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Friday, December 30, 2011

The Internet Three, Big Business Zero: Verizon Drops Plan to Charge $2 Fee to Pay Bill

Posted by on Fri, Dec 30, 2011 at 3:15 PM

Barely a day after sparking an Internet shitstorm by announcing plans to charge customers a $2 "convenience fee" for one-time credit card bill payments, Verizon has reversed itself, citing "customer feedback."

Objections to the fee came fast and furious, and highlighted just how quickly things race around the feedback loop now, even when a company attempts to deliver the bad news during what is supposed to be a slow news week when fewer people are paying attention.

The commentary appeared first on Twitter ... Some people started petitions on the same Web site where a similar campaign helped convince Bank of America to rescind its now infamous $5 monthly debit card fee. Many others insisted that they would switch to paper billing, in effect to punish the company for its actions by finding the most cost-consuming way to pay their bills each month that did not require them to pay a fee.

In addition to the Bank of America and Verizon reversals, Internet domain registry goliath Go Daddy recently pulled its support of the overreaching Stop Online Piracy Act, after a spontaneous and highly effective online boycott cost it thousands of accounts.

Wow. This Internet thing. There may actually be something to it.

 

Comments (21) RSS

Oldest First Unregistered On Registered On Add a comment
1
Wow, the revolution has begun! Between Verizon and BoA, it's saved us, what, $5 a month?

Don't spend it all in one place!
Posted by Hobo Hilton on December 30, 2011 at 3:23 PM
rob! 2
Pretty amazing, considering that the verizarape.com / hateverizon Web site has been around for years, providing a comfy resting place for a wide range of verizon-outrage stories, seemingly with little effect on the biggest company with the worst customer service.
Posted by rob! http://www.youtube.com/watch?v=QZBdUceCL5U on December 30, 2011 at 3:23 PM
BLUE 3
They're still gonna get their fees. They'll just need to be a bit more clever about it. Who thinks they're really gonna give up billions in revenue?
The Internet: 3
Big Business: a much bigger number than 3
Posted by BLUE on December 30, 2011 at 3:30 PM
4
Apparently liberals think Verizon, BoA etc. puts a gun to their heads and forces them to buy their products.
Posted by Silas Potter Jr. on December 30, 2011 at 3:35 PM
5
This and porn! Don't forget porn.
Posted by Jonathank5 on December 30, 2011 at 3:42 PM
gloomy gus 6
Hooray! @3, forcing them to do find a less shady way to make those dollars is a win, though, isn't it?
Posted by gloomy gus on December 30, 2011 at 3:44 PM
BLUE 7
@6 On the contrary... With the advertised fee one could modify one's behavior and avoid the fee. I'll bet they'll do something akin to raising everyone's monthly bill a nickel in order to bury the cost. It's a win for lazy people and a loss for transparency.
Posted by BLUE on December 30, 2011 at 4:08 PM
Rotten666 8
Just get rid of your cell phone plans. Easy as pie.
Posted by Rotten666 on December 30, 2011 at 4:28 PM
Kinison 9
Except land line users are still charged a 3.50$ fee to pay their bill.

http://www.broadbandreports.com/shownews…

And the GoDaddy SOPA boycott, really hasnt worked at all.

http://www.broadbandreports.com/shownews…

Goldy, you might want to read sites other than Wired or MacOSrumors.
Posted by Kinison http://www.holgatehawks.com on December 30, 2011 at 5:44 PM
rob! 10
@8, no, unless you're suggesting people drop phone service altogether. A few months before I deep-sixed my land-line earlier this year (because I wasn't using it), Verizon had warnings up on their Web site that credit-card payments for land-lines would begin incurring the "processing fee."

@3/7, I'm sure Verizon WILL try to meet their offshoring-of-labor/corporate-profit targets by sneaking in whatever disincentives/nickel-and-dime charges they think they can get away with. I hope we still have enough ethical congress-critters and alert internet flying monkeys around to try to hobble them and other monopolists, because tech-savvy, urban, and smug/greedy people tend to forget that 30 million or more people in the U.S. still don't have access to reliable, economical high-speed internet service; millions more elderly, poor, and disabled people can't afford or can't use a home computer or live 20+ miles from a public-access computer.

Look, utilities survived just fine for more than a century by sending out paper bills and processing cash payments or checks. The costs to do those things have fallen tremendously (reduced/streamlined/regionalized bulk-mailing, high-speed laser printing of bills, scanning and instant debiting of checks, etc.). Virtually all small-town utility offices where payments could be made on payday in person closed long ago. I suspect that only a few existing laws require utilities to provide paper bills when requested and accept payment by check without extra fees, and I hope that continues until and unless there is some kind of universal access provision for internet access and help with basic computer purchases. Remember the vast government subsidies provided in decades past for electric power (Rural Electrification Administration) and telephone access; nobody screamed "SOSHULISM!" and everybody thought it was a Good Thing.
More...
Posted by rob! http://www.youtube.com/watch?v=QZBdUceCL5U on December 30, 2011 at 5:48 PM
Supreme Ruler Of The Universe 11
I have been suggesting in Internet Evolution that the switched voice network that is the basic of 'cellular operators' is long been obsolesced by IM and email.

Right now making a voice call falls into the same category as writing a check...done as a lifeline for the last few holdouts who can't make the trek across the fjord.
Posted by Supreme Ruler Of The Universe http://yrihf.com on December 30, 2011 at 6:27 PM
12
When is that that whenever something like this happens, there's a chorus of comments that basically say "It's hopeless, nothing can ever change, we're doomed, they'll just find a way to charge twice as much, you might as well give up now".

What's the point of that sort of comment?
Posted by SLCamper on December 30, 2011 at 6:31 PM
Keister Button 13
""The company made the decision in response to customer feedback about the plan, which was designed to improve the efficiency of those transactions. The company continues to encourage customers to take advantage of the numerous simple and convenient payment methods it provides."

Also, scrutiny from the Federal Communications Commission may have influenced Verizon.
Posted by Keister Button on December 30, 2011 at 6:33 PM
14
This is what democracy looks like.
Posted by sonder on December 30, 2011 at 6:48 PM
MasMadness 15
You know...this one came and went so quick I'm starting to think that they're announcing them just to rescind them at all the inevitable outrage, thus redoubling the illusion of listening to customers. That may seem a bit much...but the consumer world is getting to be a pretty weird place, if no less predictable than the previous dynamic.
Posted by MasMadness on December 30, 2011 at 7:41 PM
Dr_Awesome 16
Rob!, thank you for mentioning the REA, and making the point that the wingnuts would refer to it as 'that evil socialism' if it were to be created today.

With no REA, all the rural conservatives and hillbillies would still be lighting their shacks with kerosene lanterns, and would be unable to even listen to the right-wing media noise machine. In a small way, it (the right wing nuttery) owes its existence to the thing it claims is the ultimate evil threatening our country.
Posted by Dr_Awesome on December 30, 2011 at 7:48 PM
17
@15 is right. "We listened to you, see what a nice company we are (but we're going to charge you more in a more devious manner").
Posted by sarah70 on December 30, 2011 at 8:26 PM
18
Ok so Verizon gave up, but how about Geico which charges $5.00 if you want to pay your insurance bill online. Much like Verizon, pay by mail with a check and it's free. Or you want to sign up for automatic deductions? Also, free.
Posted by Derek http://hurricanechasermusic.com on December 31, 2011 at 12:29 AM
Mr.Designer 19
I don't know why such a big deal was made about a $2 fee. I pay by debit/credit card and was warned months ago by Verizon there could be a fee and there are ways around the fee. Credit card companies take a percentage of the money owed. Verizon is probably just trying to recover some of that money.
Posted by Mr.Designer on December 31, 2011 at 3:35 AM
watchout5 20
That's funny. I remember back in the day making fun of the verizon tech who thought .01 dollars and .01 cents were the same thing. The guy went on for over an hour. HOW DO YOU LOSE THIS DEBATE HUH VERIZON
Posted by watchout5 http://www.overclockeddrama.com on December 31, 2011 at 5:44 AM
thinkchip 21
This is what the free market looks like. Besides the FCC part, anyway.

This is exactly the kind of peaceful social and economic regulation that libertarians and anarchists know will work better than the corrupt, violent institution called government.
Posted by thinkchip http://www.facebook.com/thinkchip on December 31, 2011 at 12:29 PM

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