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Power to the People: why Verizon rescinded the $2 fee

Posted: , by Alan F.

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Power to the People: why Verizon rescinded the $2 fee
How did Verizon go from wanting to tack on a $2 convenience fee on certain forms of payment (including online and paying by phone) to backing down and rescinding the fee? It appears that the power of the little guy, the "you can fight city hall" spirit is alive. Once Big Red announced that it would impose the $2 free, thus forcing its loyal customers to switch to a monthly auto-pay to avoid the fee, Big Red's customers got angry. Very angry.

One customer in particular, Molly Katchpole, started a petition on change.org and as of Saturday morning, collected 154,000 signatures with each one calling for Verizon to drop the $2 convenience fee. While that might have had a lot to do with Verizon's subsequent actions, nothing carries more weight amongst the carriers than the FCC. So when the FCC told Big Red that it was going to look into the matter, Verizon executives started to think about doing a 180 degree change.

Had Verizon's fee stuck, you probably would have seen the other three major stateside carriers side with Verizon and tack on the same $2 fee. But thanks to the combined power of the people and a government agency that did what it is charged with doing, Verizon customers will be $24 richer than they might have been. by this time next year.

source: change via NYTimes

The Katchpole petition drew over 150,000 signatures

The Katchpole petition drew over 150,000 signatures


20 Comments
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posted on 31 Dec 2011, 13:35 5

1. skymitch89 (Posts: 1015; Member since: 05 Nov 2010)


Good! That's pretty much how people got BofA to drop their $5 monthly fee for using debit cards. I think that if Verizon needs the extra money, then they should charge for in-store payment instead. I know that Sprint and Cricket charges, though I don't know how much Sprint charges but Cricket charges between $3 and $5 in store.

posted on 31 Dec 2011, 15:03 2

8. PhoneUser (Posts: 77; Member since: 11 Dec 2008)


Sprint doesn't charge customers to pay their bill in store......where are you getting these ideas from?

posted on 01 Jan 2012, 06:13

17. jagon91 (Posts: 13; Member since: 03 Aug 2010)


Sprint does charge in store. If you go to the Sprint store and they don't have the Kiosk onsite to pay, they will charge you at the counter when you pay the CSR. AT&T does the same thing. If you pay at the little kiosk thing, there isn't a charge but if you deal with a person there is... I think it's a stupid fee either way... I don't see why I have to pay a fee to pay my bill on time...

posted on 02 Jan 2012, 01:16

19. IHatePhones (Posts: 99; Member since: 12 Aug 2009)


You're right and wrong at the same time. Sprint corporate stores don't charge you a fee to pay your bill at a register, some of the franchise (or third party) stores do. Almost all corporate Sprint stores have an APC (auto payment center) and even if you did pay at the register at a corporate store there is no fee. Just a little correction. Frankly I'm surprised that no Sprint employees spoke up sooner.

posted on 31 Dec 2011, 18:16

13. belovedson (Posts: 830; Member since: 30 Nov 2010)


verizon didnt pay for taxes last year. i am going to repeat this until everyone realizes how corrupt verizon is. they are powerful as well. read up

posted on 01 Jan 2012, 10:26

18. Obdabeast (Posts: 41; Member since: 01 Jan 2012)


You do realize verizon doesn't have complete ownership of verizon wireless right... go into a verizon wireless store and ask for home services and see what they say.. vodafone owns Verizon wireless.

posted on 02 Jan 2012, 09:58

20. Gawain (Posts: 340; Member since: 15 Apr 2010)


Vodafone is a minority owner of VZW, 45% to be exact. Verizon Communications is the majority owner. VZW operates with near complete autonomy from either entity. In areas where Verizon Communications is also the local exchange carrier, some VZW stores may have the ability to act as agents for local services/FiOS, etc. Otherwise, it's like any other wireless store - a few walls of phones, accessories, yada yada...

posted on 31 Dec 2011, 13:51

2. jsd0108 (Posts: 19; Member since: 11 Mar 2010)


Ok, so there isn't going to be a $2 fee to pay your bill. Great! Awesome!

Can we please move on to something interesting now or do we have to keep hearing about this? I've already moved past it.

posted on 31 Dec 2011, 15:03 6

7. quakan (Posts: 1136; Member since: 02 Mar 2011)


obviously not, you clicked on this link to read this story.

posted on 31 Dec 2011, 13:51

3. warlockz (Posts: 156; Member since: 10 Oct 2011)


Vwz is still going to lose people based on the principal they love to nickel and dime their customers. Now imgine if people showed this drive towards all major cell phone service carrier fees for their service charges.

posted on 31 Dec 2011, 14:11 2

5. bossmt_2 (Posts: 429; Member since: 13 Oct 2009)


Imagine if people showed this ire towards the politicians who broke this system.

posted on 31 Dec 2011, 14:01 5

4. seanjohnusa91 (Posts: 30; Member since: 01 Nov 2011)


Hey, don't knock $24 dollars...That's an oil change right there.

posted on 31 Dec 2011, 15:02

6. quakan (Posts: 1136; Member since: 02 Mar 2011)


Let's keep this train going! Let's try and get prices reduced across the board! CHEAPER MONTHLY BILLS AND CHEAPER DATA! lol

posted on 31 Dec 2011, 15:09 1

9. MorePhonesThanNeeded (Posts: 618; Member since: 23 Oct 2011)


Ahh, this is what I like to hear. Power of the consumers baby. I still have my unlimited everything I can get and no $2 fee on my online payments as well. Awesome network coverage and service, why the hell am I going anywhere? I disagree with lots of things but to look a gift horse in the mouth and act all tough and spoiled is dumb and fool hardy...you can switch if you want but only company you can get Verizon's level of quality for lower price is...I will have to get back to you on that one. AT&T can get you same prices, but not so much same quality though. Metro PCS is pretty good if you live in a metro area, or if you like having awesome cheap overseas calling plans. I'm $24 dollars richer right now, what the FCC needs to do is look into all those blasted taxes that go into wireless plans, like seriously what is all that garbage used for?

posted on 31 Dec 2011, 15:42 2

10. The_Miz (Posts: 1496; Member since: 06 Apr 2011)


Boohoo, people whine too much. Should've sucked it up and paid. But oh no, big bad govt had to get involved.

posted on 31 Dec 2011, 16:44 3

11. Gotchafone (Posts: 23; Member since: 15 Nov 2011)


miz is the 1%

posted on 31 Dec 2011, 16:45 4

12. becazican (Posts: 52; Member since: 09 Nov 2011)


Miz you are an idiot, send them your 2.00 if you want

posted on 31 Dec 2011, 18:32 6

14. Droid_X_Doug (Posts: 5517; Member since: 22 Dec 2010)


Miz needs some negative votes. If enough negative votes are given, the post gets collapsed.

posted on 31 Dec 2011, 23:21 1

15. androidphan (Posts: 32; Member since: 06 Nov 2011)


Energy companies, cable companies, credit card companies, retail credit cards, mortgage companies, banks, etc etc. they ALL charge up to $12 - $15 dollars to pay over the phone. Where's the uproar about that?

I must admit, I shook my head when I first heard about the $2 fee. But it's $2. When compared to those others it's cheap. I know verizon makes a ton of money, but these transactions also cost them a lot of money, especially pay by phone (to a human rep). I'm ok with the fee, but it should only be for paying by phone to a real rep. All other payment methods should be no cost.

posted on 01 Jan 2012, 00:06

16. Uzzelien (Posts: 131; Member since: 22 Feb 2011)


Was it that or the day after they said they were going to start doing it that the FCC was going to start to investigate it...

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