An Indiana based company is putting the squeeze on senior citizens by offering false promises and costly fairy tales about long-distance rates.
Buzz Telecom Corporation is facing investigation from numerous state governments due to complaints of slamming and cramming, according to officials familiar with the case.
Slamming is the switching of long-distance service without customer consent and cramming is the addition of phone bill charges for unauthorized services.
Hundreds of complaints have flooded the offices of state officials, most from senior citizens that were promised a "senior discount" from Buzz Telecom. Instead of a discount, the senior saw a huge increase on their phone bill.
The scheme works like this:
The Buzz representative will say they are an employee of, or calling on behalf of, your local phone company. The pitch will include the promise of huge savings but won't include information about an assortment of fees and charges.
Hundreds of seniors found their long-distance service changed even though they had declined the offer. When they cancelled their Buzz account, they promptly received a bill for a cancellation fee.
In addition, many seniors reported their first bill was over $40.00 even though no long-distance calls were made.
While hundreds of seniors cope with the headache of this fraud, Buzz Telecom is currently facing investigations in Montana, Kentucky, Georgia, Iowa, and North Carolina.
What To Do
To assure that your long-distance is never switched without your permission, always follow these two easy rules:
First, open your phone bill every month and verify the rates, charges, and companies that appear on your bill. In the Buzz scam, the charges will appear on the local phone bill or on a separate mailed bill.
Second, call your local phone company and ask them to place a "PIC Freeze" (sounds like pick freeze) on your line. Once the freeze is applied, your long-distance cannot be changed without your verbal or written permission.
