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Vonage Pros and Cons for 2006



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Vonage All telecom carriers have paid taxes and fees imposed by local, state, and federal



All telecom carriers have paid taxes and fees imposed by local, state, and federal governments since time immemorial. For most of the last 100 years, give or take, they paid these fees, included them in the costs on which their rates were based, and thereby passed them along to their customers, though they were mostly not itemized on customer bills.

Over the last ten to twenty years, however, most carriers have begun the practice of quoting a price and then inflating the quoted price by itemizing and adding on extra charges imposed to offset these same taxes and fees. We have always paid them, but current practice makes them more obvious. It also means that a quoted price for a telecommunications service is almost never the price the customer actually pays. The transition to itemized fees resulted in an immediate rate increase for the carriers at the time. They continued to pay the fees as before, but did not reduce their quoted service price when they began adding the fees on to it.

I said almost never. I subscribe to Business Optimum Voice at a retail storefront business I own. The quoted price is $29.95/month for unlimited calling within North America. That is the exact amount of my monthly bill from Cablevision. They don't even itemize and add on the state sales tax (7% here in NJ). The sales tax, USF, municipal franchise fee, etc. are all built into the quoted price, and not added to it.

A particularly interesting item on most telephone company bills is the FCC Interstate Access Charge. From its name, most customers assume that this amount is being paid to the FCC for something or other. It is not. It purely revenue for the local phone company, but it is authorized by the FCC (as opposed to having been authorized by the state public service regulators). It is intended to make up what the local phone company lost when it was divested by its former parent company who was also in the long distance business. That company (whose name consisted of three initials and an ampersand) chose to subsidize local service with its profits from long distance service, and now we do it for them, as ordered by the FCC.



Read The Full Thread:

I''ve got mail!


Look! - I've got mail today! Vonage Customer Care wrote to me today: So
What they advertise at $24.99 is now up to $35.02 for me on a monthly basis. That's
Democrats Spreading your wealth around since 1932. Keep voting for them
Yes... the taxes are really annoying but it's still cheaper than AT&T here!
Just keep in mind these are fees that are not imposed by Vonage or any provider.
Have Had Vonage a little over two years, in the beginning $30.33 with all fees added

DLevenson posted "All telecom carriers have paid taxes and fees imposed by local, state, and federal" on 06/19/2009

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†AK and HI residents pay $29.95 shipping. ††Limited time offer. Valid for residents of the United States (&DC), 18 years or older, who open new accounts. Offer good while supplies last and only on new account activations. One kit per account/household. Offer cannot be combined with any other discounts, promotions or plans and is not applicable to past purchases. Good while supplies last. Allow up to 2 weeks for shipping. Other restrictions may apply.

1Unlimited calling and other services for all residential plans are based on normal residential, personal, non-commercial use. A combination of factors is used to determine abnormal use, including but not limited to: the number of unique numbers called, calls forwarded, minutes used and other factors. Subject to our Reasonable Use Policy and Terms of Service.

2Shipping and activation fees waived with 1-year agreement. An Early Termination Fee (with periodic pro-rated reductions) applies if service is terminated before the end of the first 12 months. Additional restrictions may apply. See Terms of Service for details.

HIGH SPEED INTERNET REQUIRED. †VALID FOR NEW LINES ONLY. RATES EXCLUDE INTERNET SERVICE, SURCHARGES, FEES AND TAXES. DEVICE MAY BE REFURBISHED. If you subscribe to plans with monthly minutes allotments, all call minutes placed from both from your home and registered ExtensionsTM phones will count toward your monthly minutes allotment. ExtensionsTM calls made from mobiles use airtime and may incur surcharges, depending on your mobile plan. Alarms, TTY and other systems may not be compatible. Vonage 911 service operates differently than traditional 911. See www.vonage.com/911 for details.

** Certain call types excluded.

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