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Verizon to add $2 bill-pay charge

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(Reuters) - Verizon Wireless, which this month angered customers with three separate data service problems, said on Thursday it will add a $2 fee for one-time telephone and online bill payments.

The planned change, to take effect on January 15, was greeted by a storm of criticism.

Consumer blog Engadget said charging customers to pay was "downright ludicrous." Another tech website, cnet.com, said the move "made little sense."

"The fee is designed to address costs incurred by us for only those customers who choose to make one-time bill payments in alternate payment channels (online, mobile, telephone) and who choose not to use the other options available to them ...," Verizon Wireless spokesman Thomas Pica said in an email.

AT&T Inc said it does not charge fees to customers who pay online or who use its automated phone payment system. But AT&T does levy a $5 charge on people who ask for personal assistance to pay their bills, unless they need assistance due to a technical problem or billing error. Most subscribers of Sprint also do not pay fees, though it does require some customers with bad credit to pay a $5 fee per payment.

In addition, some customers complained on Verizon's online forum on Thursday about problems activating their new phones.

The episode followed reports of a problem with the company's high-speed network on Wednesday. Verizon said on Thursday that it had resolved that issue overnight.

"GROWING PAINS" WITH 4G NETWORK

Verizon, the biggest U.S. mobile service provider, admitted on Thursday it was having "growing pains" with its new fourth generation, 4G, high-speed wireless network and had suffered several separate technical problems that caused service outages.

After saying earlier in the day that services on its older third generation, 3G, network were not affected, the company admitted Thursday night that 3G customers were also affected.

Verizon said it had proactively "moved" its fourth-generation (4G) wireless users onto its third-generation (3G) network to ensure all would have a data connection.

However, Verizon admitted that for brief periods, such as on Wednesday, 4G customers could not connect to the 3G Network as quickly as the company would have liked.

The company also said that it is working closely with its network suppliers to ensure smooth functioning of its 4G network, while estimating that connectivity has been available at about 99 percent of the time this year.

Verizon Wireless statement is available at:

http://r.reuters.com/wav75s

Some customers had earlier complained that they were having 3G service problems, while others said their 4G service was being restored on Thursday morning. One person complained about the lack of a public announcement.

"At least acknowledge there is a problem, do you really expect your paying customers to not notice??" one person wrote on Verizon's online message board.

Verizon Wireless spokesman Thomas Pica told Reuters that the company does not plan to compensate its customers who had experienced service problems.

Earlier this month the company, which has long boasted that its service is "most reliable," faced two data service problems.

On December 8 some Verizon customers were unable to access the Internet on their wireless devices for about 24 hours. The company had to fix another problem on December 21.

Verizon Wireless is a venture of Verizon Communications and Vodafone Group Plc.

(Reporting by Sinead Carew and Sakthi Prasad; Editing by Matthew Lewis, Steve Orlofsky and Ed Lane)

(This story corrects the 5th paragraph after AT&T and Sprint revise comments on bill pay charges. Sprint and AT&T both said they charge fees in some cases)

 
  • We the People!  •  1 month 25 days ago
    Remember NETFLIX!..screw with the customer and they will walk away!
  • bevhillsguy  •  Encino, California  •  1 month 25 days ago
    Dear Verizon, you are screwing up your company. You used to focus on the customer, and lead the pack (just check old issues of consumer reports), but your current executive 'leadership" is heading in the wrong direction, with this,and other recent moves. Watch the 'thumbs up' posts from my peers that this post receives, and get back on track before you become ATT. Bevhillsguy
  • GW Panda  •  1 month 25 days ago
    Time to send Verizon a message. It doesn't pay to tick off your customers. Netflix had to learn that lesson. Looks like Verizon does too. When businesses get too big to realize they have to depend on customers it's time for the customers to see how the business does without them.
  • CandiceC  •  Watsonville, California  •  1 month 25 days ago
    Excuse me, but wasn't the push a few years ago to get people paying ONLINE so their costs would go down because they weren't having to send you a paper bill? So tired of all of these corporations dumping their costs onto us. We are all hurting too!!! Its time for them to feel this hurt too.
  • KENNETH  •  Atlanta, Georgia  •  1 month 25 days ago
    finally news you can use...bye verizon!!!
  • Kanya Sux Meatpipe  •  1 month 25 days ago
    This would be a change to the terms and conditions of my original agreement when I signed the 2 year contract. This may allow me to move on to another carrier as it is a breach of contract in my eyes.
  • Joseph  •  Salem, Oregon  •  1 month 25 days ago
    It's too bad Verizon didn't learn anything from Bank of America. I'm going to miss their coverage.
  • Zasahar  •  Seattle, Washington  •  1 month 25 days ago
    So let me see if I understand this correctly.. They are going to charge customers for using an online form which requires zero labor (as far as a CSR goes) to enter in all the information themselves and dub it a "convenience" fee, wow isn't that nice. So when computers do the jobs for your actual employees and you charge people for cutting out the middle person and yet you continue to have an employee in a store take it free of charge? Only Verizon can try to pass that logic off. I am so glad I got out of their contract, them and AT&T are the two worst wireless companies as far as overcharging and crappy plans. They continue to nickel and dime their customers any way they can to make more profits and this latest scam just reinforces that perception. Heh charging the customer for doing ALL the work, yep perfect sense!
  • Sharon  •  1 month 25 days ago
    I, too, have been a loyal customer who started with not one, but TWO bag phones [at about $900 each]. You know, a Trac phone would not only be less expensive, but a whole lot less hassell. Verizon, it will be a cold day in h--- when you have direct access to my bank account.
  • ronniej1183  •  Chatfield, Minnesota  •  1 month 25 days ago
    Have you fat cats learned NOTHING from Netflix in this economy? Damage control in 3... 2... 1...
  • Raymond Poppy  •  1 month 25 days ago
    Consumers are finally noticing that AT&T and Verizon = The Most Expensive Wireless Plans in America. We know where Verizon and AT&T (both in the top 5 for corporate lobbying) get all that money to run commercials 24x7, pay out huge “fat cat” executive bonuses and hire armies of lawyers and lobbyists to try to push the U.S. market into a wireless industry duopoly -- the American consumer. This is how AT&T and Verizon fashion themselves as brilliant … with their political use of money.

    According to the report “Corporate Taxpayers & Corporate Tax Dodgers 2008-10,” two of the 25 companies with the largest total tax subsidies were AT&T at #2 ($14.5 billion) and Verizon at #3 ($12.3 billion). Also, there were 30 corporations that paid less than nothing in aggregate federal income taxes over the same period. These 30 companies, whose pretax U.S. profits totaled $160 billion over the three years, included Verizon. The report states the laws that allow this were not enacted in a vacuum, but rather were adopted in response to relentless corporate lobbying, threats and campaign support.
  • Tracy  •  San Diego, California  •  1 month 25 days ago
    They just talked into going paperless and now they are going to charge me. Verizon is starting to suck just like Netflix.
  • Ifuonlynew  •  Seattle, Washington  •  1 month 25 days ago
    I`ve been a customer for 20 years + I will drop like i did BANK OF AMERICA.
  • phillyfan  •  Wilmington, Delaware  •  1 month 25 days ago
    what costs more processing a payment online or through the mail? go figure once the contract is up guess i'll be switching.
  • M M  •  1 month 25 days ago
    Things like that should be made illegal. Capital One does it as well, including phone payments when they call YOU and harass you claiming you're behind despite the obvious from the paper trail that you're not.

    Verizon has lost me as a customer due to this. I don't care if they back down, it's over. They're idiots for even considering this.
  • bryan  •  1 month 25 days ago
    I think if Verizon wants to play this way we should play too. Everyone that has paperless billing, go back to receiving bills thru the mail and paying bills thru the mail with checks. Verizon will be paying millions more in postage, paper for bills and more employees to process checks in house. Maybe a million more payments each month they have to process in this slow way they will get the messege they shouldnt have messed up a good thing.
  • everything4lessstore.com  •  1 month 25 days ago
    They did the same for home lines. Tried to pay online and would not work and so called them and then they wanted to charge $3 to pay over the phone. How absurd. That is no way to run a business. Cancelled home phone and dsl with verizon and would never use them again in any way shape or form if I dont have to. At&T is also terrible and have been for years overcharging people. heck your bill real carefully every month as they will try and sneak things in.
  • Erock  •  1 month 25 days ago
    "The fee is designed to address costs incurred by us for only those customers who choose to make one-time bill payments in alternate payment channels (online, mobile, telephone)".

    If Im not mistaken, Verizon is "online, mobile,and telephone"...
    So I guess Verizon is an alternate company.
    Dumb.
  • Cesar  •  Guayaquil, Ecuador  •  1 month 25 days ago
    Just switch to Cricket or Virgin Mobile, unlimited talk text and web, $55/month.
  • Levan  •  1 month 25 days ago
    Let me get this straight, there's a fee for paying fees?
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