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Article: Federal Regulators to Weigh Minimum Charges on Long-Distance Service.
- Article from:
- Knight Ridder/Tribune Business News
- Article date:
- June 9, 1999
- Author:
CopyrightCOPYRIGHT 1999 Knight-Ridder/Tribune Business News. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Knight Ridder/Tribune Business News
Jun. 10 -- Prompted by consumer outcry, federal regulators are to meet today to examine minimum monthly charges that AT&T Corp., MCI Worldcom, and most other long-distance companies attach to the bills of low-volume callers.
Known by some in the industry as a "granny tax," minimum charges have drawn criticism from consumer groups who say it effectively bills people for services they don't use.
For example, Elizabeth DeYoung, 87, of River Edge makes only a couple long-distance calls each month, so starting next month AT&T will add a $3 minimum to her bill and those of all its low-volume customers, estimated to ...