Topic:
CONSUMER PROTECTION; PUBLIC UTILITIES; TELEPHONE;
Location:
UTILITIES - TELEPHONE;

OLR Research Report


September 25, 2007

 

2007-R-0560

“PAY AS YOU GO” CELL PHONES

By: Daniel Duffy, Principal Analyst

You asked if any other state has acted in any way to restrict or ban the sale of “pay as you go” cell phones, which require customers to pay for minutes before they are used but do not require customers to enter long-term contracts.

We did not find such a ban or restriction in any other state. The Department of Public Utility Control reports that it has not received any complaints about them. The Federal Trade Commission's website provides advice to consumers about purchasing a pre-paid phone plan, but does not warn of any associated danger.

DD: dw