Ohio Attorney General Richard Cordray today announced a settlement with prepaid wireless provider Start Wireless Group Inc., doing business as Page Plus Inc. (Page Plus), to resolve concerns that the company misrepresented its services and failed to disclose important terms and conditions. As part of the settlement, eligible consumers who file complaints with the Attorney General's Office by Dec. 2, 2010 will receive $200 each.
"We are pleased that this settlement will provide substantial restitution for dozens, if not hundreds, of affected consumers," said Cordray. "This case underscores how important it is for wireless providers to disclose their terms and conditions and to operate in a clear, transparent manner."
Page Plus purchases available mobile phone plans from a national provider and makes the plans available to consumers through prepaid phone card plans. The company, based in Holland, Ohio, offers its products in thousands of storefront locations nationwide.
Since January 2010, more than 60 consumers have filed complaints against Page Plus with the Ohio Attorney General's Office. Many of the complaints involved the company's Unlimited Talk 'n Text plan. Consumers said advertisements for the plan promised unlimited minutes, unlimited text messages and 20 megabytes of data for a flat monthly rate, but the company automatically transferred consumers to a standard, pay-per-minute plan after the consumers "abused" the plan.
The Attorney General's Office discovered that Page Plus customer service representatives did not give consumers further details on how they had abused the plan and that many Page Plus advertisements failed to clearly disclose terms and conditions of the plan. When consumers were transferred to the standard pay-per-minute plan, their balances were transferred but they were not given refunds.
As part of the settlement, Page Plus agrees to clearly disclose all important terms and conditions in advertisements and at the point of purchase and to make specific changes to improve its customer service. Additionally, the company will provide $200 to eligible consumers who have unresolved complaints against Page Plus regarding the matters addressed in the settlement. Affected consumers who have not yet filed a complaint with the Ohio Attorney General's Office should do so by Dec. 2, 2010. (Consumers who already filed complaints do not need to file again.) The office will determine settlement eligibility and help reach a resolution regardless of whether the consumers qualify for the $200.
For more information or to file a complaint, contact the Ohio Attorney General's Office at www.OhioAttorneyGeneral.gov or (800) 282-0515.
