Earlier this month, it was announced that Verizon subscribers would be eligible for a payout from its $100 million settlement. This was Verizon’s settlement for the allegedly deceptive Administrative and Telco Recovery Charge.
Despite the ongoing payouts, Verizon revealed that it will continue charging this monthly charge to customers. Arstechnica reports that the wireless carrier even has plans to increase the fee in the future.
As of this writing, Big Red imposes a $3.30 per line charge on wireless phones and other devices. Just a couple of years ago, the charge was $1.95. There’s no word on when the carrier plans to increase this charge again.
In its settlement notification email, Verizon said:
“Verizon has denied and continues to deny that it did anything wrong and that the lawsuit has any merit. Verizon states that it will continue to charge the Administrative Charge and that it has the right to increase the Administrative Charge.”
Verizon says this fee “helps defray and recover certain direct and indirect costs” that Verizon or its agents incur. These costs include the following:
Costs of complying with regulatory and industry obligations and programs, such as E911, wireless local number portability, and wireless tower mandate costs.
Property taxes
Costs associated with our network, including facilities (e.g., leases), operations, maintenance and protection, and costs paid to other companies for network services.
To find out whether you’re eligible for the settlement claim of up to $100, you can read our previous article here.
Source: Arstechnica, AndroidAuthority
