How Third-Party Verification Can Solve the Problem

NEW FEDERAL RULES ON SLAMMING

The Federal Communications Commission (FCC) has issued rules to both prevent slamming and to provide remedies for consumers if slamming does occur. These rules allow states to take responsibility for resolving consumer slamming complaints and for enforcement under the terms of the rules.

What is slamming?

"Slamming" is the practice of changing a consumer's local or long distance telephone service provider without the consumer's knowledge or consent. The FCC and many states have rules that require a consumer's authorization and verification before their telephone service provider can be changed. Verification is done using one of three methods:

1. Third party verification - an independent representative verifies the change with the consumer
2. Letter of Authorization - the consumer gives written authorization for the carrier to change the consumer's service
3. Electronic verification - the consumer calls a dedicated 800 number to verify the change

MCI does not tolerate slamming. The company has policies and practices in place to make sure that consumers' service is not switched without authorization. MCI takes appropriate actions against its representatives should a slamming concern be raised against one of our representatives.

How does a consumer know if they have been slammed?

Consumers should review their telephone bill each month. An unfamiliar company name on the bill is an indication of slamming. A consumer can call toll-free 1-700-555-4141 from their telephone to determine which company provides their long distance service.

What are a consumer's rights if they have been slammed?

Consumers have the right to return to their preferred telephone service provider without being charged any fees for switching. Consumers have the right to seek full satisfaction from the carrier that may have slammed them. Consumers also have a right to seek resolution from participating state agencies or the FCC. The remedies consumers are entitled to depend on whether they have paid the alleged unauthorized provider. The procedure for obtaining the remedies depends on whether the consumer is satisfied directly from the alleged unauthorized provider or is the result of a complaint filed with the appropriate governmental agency.

• If a consumer has not paid their bill and a slam has been found to have occurred, they do not have to pay for charges incurred during the first 30 days of unauthorized service. If the bill includes charges for more than 30 days, the consumer is only required to pay the charges at a rate of 50% of the rate charged by the unauthorized provider or the usual rate from their preferred company.
• If a consumer has paid the slamming company, they are entitled to a refund for the 50% of the amount paid to the unauthorized service provider or a re-rate.
• The consumer should also be re-enrolled in any premium program with the authorized carrier.

What should a consumer do if they have been slammed?

A consumer should first call the company they believe slammed them, and then they should call their preferred service provider in order to restore their service.

1. Call the slamming company, whose name and phone number should be on the telephone bill.
   • Find out what method of authorization and verification was used for the switch in service provider. If the company cannot provide sufficient evidence of such authorization, then the consumer may have been slammed.
   • If the bill has not been paid, the alleged unauthorized provider should remove all charges for the first 30 days of service from the bill. If the company seeks to satisfy the customer, it should reduce all charges beyond the first 30 days by 50%.
   • If the bill has been paid and the company seeks to satisfy the customer, it should refund or credit the customer 50% of all charges paid or re-rate the charges.
   • If the company does not seek to satisfy the consumer and the consumer still believes they have been slammed by that company, the consumer should seek resolution by filing a complaint with the appropriate governmental agency. The carrier should provide the consumer with that information.
   • Request they cancel and close the account to prevent any further bills.
   
   
2. Call the preferred service provider.
   • Make sure the preferred service provider reinstates the account. In addition the consumer can use the toll-free number listed above to check when their service has been switched back to their preferred service provider. The consumer should check their future bills to make sure proper credits are received.