Can I avoid paying the Federal Universal Service Fund or FUSF charge?
Yes, but only if you use a prepaid long-distance calling card that does not assess the charge, such as the Sam’s Club or Costco prepaid cards. The FCC has finally capped how much long-distance and wireless companies can charge for the federal USF. As of April 1, 2003, the FCC prohibits companies from charging more than the contribution rate set by the FCC. Currently, the federal USF charge is 9.1% of interstate charges on your phone bill. This charge is expected to increase to 9.5% in the 3rd quarter of 2003. A few companies charge less than this FCC-established rate. How much does it cost to switch long-distance carriers? When you make a change to another long-distance carrier, a service order charge will usually apply. This charge is typically $5, but many companies will pay this charge to encourage you to switch to them. Once I subscribe to a particular long-distance company s plan, can the company change the rates in the plan? Yes, and often without giving you advance notice. Read
