Sprint and Verizon customers have until December 31, 2015, to claim their part of the $150 million refunds due to some customers. The refunds stem from a settlement agreement between the two moguls and the Federal Communications Commission (“FCC”) over mobile cramming.
The FCC alleged that both companies charged some customers for unauthorized third-party services on their wireless bills by companies providing services such as ringtones, wallpapers, and text message subscriptions for horoscopes and celebrity gossip. These services from other companies are referred to as Premium SMS or "PSMS." In May 2015 it was announced that Verizon Wireless would pay $90 million and Sprint Corporation would pay $68 million to settle investigations into the illegal billing claims.
Current and former Sprint and Verizon customers who paid for unauthorized third-party PSMS charges after July 1, 2010 and who did not receive a credit for those charges may apply for refunds. But time is running out to do so. All claims must be submitted by December 31, 2015. Mailed claim formed must be received with a postmark date of December 31, 2015.
To submit a claim online, visit Verizon and Sprint websites for details and more information. Verizon customers can download and print a claim form to mail in by clicking here.
If you are a current Sprint account holder and eligible for a refund, you will receive your refund as a credit on your monthly bill or prepaid account. If you are a former customer, you can receive your refund either by check or by digital disbursement through ClearXchange. Refunds are expected to be disbursed prior to May 1, 2016.
Verizon will issue refunds in response to verified claims by current or former account holders within 90 days after the close of the claim period on December 31, 2015. Former account holders may not receive a refund if the total refund due is $3.00 or less.
Mobile carriers are required to offer an opportunity to block third party charges for free. Check out more information on mobile apps, protecting your information while mobile, and more on the BCA website.
About Business Consumer Alliance
Business Consumer Alliance (BCA) is a non-profit company that started in 1928. The broad purpose of BCA is to promote business self-regulation. BCA's mission is achieved by assisting consumers in resolving complaints with businesses and using that complaint information, along with other relevant information such as customer reviews, to forecast business reliability. With community support, BCA can identify trustworthy and ethical businesses and warn the public to avoid unscrupulous businesses whose purpose is to defraud the marketplace. BCA also helps businesses promote themselves by providing services and tools to protect their business and reach out to their customers. BCA obtains its funding from member businesses who support the mission and purpose of the organization and who agree to abide by high standards of ethical business practices.