AT&T to Pay Fine to Resolve Wireless Data Complaints

AT&T agreed to pay $700,000 as part of a consent decree to resolve complaints that the company switched certain consumers to its mandatory monthly wireless data plans even though it had promised they could retain their existing pay-as-you-go data plans.

These customers are called “grandfathered subscribers.” AT&T has agreed to refund excess charges paid by individual customers, which could be as much as $25 to $30 a month, depending on data use. The transfers began occurring in November 2009, shortly after AT&T required first-time smartphone subscribers or those who upgraded their phones to enroll in monthly data plans. Consumer complaints prompted the FCC to launch an investigation last year. AT&T has also agreed to an extensive compliance plan, which includes: consumer notification, training of customer care representatives, and periodic compliance reports to the FCC. AT&T must also conduct additional searches of its records to identify improperly switched consumers and ensure appropriate refunds.