AT&T is refunding $60 million over bogus unlimited data switch and bait scam. You can get this even if you are using a windows with AT&T carrier. The company is punished for its shady plans with unlimited data. The company is ready for a settlement of $60 million with FTC. This case was running from years, and over 3.5 million affected clients can expect refunds.
The complaint was filed almost five years before. There was a huge pile-up of complaints against AT&T. They were offering unlimited data plans a few years back. Company started throttling to a particular fraction a few years back. They got new customers with unlimited data.
With unlimited data frauds, people took the company to court. The complaints were true; therefore, a court case was continued.
Several Complaints Against This Fraud
Bait and switch scam of AT&T becomes a good window for several harmful results. The dominant companies were working without any meaningful competition. Financial resources, one-sided information and market power gave them license to ignore all the contractual obligations. These were aggressively enforcing a little clause in the fine print. Consumers may accept to walk away and bad deals or fight it. Every action needs cost; therefore, the dominance of the companies prevailed every time.
A Small Drop for Companies Like AT&T
No doubt, $60 million is similar to a drop in one basket for AT&T. The action of FTC and AT&T may give warning to executives for prioritizing their profits over their customers. They must avoid this scam in the future.
A company must make accurate infrastructure investments. They had the money, and the company is boosting its investors. Moreover, they have invested in the wireless network. The customers may enrich its investors and executives.
Unfortunately, the clients may remain fleeced. There are 3.5 million customers to pay back and almost only $60 million for distribution. It can be divided between former and current customers of AT&T.
$7.5 million must be split by present AT&T clients who experienced 128 kbps throttling.
- $29.7 million is for present AT&T customer for 256 and 512 kbps throttling.
- $6.3 million is available for former customers of AT&T for throttling of 128 kbps.
- $16.5 million is for former customers of AT&T for 256 and 512 kbps throttling.
It is managed by pro-rata, so if you are an early victim of throttling, you will fall on the scale of 128 kbps each month. It will be the bigger share than other people. You will get this claim without filing a form.
If you are a current customer of AT&T, you will get a credit bill. A former customer must check his/her email. The company can’t claim unlimited now without clear disclosure of actual limitations of services.