documentation to back it up. In that case there wasnt much I can do, though I would have liked to.
I think the only benefit that came from having that job was learning about how companies try to screw people and all of the loop holes in the system. I refuse to enter into a contract with any phone company. Once in, they have their way with you.
We do have something like that here but its meant for people with bad credit. People with good credit cant get it for some reason.

Everybody has that here. Regardless of credit rating, you cannot turn it off.

The argument that the premium texting comes from third parties is the element of fraud. If the phone company is billing the cell phone holder on behalf of the third party, it is not like a purchase on the internet at all: who ever gets charged by their ISP for a plane ticket that they ordered online? In fact, by accepting to charge the subscriber, the phone company is accepting a certain liability for the fee and has a responsibility to make it's subscriber aware that it is doing this.

If I say that I will paint your house for $20 an hour, and that is all I will charge you, but then I charge you $1000 for paint (on behalf of Home Hardware), you would have a good argument for not paying it if I did not disclose it to you up front. If I go out of my way to ask about all possible fees, and you never think to bring that up, then it looks more egregious still.
 

Dixie Cup

Senate Member
Sep 16, 2006
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Edmonton
According to law over here (I am not sure if it is EU law or Dutch law) the company must send you a message when your bill goes 50 euro over the normal fee. They must terminate services until you contact them if you go 100 euro over the monthly fee. I do not understand why they have not done something similar in Canada yet, what is happening to you is basically fraud.

If I understand correctly, the phone company has sold a special service to some company which is a pay-text option (like a 1-900 number) then every time your son received a text from them, the phone company billed your son in that company's name. If you can somehow prove that you did your best to try to uncover all possible fees that you might face and they were not diligent in their declarations to you, that then you might be able to make a fraud allegation stick, but I don't know if you really want this to go to court.

I looked at the dating website and there are cell companies that have a limit - some $100 others $500 but wouldn't you know it, mine wasn't one of them. According to the cell phone co. they did try to contact me - on his cell phone. My son just didn't "happen" to mention it to us as I'm not sure he knew exactly what was going on.
 

Niflmir

A modern nomad
Dec 18, 2006
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Leiden, the Netherlands
By the way, there should NOT be a $ sign in front of the "2,143 texts" - don't know where that came from. He received 2,143 texts in less than 10 days @ $1.50 per.
I contacted some lawyers here in our city and they told me that because I signed the paperwork, I am responsible for the Bill. Well I know that, but my son cannot legally sign anything, so I had no choice in the matter. The lawyers aid that, while what the cell companies do is not illegal, it "morally reprehensible" and I may have no choice but to pay. However, I'm going down fighting!!
Dixie
Does your contract explicitly mention something about the phone company charging you for services that other people provide? Because if not, then you are not responsible for some company mistakenly thinking that your son was capable of agreeing to be charged.
 

Dixie Cup

Senate Member
Sep 16, 2006
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Edmonton
Everybody has that here. Regardless of credit rating, you cannot turn it off.

The argument that the premium texting comes from third parties is the element of fraud. If the phone company is billing the cell phone holder on behalf of the third party, it is not like a purchase on the internet at all: who ever gets charged by their ISP for a plane ticket that they ordered online? In fact, by accepting to charge the subscriber, the phone company is accepting a certain liability for the fee and has a responsibility to make it's subscriber aware that it is doing this.


I agree. I made that arguement to the one Supervisor that I spoke to - that the cell phone provider could reverse the charges and he told me that they "couldn't" do it. I stated that I believed that they "could" do it, just chose "not" to do it. There's a difference and besides, it's big money right?

JMO
 

Niflmir

A modern nomad
Dec 18, 2006
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Have you contacted this organization?

Service Alberta:

I note that the small claims court of Alberta recommends contacting them before trying to sue someone.

If you have documents that state "No hidden fees" and a contract stating that they will charge you on behalf of other companies, then I think they might have an unconscionable contract.
 

Dixie Cup

Senate Member
Sep 16, 2006
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Edmonton
Does your contract explicitly mention something about the phone company charging you for services that other people provide? Because if not, then you are not responsible for some company mistakenly thinking that your son was capable of agreeing to be charged.


It's not a "contract" per sae, but no, it does not mention anything at all about 3rd party charges or anything like that. My husband reviewed the paperwork we got very carefully and there's nothing in it that states anything of the sort.

I also brought that very point up with the cell phone provider stating that my son is unable to agree to anything legally, to no avail. That's why we are also pusuing the textdating.ca site as well. They said that he "agreed to" paying the $1.50 and we're saying he couldn't legally "agree" to anything as he is unable to comprehend any agreement.

He once filled out a card to Sports Illustrated for the "swim suit edition" and suddenly started getting Sports Illustrated every month. Needless to say, it's an expensive magazine and he also started getting the bills. He tried to pay some of it with the spending money we give him every week, but he simply couldn't pay it all. FINALLY, he told us about his situation and he didn't know how to stop the magazine from coming anymore. I wrote a letter along with our legal documents and asked them to kindly stop all further magazines from coming, and to "flag" his name (in case he does something like that again). They very kindly reimbursed us for the money he had already sent and stopped the magazines. No problem. They didn't have to reimburse us and we didn't ask for any money back - we just asked that they stop the magazine. Classy response is what we got!!

Dixie
 

WLDB

Senate Member
Jun 24, 2011
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I agree. I made that arguement to the one Supervisor that I spoke to - that the cell phone provider could reverse the charges and he told me that they "couldn't" do it. I stated that I believed that they "could" do it, just chose "not" to do it. There's a difference and besides, it's big money right?

Thats true, they technically can do it. You'd likely have to speak with someone above supervisor though. Each employee has a limit when it comes to how much they can credit a customer. When i worked for Rogers I could credit up to $250 I believe. Supervisors around $1000. Sprint had much higher amounts that employees can credit.
 

Dixie Cup

Senate Member
Sep 16, 2006
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Edmonton
Have you contacted this organization?

Service Alberta:

I note that the small claims court of Alberta recommends contacting them before trying to sue someone.

If you have documents that state "No hidden fees" and a contract stating that they will charge you on behalf of other companies, then I think they might have an unconscionable contract.


Yes I did at the advice of the lawyers I spoke to. This is a federal issue and because its telecommunications I have to deal with this throught the CRTC or related departments, so I'm going to.

Dixie
 

Dixie Cup

Senate Member
Sep 16, 2006
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Thats true, they technically can do it. You'd likely have to speak with someone above supervisor though. Each employee has a limit when it comes to how much they can credit a customer. When i worked for Rogers I could credit up to $250 I believe. Supervisors around $1000. Sprint had much higher amounts that employees can credit.

Well, I've been trying to contact someone above "supervisor" to no avail. That's why I'm writing the letter, hoping it'll get to someone who actually has some authority.

Basically, this whole situation came down to my son being "dangerously" smarter than is good for him, but not so smart to know better and realize the consequences and we're left to try to fix things. Its really frustrating at times

Unfortunately, locking him in his room and forbidding him from going anywhere is considered abuse now-a-days so what's a person to do?


Dixie
 

Niflmir

A modern nomad
Dec 18, 2006
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Leiden, the Netherlands
It's not a "contract" per sae, but no, it does not mention anything at all about 3rd party charges or anything like that. My husband reviewed the paperwork we got very carefully and there's nothing in it that states anything of the sort.
I also brought that very point up with the cell phone provider stating that my son is unable to agree to anything legally, to no avail. That's why we are also pusuing the textdating.ca site as well. They said that he "agreed to" paying the $1.50 and we're saying he couldn't legally "agree" to anything as he is unable to comprehend any agreement.
He once filled out a card to Sports Illustrated for the "swim suit edition" and suddenly started getting Sports Illustrated every month. Needless to say, it's an expensive magazine and he also started getting the bills. He tried to pay some of it with the spending money we give him every week, but he simply couldn't pay it all. FINALLY, he told us about his situation and he didn't know how to stop the magazine from coming anymore. I wrote a letter along with our legal documents and asked them to kindly stop all further magazines from coming, and to "flag" his name (in case he does something like that again). They very kindly reimbursed us for the money he had already sent and stopped the magazines. No problem. They didn't have to reimburse us and we didn't ask for any money back - we just asked that they stop the magazine. Classy response is what we got!!
Dixie
Well, from the sounds of it, the phone company cannot ask you for money since the agreement is between you and textdating.ca and you never authorised them to charge you on behalf of arbitrary third parties. However, the agreement isn't between you and textdating.ca, it is between your son and textdating.ca, and since your son cannot authorize them to charge you, I am not sure how they plan on holding you liable.

You don't give power of attorney to a phone company when you take a sim card from them. They do not have the power to authorise other people to charge you. Pay attention to your credit rating, if this affects it, you may want to consider libel charges.

I am not a lawyer, but probably a lawyer would not be much help to you since the amounts concerned would go through small claims court. I am not even sure if you can initiate a suit to have their charges declared void and waiting for a collections agency to come knocking is just annoying.
 

damngrumpy

Executive Branch Member
Mar 16, 2005
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kelowna bc
It is so important to read and ask questions, in this case I will ask about third parties adding
anything to my bill. The one thing I am pleased with is I battled with the phone company to
remove texting from my phone. What can I say I am an old guy phones were meant to have
a conversation on not working my fingers to the bone texting. They finally agreed to remove
textiing altogether.
These companies are operating like the wild west there are so many hidden fees and sales
people who will tell you anything. Their true response is ya ya to anything you say to get
you to sign. I trust them less and a member of parliament, Cell phone sales providers are
worse than lawyers for Gods sake.
I would approach the CRTC on two fronts one about the unscrupulous acts by this company
and to ask them to take action to clean up the industry from a sales point of view protecting
the consumer should be part of their mandate. They have a code of ethics for broadcast
stations so why not phone companies.
 

skookumchuck

Council Member
Jan 19, 2012
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Van Isle
I know it is after the fact and not meant to diss the OP. What would happen if one were to ask a sales rep if you could record the conversation?
 

SLM

The Velvet Hammer
Mar 5, 2011
29,151
3
36
London, Ontario
Well, I've been trying to contact someone above "supervisor" to no avail. That's why I'm writing the letter, hoping it'll get to someone who actually has some authority.

Basically, this whole situation came down to my son being "dangerously" smarter than is good for him, but not so smart to know better and realize the consequences and we're left to try to fix things. Its really frustrating at times

Unfortunately, locking him in his room and forbidding him from going anywhere is considered abuse now-a-days so what's a person to do?


Dixie

Have you considered going to the press with it? Still write the very detailed letter stating how you tried to cover all contingencies and even spoke at length with the representative about the reasons why, but send it along to the paper or perhaps even a program like Marketplace or something?

It might help to get the attention of someone beyond a supervisor, the media might like the angle of this being a problem that's cropping up more and more, and it could serve as a warning to others. A little public shame might cause the cell phone company to reduce if not reverse the charges as well. Since they're demanding you pay the entire amount, you'd have little to lose on that front.

Of course, you'd have to give up some of your privacy in order to that and that may not be worth it, so that's your call to make.
 

Dixie Cup

Senate Member
Sep 16, 2006
5,723
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Edmonton
Well, from the sounds of it, the phone company cannot ask you for money since the agreement is between you and textdating.ca and you never authorised them to charge you on behalf of arbitrary third parties. However, the agreement isn't between you and textdating.ca, it is between your son and textdating.ca, and since your son cannot authorize them to charge you, I am not sure how they plan on holding you liable.

You don't give power of attorney to a phone company when you take a sim card from them. They do not have the power to authorise other people to charge you. Pay attention to your credit rating, if this affects it, you may want to consider libel charges.

I am not a lawyer, but probably a lawyer would not be much help to you since the amounts concerned would go through small claims court. I am not even sure if you can initiate a suit to have their charges declared void and waiting for a collections agency to come knocking is just annoying.


Yes, I thought that's how I would approach it and see what happens. The text dating agreement was between my son and them but the charges went to my bill. I didn't authorize the charges and my son cannot agree unless he has my permission. Sort of like someone using my credit card without my permission. I'm going to see what happens.

Have you considered going to the press with it? Still write the very detailed letter stating how you tried to cover all contingencies and even spoke at length with the representative about the reasons why, but send it along to the paper or perhaps even a program like Marketplace or something?

It might help to get the attention of someone beyond a supervisor, the media might like the angle of this being a problem that's cropping up more and more, and it could serve as a warning to others. A little public shame might cause the cell phone company to reduce if not reverse the charges as well. Since they're demanding you pay the entire amount, you'd have little to lose on that front.

Of course, you'd have to give up some of your privacy in order to that and that may not be worth it, so that's your call to make.


I will do so if I can't get any positive resolution to this whole thing. I'm a fairly private person but sometimes you need to "step up" and I'm willing to do so. We'll just wait until I've sent the letter (I've been working on it for 2 weeks!!) and hope to send it off tomorrow with a cc to the CTRC. Have also emailed the textdating people again.

Dixie