[comp.dcom.telecom] Third Party Billing Fraud, and New England Tel's Answer

belanger_f@wmois.enet.dec.com (04/29/91)

Here's a real good one that I just found out today:

I had concerns about third party billing fraud after reading about
some instances here, so I called New England Tellyfone today, and
here's what the service rep told me. I could put a "block" on my line
to prevent third-party billing, for the "amazingly-low-price" (my
wording) of $.95 a month per line, and a one-time charge of $11.70 .
So, I asked the rep, why should I pay to rectify your lousey security
practices regarding third-party billing fraud? (No answer recieved).
Then I asked "why can't NET just give everyone a calling card and
prohibit third-party billing? (rep says "some people like to do
third-party billed calls.) Yea, sure they like to, since it seems easy
to rip off the phone company and not pay for the call, rather than use
a calling card (which I use).

Don't ya just love Ma Bell logic?


Fred Belanger


[Moderator's Note: Illinois Bell gives 'inbound toll restriction' at
no charge. My two lines and my distinctive ringing number are
configured to automatically refuse collect or third number billing.  PAT]

Steve Forrette <forrette@cory.berkeley.edu> (04/30/91)

> [Moderator's Note: Illinois Bell gives 'inbound toll restriction' at
> no charge. My two lines and my distinctive ringing number are
> configured to automatically refuse collect or third number billing.  PAT]

I asked Pacific Bell about this a few months ago, and they said that
they would only do it after I received at least $100 in phraudulent
calls.  You know, it costs them so much to flip that bit in my account
profile.  I think the real reason is that having my lines blocked
would prevent ME from doing third number billing when that's what I
really wanted, thus reducing their revenue.


Steve Forrette, forrette@cory.berkeley.edu


[Moderator's Note: IBT was glad to do it; the only thing I disliked
was that they did it in the middle of a billing period. The bill
which came the next month was a nightmare to read, with every single
item pro-rated up to the date of the change, then charged again for
the remaining days. They managed to screw up my Reach Out America and
Reach Out World account when they stopped it and restarted it on the
same day. Apparently 'flipping that bit' requires rebilling the whole
account for the month. The brief instant AT&T was not the default
carrier was sufficient to get Ma all aggravated and sending me letters
about how much I could save by joining one of the plans, etc. It was a
messy thing. I nearly always have record changes and service orders
done on the cycle billing date to avoid the confusion.   PAT]

John Higdon <john@zygot.ati.com> (05/01/91)

Steve Forrette <forrette@cory.berkeley.edu> writes:

> I asked Pacific Bell about this a few months ago, and they said that
> they would only do it after I received at least $100 in phraudulent
> calls.

This is the standard response that the front line is told to give
people who casually call in about this. In fact, Pac*Bell will give
you billed number screening (as they did me) without one cent of fraud
being involved if you simply press the matter with a supervisor.

I have both collect call and third number blocking on both my residence
and business accounts. Initially, I got the "there has to be a problem
before we do this" baloney, but when I started talking tarrifs, we cut
through the BS and I got it done. A number of associates have had this
same experience: first, denial -- then compliance upon insistence.

I suggest you call back and beat them up.


        John Higdon         |   P. O. Box 7648   |   +1 408 723 1395
    john@zygot.ati.com      | San Jose, CA 95150 |       M o o !


[Moderator's Note: Illinois Bell gave it to me with no questions, and
in fact the rep said unofficial company policy is they would love to
get rid of third number and collect billing anyway if it were
possible; but there are a lot of people who seem to prefer it.    PAT]

KATH MULLHOLAND <K_MULLHOLAND@unhh.unh.edu> (05/02/91)

Recently, Belanger noted that New Enland Tel offers:

> here's what the service rep told me: I could put a "block" on my
> line to prevent third-party billing, for the "amazingly-low-price" (my
> wording) of $.95 a month per line, and a one-time charge of $11.70 .

UNH uses this toll restriction to prevent students from billing third
party calls to our lines from whereever they happen to roam.  It works
very well, as long as the potential "phrauders" considerately use AT&T
or their local RBOC.  Calls from any other carrier are often charged,
and receiving creidt is difficult to impossible.  With the
proliferation of 0+ vendors our out there, it promises to get even
harder to control.  I wish the FCC would rule that third party
callling is not allowed -- credit cards and other charging
alternatives are so prevalent, it seems silly to keep this "dark age
billing technology".


Kath Mullhland    UNH  Durham, NH


[Moderator's Note: After having IBT set up my two lines and my
distinctive ringing number (three phone numbers total) to
automatically deny collect and third-number billing, I tried testing
it through a variety of carriers to see what would happen. AT&T,
Sprint, MCI and Telecom*USA immediatly recognized the block, and their
operators would not even bother to inquire (from me) to see if the
calls were accepted. Denial was automatic, as it also was via a couple
alternate operator services.  I had confederates around the country
try to get through using the big three carriers, with no success.
Someone tried to get through using ITI, and I was called by their
automated system, but I refused the charges.  PAT]
 

Carl Moore (VLD/VMB) <cmoore@brl.mil> (05/06/91)

If answering service operators answer your phone, you may want to
instruct them regarding third-party and collect calls.

David Neal <dan@sun.rice.edu> (05/08/91)

In this month's SouthWestern Bell Bill, there is note explaining that
the PUC has ruled that 976/900 calls must be blockable for free on a
one time per line basis. The page specifically states you can only
turn blocking on or off for both 976 and 900 calls.  Subsequent
requests for changes in service are billable, but no mention of cost
was made.

A pre-paid postage ballot is also enclosed for you to check and return
should you want to change your current service, ie, to go from
non-blocking (the default for 99% of the world, no doubt) to blocking.

All in all pretty nice, but it took a PUC ruling :-).


David Neal - Unix Contractor at large -- dan@chemsh.uucp

scjones%thor@uunet.uu.net> (05/15/91)

In article <telecom11.350.7@eecs.nwu.edu>, dan@sun.rice.edu (David
Neal) writes:

> In this month's SouthWestern Bell Bill, there is note explaining that
> the PUC has ruled that 976/900 calls must be blockable for free on a
> one time per line basis.

Here in Ohio, the PUC ruled exactly the opposite -- Cincinnati Bell
had been offering one-time-only free 900 blocking and PUCO ordered
them to stop!  PUCO insisted that they charge a fee sufficient to
recover their costs.  Ain't regulation grand?


Larry Jones, SDRC, 2000 Eastman Dr., Milford, OH  45150-2789  513-576-2070
Domain: scjones@sdrc.com             Path: uunet!sdrc!scjones

John Higdon <john@zygot.ati.com> (05/16/91)

Larry Jones <sdrc!scjones%thor@uunet.uu.net> writes:

> Here in Ohio, the PUC ruled exactly the opposite -- Cincinnati Bell
> had been offering one-time-only free 900 blocking and PUCO ordered
> them to stop!  PUCO insisted that they charge a fee sufficient to
> recover their costs.  Ain't regulation grand?

Here in kinder, gentler California, the "free" blocking is picked up
by the information providers. In its usual mismanaged way, Pac*Bell
originally offered "California 976" without any organization, control,
or blocking even proposed. Calls from outside the state could easily
reach California 976 numbers and since no billing mechanism was in
place, the IP just got stiffed. In fact, a favorite pastime of
out-of-staters was to call 976 numbers in CA since they were, in
effect, free (except for the toll charges).

Then an outcry went up from both telephone customers and the IPs.
Customers complained that little Jerry could call the heavy breathing
sex numbers and run up the family phone bill. IPs complained that
Pac*Bell was graciously removing charges right and left ("recharges")
and that it was impossible to get a handle on revenue.

Then came blocking. People at Pac*Bell realized that a few characters
typed in at RCMAC could prevent calls to 900/976. So they put a
grossly inflated price tag on the concept of blocking and then slapped
the information providers with the "cost". Pac*Bell became the telcom
hero of the day. And it found yet another scam to drain the pockets of
Californians.

Since the blocking scheme cannot be used except in stored-program-type
offices, and the PUC requires blocking be provided to all who request
it (if at all available), a cheap and dirty way to get out of a
crossbar switch is to order blocking. A friend had a crossbar number
in an office that was also served by an ESS. Pac*Bell informed him
that the ESS was "closed" (not accepting new lines) even if he wanted
custom calling features. I told him to request 900/976 blocking. He
now has an ESS-served number, changed at no charge by Pac*Bell.


        John Higdon         |   P. O. Box 7648   |   +1 408 723 1395
    john@zygot.ati.com      | San Jose, CA 95150 |       M o o !