20090508Complaint.pdf

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To:Commssioner Kempton
Commssioner Smith
Commssioner Redford
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From:Tony Wieczorek, Qwest Customer, Caldwell, Idaho
Date:May 3, 2009
Re:My 12-28-2008 Complaint Letter Regarding Qwest Biling Practices
I have attched my original complait letter of 12-28-2008, which is referenced in a
Decision Memorandum to the Commissioners from Beverly Barker and Danel Klein,
dated April 30, 2009. I identifed two violations of Telephone Biling Reguations:
1) No due date is shown on bils for customers who pay with credit or debit cards.
2) Customers who pay with credit or debit cards have their accounts charged 3-5 days
afer Qwest s internal biling date, and well before a paper biling is provided to the
customer. Idaho reguations requie the due date to be a minium of 15 days afer the
billing date.
Of these two violations, by far the more dagerous is Qwests practice of takg payment
from a customer before the customer has the opportty to see their bilL. Just ths Apri,
a person in Philadelphia received a $26,000 bil while trg to set a text-messagig
record. The phone company (T -Mobile) later credited his account because he had paid
for unimted texting.
In a letter dated April 1, 2009, from Qwest Idaho President Jim Schmt to Commssioner
Redford, Schmt stated "there are over 9000 customers in Idaho curently selectig ths
option (card payment) that we have been providing for over a decade." I am amazed ths
violation has persisted to such a degree and for such a time period without PUC action.
In light of my expressed concerns, I am very disappointed with the recommendations
suggested in the Barker-Klein memoradum. The rationale for the mandatory 15 day
delay between Qwests internal biling computation and the customer's due date for
payment is to allow the customer to actually see what Qwest has charged for the given
biling period prior to paying, so the customer may challenge and correct any errors.
At one point the Barker-Klein memo states: "Sta believes there are reasonable
alternatives to Qwests curent practice.... One alterntive would be the inclusion of a
due date with a message on bils stating when automatic payment would be processed,
e.g., withn 3-5 days followig the bill date." In what unverse is it "reasonable" for a
rue violation which can cause potentially devastatig financial ha to customers to be
permtted as long as the company notifies the customer they are doing it? If PUC
oversight consists of simply caving in and changing rues to fit the specious demands of
utility providers, how is that different than simply doing away with the PUC? If Barey
Fife is not going to use that shiny enforcement bullet, why have utility customers given it
to him?
Qwest, and unortately, PUC staff Barker and Klein, have characterized ''tansaction
dates" for electronic biling as in some way different than payment by check or cash.
Qwest has gone so far as to clai ths is for the "convenience" of customers. Does
Qwest offer its suppliers the "convenience" of withdrawig money from Qwest s account
prior to receiving a bil? A payment due date is a payment due date. Idaho regulations
do not differentiate tyes of payments in the biling reguation, so Qwest is claimig an
exception which does not exist. Electronic transaction payment is simply a form of an
electronic check. Qwest may as well clai it can apply different rules for checks from
brokerage accounts, savings and loans, credit unons, and bans. Milions of people
across America pay any number of bils, including their charge card bils, on a defmed
due date every month-after they receive their bilL.
The PUC Utilities Division Mission Statement includes the statement that their goal is to
ensure "non-discriminatory servces that are delivered safely, reliably, and effciently."
Qwest is curently discrinating against card payers.
The solution to tbs issue is not to modify existig rues to allow Qwest s violations to
continue. Qwest canot be allowed to ru a Stop Sign just because they have decided it
does not apply to them since it is an electronic blig red signal rather than a physical
meta sign. The proper admistative solution is to inorm Qwest they must comply with
the reguations they are mandated to follow in order to operate their business in Idaho.
All that is necessar to resolve ths violation is for Qwest to change their computer
program so that transactions for credit and debit cards occur 15 days afer Qwest
generates its internal bilL. That is the simple, safe, and legal solution.
ATTACHMNT: 12-28-2009 Formal Complaint Letter to PUC
Consumer Assistance Section
Idaho Public Utilities Commission
P. O. Box 83720
Boise il, 83720-0074
December 28, 2008
Dear Staf:
I recently contacted my phone company, Qwest, regarding an unsolicited change in my long
distace provider. That issue has, I believe, been resolved.
In the course of my conversation with Qwest s customer relations staf, however, I indicated I
had first noticed that my credit card had been biled for the incorrect amount while checkig my
credit card bil online. I told the sta person that I was surrised I had aleady been biled for
ths invalid charge, even though I had not yet received my paper bil. I asked if my credit card
would be imediately reimbursed for the overcharge, and was told no, that it was Qwest s policy
to make the correction on the next month's bilL. I assume Qwest will ear interest on the invalid
charge, while I will lose interest in my ban account, durng the time the company waits.
Since I had not yet received a paper bil, I then asked why I was being biled prior to having
received a biling statement. I also asked what my "due date" was to pay my bil, since it is not
shown on my statement. The sta person checked my account, and told me the due date shown
on her records was on the 18th of the month. Afer a few miutes conversation, I was inormed
that since I use autopay with my credit card, that Qwest bils my card 4 calenda days afer the
"bil date," which is when the electronic bil is created in their system. For the bil in question,
(please see atthed bil), the bil date was November 25 (Thansgivig Day), and my credit card
was biled on December 2. I fily received my paper bil December 5.
I then asked to receive a wrtten copy of the Qwest policy which requied I pay before receivig
my bilL. I was shortly forwarded to a supervsor. After a few minutes explaig the issue, I
then repeated my request for a wrtten copy of the salient Qwest policy. The supervsor's
response was "I can't do that." I was uncert what she meant, so I asked if she did not know
how to get me a copy, or if she was sayig she would not send me a copy. She repeated "I can't
do that." A few miutes of ths convinced me I needed to speak to her supervisor, and asked her
to connect me to that person. After being left on hold approximately 16 minutes, I spoke to a
gentleman who identied hiself as "Ron."
I agai explaied my request to "Ron," and fuer pointed out to hi that one concern I had was
the small, but real, possibility that Qwest might erroneously bil me for a huge amount, like 10 or
15 thousand dollars, which would freeze my credit card, establish an overcharge biling, and
show up on my credit report as an excessive use, thus dropping my credit rating. If I had the
misforte of traveling away from home when ths happened I could literally be stranded with no
way to pay my way home.
I agai asked for the appropriate wrtten policy, and "Ron" said he did not know if it was
available to the public, because it may be a confdential internal document. I pointed out to him
that if it represented a contract for payment of services, I believed I was entitled to a copy as a
point of law. He said he would ''t'' to get me a copy, and to call hi back if I had any
questions, giving me a toll free number (1-800-423-8994). I waited just over a week, and having
heard nothing, called the number and asked for supervsor "Ron." I was told no one at the
number I was given knew anyone by that name.
1) In reviewing the Idaho PUC's "Telephone Customer Relations Rules" (please see attched
pages), it appears that my paper biling should show "the due date o/the bil." My bil does not
show a due date.
2) In addition, the PUC rues regarding the due date state that "the minimum specifed time
after the billng date is fifeen (15) days, (or twelve (12) days after mailng or delivery, if bils
are mailed or delivered more than three (3) days after the biling date.) My bil was due and
biled to my credit card 7 days afer the billng date (apparently due to the Holiday), but would
normally be "due" just 4 days after the biling date.
A) Should Qwest be required to provide customers a written copy of the credit card biling
policy?
B) Is Qwest in violation of the rues cited above?
C) If so, what action will be taken to bring them into compliance?
(",';
Cordially,
Tony Wieczorek
22438 Rutledge Drive
Caldwell, Idao 83607
Phone [phone]