Greedy Corporate Cocksuckers Smacked Down

[Minimalist]

Power to the people!

http://apnews.excite.com/article/2011123...2V800.html

NEW YORK (AP) - After a customer backlash, Verizon Wireless on Friday dropped a plan to start charging $2 for every payment subscribers make over the phone or online with their credit or debit cards.

In a statement on its website Friday, the company said "customer feedback" prompted the decision to drop the "convenience fee" it wanted to introduce on Jan. 15.

Fuckers.

[Tiberius]

This kind of action I support, just as I support the consumer action taken against GoDaddy recently which made them change their stance on SOPA.

[Jackalope]

Cricket Wireless still has a convenience fee similar to the one that VZW scrapped. Interestingly, they don't charge a convenience fee if you make the payment in person at one of their stores.

Logically, it would seem that making a payment via phone or their website would save them labor costs, but the cynic in me tells me that they're charging the fee because through those channels they don't have an opportunity to put a live salesman in your face to sell you high-margin accessories.

I happen to work in the cash payment industry with wireless providers being a large (but shrinking) part of our customer base. These convenience charges are commonly used in the case where a third party merchant is accepting the payment from the individual on behalf of the provider - and that fee is where the merchant gets paid from.

As I see it, that's reasonable - because it truly is a convenience to the customer (who would otherwise need to travel to a provider-owned store to make cash payments). The dirty secret here is that the wireless provider also gets a sizable cut of the convenience fee, with the payment network (where I work) getting a (typically) tiny piece. IOW, the provider does very little to nothing in the transaction and often gets the biggest slice of the fee, in addition to (typically) the full amount of the transaction. It all varies, and depends on complex contractual relationships between provider/payment network/merchant - but it basically amounts to "we're bigger than you, and if you don't want your competitor to get our business instead, we're going to get as big of a cut of that fee as you can afford".

Somewhere along the way, the wireless providers got the bright idea that it was a good idea to have convenience fees for payments that don't involve a third party or payment network (*). Padding the bottom line, in other words.

(*) It actually can be more complex than this as in some cases "company stores" are independently operated franchisees, or other complexities exist. Suffice it to say that what I described above is the typical case in the industry. I also should point out that while I'm familiar with VZW's practices first-hand, my employer no longer has a direct relationship with them - for which I am eternally grateful, because they are a MASSIVE pain in the fucking ass to deal with.

[Jaysyn]

Power to the people!

http://apnews.excite.com/article/2011123...2V800.html

NEW YORK (AP) - After a customer backlash, Verizon Wireless on Friday dropped a plan to start charging $2 for every payment subscribers make over the phone or online with their credit or debit cards.

In a statement on its website Friday, the company said "customer feedback" prompted the decision to drop the "convenience fee" it wanted to introduce on Jan. 15.

Fuckers.

Ha, this was just hours after they said that they wouldn't reverse this fee no matter what!

[reverendjeremiah]

Power to the people!

http://apnews.excite.com/article/2011123...2V800.html

NEW YORK (AP) - After a customer backlash, Verizon Wireless on Friday dropped a plan to start charging $2 for every payment subscribers make over the phone or online with their credit or debit cards.

In a statement on its website Friday, the company said "customer feedback" prompted the decision to drop the "convenience fee" it wanted to introduce on Jan. 15.

Fuckers.

..and yet one of many proofs that capitalism doesnt work. there was absolutely no reason other than greeed to try and add that charge.

All that talk that capitalists make about values working themselves out, and "invisible hands" is all bullshit and they kow it.

You want to know how they set prices? Not by market forces...they set prices according to what they think they can get away with and this is a prime example.

[Minimalist]

The "invisible hand" is what they work out among themselves in back rooms.

The only time you are aware of the "invisible hand" is when it grabs you by the balls.

[reverendjeremiah]

The "invisible hand" is what they work out among themselves in back rooms.

The only time you are aware of the "invisible hand" is when it grabs you by the balls.

..and the occasional.."oops, the common folks arent supposed to know about insider trading!"

Or...."ooops, the commoners arent allowed to know about no-bid millitary contracts"

or..."oops, the commoners were supposed to know about us abusing hedgefunds."

No. If we dont support the white collars fucking us with a big dry dork then you are nothing more than a freedom hating Terrorist lover. Since when did the wallstreet crooks get to decide what is patriotic and what is not?


Its gotten so bad that people fear calling themselves a liberal....being a liberal has been so well demonized over the last 50 years that no Democrat dare defend liberalism, or anything left wing.

[Tiberius]

..and yet one of many proofs that capitalism doesnt work. there was absolutely no reason other than greeed to try and add that charge.

All that talk that capitalists make about values working themselves out, and "invisible hands" is all bullshit and they kow it.

You want to know how they set prices? Not by market forces...they set prices according to what they think they can get away with and this is a prime example.

Erm...I don't think you quite understood what happened here.

The company tried to add an additional charge to a service. Their customers didn't like the charge and complained. The company reversed the charge.

That is market forces. That is values "working themselves out". This is a perfect example of the free market working exactly how it is supposed to.

Oh, and not that I'm trying to defend the company here, but your assertion that there was "no reason other than greed" to add the additional charge was actually refuted by the article itself:

Verizon wanted to steer people to electronic check payments, which are cheaper, and automatic credit card payments, which are more reliable.
...
Payment processors for power companies usually charge "convenience fees" of up to $5 for every payment made by phone or online, but cellphone companies haven't taken the step yet.

So apparently the reason for adding the charge was to try and get more people to use electronic payment methods, which benefit both the company (cheap to do) and the customer (more reliable). As the article also said, most companies already do this.

[Minimalist]

Since when did the wallstreet crooks get to decide what is patriotic and what is not?

Since they purchased all the politicians and the accessories that come with them.....the flag...the fucking cross...apple pie...

[TheDarkestOfAngels]

It seems like such a minor win compared to the battles of the Occupy movement and the other abuses going on.
I suppose a win is a win though.