Shame on the cell phone companies
My Pet Peeve for this week? Cell phone rip-offs.
Did you ever notice that when you buy a new cell phone, you pay the sales tax on the original inflated retail price (“retail value” tax) of the phone – not on the discounted (or even free) final price of the phone? Why is that?
Do you know of any other purchase or transaction where this is done? If you buy a loaf of bread or a car that’s been discounted, you pay the amount of sales tax calculated on the DISCOUNTED purcahse price of the item. Right?
So what’s the deal with the cell phone companies? Obviously they’ve managed to lobby their way into this sweet deal by “persuading” our dedicated, hardworking and loyal legislators into allowing such a blatant scam to be imposed on the citizens of this country.
This is only one of the Pet Peeves that I have about the cell phone companies. There are plenty of others. What about you? Do you have any?
Let us hear from you.
Peeve On!
The Peeve Meister
P.S. Congrats to conanabanana02, our Rant-of-the-Week winner from last week. And good luck to all you Super Peevers this week. We'll be awarding another set of prizes for the best comment to this week's "Rant of the Week."
Comments
holy crap i won!? i dont ...
holy crap i won!? i dont even remember what i wrote. thank you!!
regarding cell phones....
i finally got a contract with verizon in (i think it was) march. i get a discount because of my job and i signed up for the premium package. 450 minutes ( i dont talk much. last month i had used only just over half of those minutes), unlimited texting to anyone, unlimited nights and weekends, navigation with free airtime, IM with free airtime, email (linked to my yahoo account) with free airtime, and other perks that are similar. my plan costs 79.99/month. with my discount is comes to about 66/month. yippee. however, last month i paid about $90. granted, i purchased a few ringtones and fun stuff like that. so i figure this month will be cheaper. hmmm....so far im at $92. what could i possibly have charged? apparently its mostly taxes. and one 411 call. ha. so taxes on everything brings up my bill about 15-20 dollars. i bought a few more things this month, also. but dang! taxes cost that much. it stinks. so i dont know if im paying taxes on the original amount for my monthly charges of the discounted amount. i should try and calculate that out. hmmmmm
did i win because of all ...
did i win because of all the "hints" ive been dropping about wanting to win? *nudge nudge* huh? well...well...??
i had verizon pre-pay ...
i had verizon pre-pay before i got the contract and i liked that. it was $54/month including taxes. i barely used all my minutes and i still got pretty good service. i wanted the contract, though, so i can get better features. i LOVE the navigation on my phone. it is so accurate and it even recalculates a route if i take a wrong turn (because im a jackass that cant figure out which is my left, lol). and i text a LOT when im at work so i really love the unlimited feature. that includes ALL people. not limited to verizon customers. its great.
You guys have to pay tax ...
You guys have to pay tax on your phones? That sucks... We don't have sales tax up here.
I miss my Nextel, that was the BEST phone I ever had. I have a cellone up here, but they sold out to AT&T. Still great though, never have any coverage problems or dropped calls.
If any of you have a Motorola, there's a "Motorola Phone Tools" program out there that you can download. It makes it super easy and fast to back up your phone numbers to your computer, plus you can make your own ringtones from songs you have on your computer. You can also transfer images to the phone as well. I LOVE that program!!
i heard motorola might be ...
i heard motorola might be going out of business.
I hope they don't! Their ...
I hope they don't! Their phone is soo easy to work with now that I have that program. I won't EVER have to put phone numbers in my phone again!
oooh conana, I need to ...
oooh conana, I need to send you my cell # so we can text each other, I have Verizon too w/unlimited texting!!!
oh, and you had ranted ...
oh, and you had ranted about when you went to starbucks on last week's rant of the week! congrats on winning!!
I don't have a problem ...
I don't have a problem with my cell phone compnay either. I have Alltel. But I have a problem with most of the other companies, Sprint at the top of that list. They cost me $250 just to get the phone contract, $75 for the phone (it was on sale), $100 for the first months service. When I cancelled two years later I expected my $250 dollar deposit back. they told me that I wasn't getting anything b/c they used the deposit for the first three months bills. When I told them that I had paid them for those three months they said there was no record of me having ever paid my bill and have a nice day. Hung up on me. I went down there to show the receipts and they said sorry can't help you. So I was out $250. I threw the phone in the trash after taking a bat to it.
The other companies have horrible service. Dropped calls, bad reception, poor CSR, phones that are too expensive.
I will just stick with Alltel. At least when I have a call dropped I get the minute refunded and we have great CSR and Great reception.
aww, thanks dawn! and i ...
aww, thanks dawn! and i would love to text you. i enjoy texting. since i hate talking on the phone (ironically thats most of my job, hehehe) it keeps it simple for me. im so glad i have the enV phone, makes texting easier. email me your number and ill text you...
conanabanana02@yahoo.com
"Did you ever notice that ...
"Did you ever notice that when you buy a new cell phone, you pay the sales tax on the original inflated retail price (“retail value” tax) of the phone – not on the discounted (or even free) final price of the phone? Why is that?"
They say only two things are for certain in life, death and taxes.
If given the choice between the two - (as much as I hate 'em) I'll take the taxes please.
What's worse is how they ...
What's worse is how they round up the minutes!
Imagine if every item you ever bought (just like every minute you ever buy for your cell phone) was rounded up to the next dollar. Every item would of course be priced at one cent over the dollar amount and then it would cost 99 more. That would seriously add UP! But cell phones get away with it, or at least they all used to. Now I think some finally stopped and round to the nearest 20 seconds or so but even so, they should not be permitted to round up at all! There isn't one iota of sense in it as far as fairness goes. How about if you bought three bagels and they rounded it up to a dozen? How about if you bought a quart of milk and they rounded it up to a gallon? How about if you bought a sports suit and rounded it up to a full wardrobe? OK, that might seem ridiculous but the rounded up minutes add up to hundreds of millions of dollars and THAT *IS* RIDICULOUS! They nickel and dime us to death. Then the complaints department is some non English speaking dolt on the other side of the planet who might as well be from Mars. Cell phone companies provide a tremendous service but they also "service" us up the rear every time we turn our back on them. There used to be some consumer protection in this country but it completely disappeared eight years ago. January 20, 2009 can't come fast enough.
Our old cell phone started ...
Our old cell phone started having problems holding a charge, so on Nov. 6, 2007, we decided to take our phone service provider up on their offer of a free cell phone with the signing of a 36 month contract at a good price. On the whole this company has provided reasonably good service up to this point, but since we got our previous cell phone, the company has opened their own retail outlets to sell their products. A visit to their outlet in our town was a total waste of time. The clerk talked like a machine gun and if you asked her a question about a particular feature, she just went back and started her sales pitch at the beginning again. We left and went to another outlet in a nearby town. Here we were waited on by a clerk who I can only assume started the job that morning and had about enough training to know where to find a blank copy of the contract. She certainly didn't know how to fill it out and didn't have a clue about how to activate the phone. After about 20 minutes of wasted effort, another clerk finally came to the rescue. However a couple of days later we get a letter advising us that our contract was expiring Nov. 6, 2007 and inviting us to take one of their offers for continuing phone service. Our 36 month contact obviously had lasted 36 minutes. This company now doesn't have to farm out their service, their regular staff are screwing it up just fine. It took a couple of phone calls to the head office to straighten that one out.
But now comes the thing that made me really angry. While we were waiting for Miss Efficient to fumble about with our contract, I decided to pay the bill for our land line (also with the same company). Another clerk rang up the transaction for a $1.50 more than the amount of the bill. What!! She politely informed me that they charge a $1.50 service charge for paying your bill in the company's own store!!!! I told her that when I buy groceries in the grocery store, I don't pay a service charge and when I buy gas at the gas station I don't pay a service charge and when I pay my phone bill at the phone company's store, I had no intention of paying a service chage. She got really pissed off and told me I would have to pay service charges no matter where and how I paid it. I get my chegues free, don't pay any service charges at the bank so paying the bill by cheque would cost me an envelope (100 for 2.00 at the Dollar Store) and a 52 cent postage stamp. It probably costs the phone company far more in staff time, etc. to process my cheque that they receive by mail than to process the cash I was offering in their retail outlet. I'll continue to pay by cheque. Don't mess with a senior.
I hate all the various ...
I hate all the various taxes and strange fees they add to your bill monthly. My service is 49.99 yet my bill is just over $61.00 each month because of taxes and access fees - it's nuts and just wrong!
As far as being taxed on the retail price of a "free" phone, I guess it works like coupons do. When you use a coupon you're taxed on the full price of the item and then they deduct the coupon. Just another way for Uncle Sam to make sure he gets as many of your pennies as he can.
Well, I HAVE paid the tax ...
Well, I HAVE paid the tax on a "free" item in a supermarket when there is a "buy one, get one free" sale. Both items are rung up and taxed, then you are credited for the free item.
But, a $1.50 charge to pay the bill in the store? Yikes, I'd raise a stink. Here's what you do, go to the company's web site to the "about us" or the "Management" section if it's a public company. Write a letter to the CEO and ask why the company charges this fee. Be tactful, but let him or her know that charging this type of fee is a bad business practice. Again, be nice, not rude and see what happens.
Nothing tops Tracfone for ...
Nothing tops Tracfone for worst service and worst phones - the prices are terrible and taxes? Feh. Pre-paid doesn't help there, either. Since they sell in my Blankety-blank state, albeit in drugstores and the like, they "must" charge a sales tax... And when you have a problem with the phone or the service, you wind up talking to Juan or Pablo (at least Mexico is closer) who have a fair understanding of English, but it's difficult to understand, IYKWIM...And I barely use the thing, but have to keep adding minutes or I lose the minutes I have and the number and have to start all over again. That you have just a monthly bill is why you pay more. Pre-paid has a lot of weird stuff involved...
I very rarely use a cel ...
I very rarely use a cel phone and am not a telephone addict. I have Tracfone just for emergencies when I am driving, out of the house or if someone needs to contact me urgently and I never text. I never had any major problems with it and only buy the minimum minutes every 90 days or so. It runs me less then $10 a month. Although they charge you minutes if you make or receive a call, local or long distance, it is a lot cheaper then my house phone (which charges me $6.00 a month and $0.05 a minute for long distance) which I also rarely use with all the Government (Federal, State and local) taxes, 911 fees, tty fees, access fees, etc., etc. , and, of course, State and local sales taxes. If I need to make an out of State or out of country telephone call, I use YAHOO. Computer to computer is free and computer to telephone is very cheap. Sound is excellent.
Snake Oil, I did something ...
Snake Oil, I did something a little different in this case. I usually write to the heads of companies about problems that are unsolved, but in this case, knew from past experience that I would receive little more than a pat on the head. This company provides, phone service, both land line and cell phone, internet, cable TV and even security system monitoring to the majority in the province where I live, mainly because until a few years ago they were a government owned monopoly. Even though they were sold to private investors, they still like to act like no one has the right to take them to task for anything. I felt that this was an issue that required a good public airing, so I wrote a letter to the editor of the large daily newspaper that is distributed over most of the province. I have no idea if they have stopped charging the $1.50 service fee, because I have not been back to any of their stores and the company did not publish any explanation in the paper in response to my letter. I know from the number of folks who said they saw my letter that I'm sure they got lots of static from lots of people. Don't mess with a senior.