[comp.dcom.telecom] Is a Foreign Exchange Worth the Cost?

cmoore@brl.mil (VLD/VMB) (09/28/90)

A former neighbor of my parents (residence is in the Wilmington, Del.
exchange) had so many calls to/from the Chester/Marcus Hook/Woodlyn
area in Pa. that they used Holly Oak as a foreign exchange.  Holly Oak
(a nonpostal name in Delaware) is local to those Pa. points, but
Wilmington is not.  You should be welcome to examine the FX rates, but
there may be quite a large volume of calls required to make it
worthwhile compared to using normal long-distance.

Along Foulk Road (state route 261 in Delaware & Pennsylvania), there
is a case where points maybe only 3 miles apart are long distance.
Just south of Silverside Road in Delaware, you are in 302-478, a
Wilmington exchange.  But just over the Pa. line, you are in 215-485
Marcus Hook.  Then if you keep going north on Pa. 261 to U.S. 322, you
are in 215-459 Chester Heights, a local call from Wilmington.

(Between 302-478 and the Pa. border on Foulk Road, you are in 302-475
Holly Oak, which is local to both 215-459 and 215-485.)


[Moderator's Note: Typically, an FX line only pays off if you keep the
line loaded at least 12-15 hours per day. You are starting out with a
charge of several dollars per month which has to be amortized during
the month by the savings from toll charges to the desired place. At
rates of only a few cents per call to nearby points, it takes a long
time to use up the difference. And if all you do is use it up and do
not actually come out ahead, why have the aggravation of maintaining
an FX, with all the telco coordination involved, etc.  PAT]

Roger Fajman <RAF@cu.nih.gov> (10/01/90)

> [Moderator's Note: Typically, an FX line only pays off if you keep the
> line loaded at least 12-15 hours per day.

Not so in my case.  When we moved to our current house a couple of
years ago, I checked on FX rates.  Washington, DC, has a large local
calling area that includes portions of Maryland and Northern Virginia.
We live in Maryland, just outside the Metro Calling Area, as it is
refered to.  We can call DC and certain areas of Maryland as a local
call, but not Northern Virginia.  I was told by C&P Telephone customer
service that we could get a Layhill number, instead of an Ashton
number, for about $18 additional per month.  

The break even point for that is about three hours per month of calls
to Northern Virginia.  I didn't opt for the Layhill number, as we
don't call Northern Virginia that much and most of the calls we do
make there are reimbursed by someone else who wouldn't pay for the
additional monthly charge.  I haven't checked the costs more recently.


[Moderator's Note: I guess the break even point would be a function of
how much the line costs to begin with, i.e. how far it is extended to
reach you. Years ago we had here in Chicago an FX from Manhattan, NY;
that is, going off hook on it produced dial tone, etc from New York
City. It was about $700 a month for the FX ... yet supposedly paid for
itself because for twelve hours a night it was transmitting data to
some office in New York. During the day, office staff used it to place
local calls to New York instead of using the WATS lines.  PAT]

levin@bbn.com (Joel B. Levin) (10/02/90)

The Moderator quotes a very high rate for an FX line between Chicago
and New York.  That is to be expected; the rates are based on mileage
between two central offices.  I had an FX line between two adjacent
COs because from the next one over I could get unmeasured service to
the Boston area; from mine the best I could get was Bay State service,
which allowed one or two hours of calling within (then) 617 and a flat
rate per additional minute.  The break-even was around 30 hours /
month; still a lot, but frequently I had to log into a machine at work
all evening.  I'll bet I never made up the installation charges,
though.

The monthly charges were based on several dollars per mile (this is
in-state rates), more heavily weighted toward the first five miles,
plus charges for two channel interface units that lived in the COs,
plus the going rate for Metropolitan (unmeasured) service in the
foreign exchange.  Total back then, around $100/month.  But
installation was around $350 (!).


JBL

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