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History
- Referred to energy and telecommunications
- Referred to energy and telecommunications
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S1176
Title of bill
An act to amend the public service law, in relation to limiting certain charging practices by companies that provide prepaid telephone calling cards and increasing fines for violations of limitation requirements
Purpose
To enhance consumer protection in prepaid calling cards.
Summary of provisions
Creates a new subdivision 4-a of Section 92-F of the public service law to prevent companies from:
-Calculating for usage charges by rounding up beyond the next minute.
-Charge for unconnected calls.
-Publicize a connection fee if there is a disconnection fee.
-The bill increases penalties for violations of the act.
Justification
Calling cards are often used by new immigrants with families and friends abroad and by friends and families of military personnel as a means to make inexpensive phone calls overseas. Unfortunately, due to unscrupulous practices many consumers get less than what they bargain for. For instance, many calling card companies round up to the next 3 or even 5 minute increment, while others advertise that there is no connection fee for a call, but then charge a disconnection fee. A study by Consumer Reports helped to unveil some of the unscrupulous practices that result in calling card consumers getting less than what they bargained for. Among a few of their findings:
-Of the 130 calling cards purchased about three quarters of the cards didn't disclose the proper rates.
-Many of the cards had unclear post-call fees, periodic fees, and surcharges.
Other calling cards that did display fees or disclosure information did so in font so small that a magnifying glass was needed. This bill seeks to put an end to these problems by establishing fair standards and enhancing the disclosure requirements so consumers have a clear understanding of what they're getting when purchasing calling cards.
Legislative history
2013-2014: S.3729- Referred to Energy and Telecommunications
Fiscal implications
None to the State.
Effective date
This act shall take effect 120 days after it shall have become a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.