FCC Proposes To Cancel Cancellation Fees - KTRE.com | Lufkin and Nacogdoches, Texas

06/13/2008-Washington, D.C.

FCC Proposes To Cancel Cancellation Fees

 by Christel Phillips

The Federal Communications Commission is considering cutting the cord on cell phone cancellations.

The chairman of the FCC is proposing a plan to regulate the high fees. He criticized the practice saying it leaves people stuck in a service they don't want.

Wireless companies say they charge the fee, usually between $150 and $225 because they say they subsidize the cost the phone. The chairman of the FCC says he wants the fee to be related to the actual price of the phone and prorated.

So far, the nation's two largest carriers have begun prorating fees. The FCC expects others to follow the trend.

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