Verizon Fee – Verizon said Thursday that it will start charging a $2 convenience fee for every payment that subscriber makes over the phone or through their online account when using a credit card. This is a big test and a move that already has cell phone subscribers worried. The company’s wireless announcement left many customers in the dark who had questions before it’s introduced on Jan. 15.
To clear up some of this confusion, the new Verizon Wireless fee does not apply to electronic check payments or to automatic credit card payments set up through Verizon’s AutoPay system, and paying by credit card inside a Verizon store will remain free, as when mailing a payment.
Most customers were upset because they thought the $2 fee applied to everyone, but in this case, it’s only those who pay their bill online or over the phone when using a credit card.
Other carriers have tried to get subscribers to move to automatic payments through other means. AT&T Inc. offers a $10 gift card for those who set up AutoPay. Sprint Nextel Corp. charges subscribers who have caps on the fees they can rack up each month. Those people are charged $5 monthly unless they set up automatic payments.
It’s not uncommon for utilities, universities and even state tax departments to charge convenience fees for online payments. Each credit-card payment comes with fees that the companies can avoid by getting electronic checks instead. Automatic payments mean less trouble for companies in going after late payments.
Verizon Communications Inc., the landline phone company that owns most of Verizon Wireless, tried last year to introduce a $3.50 fee for people who paid their bill for FiOS TV or Internet service month-to-month by credit card. It backed off after complaints.
Verizon Wireless serves 91 million phones and other devices on accounts that pay the company directly, and more who pay indirectly through other companies.