[Congressional Record Volume 162, Number 175 (Tuesday, December 6, 2016)]
[House]
[Pages H7201-H7203]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXPRESSING SENSE OF HOUSE WITH RESPECT TO THIRD-PARTY CHARGES ON
CONSUMER TELEPHONE BILLS
Mr. LATTA. Mr. Speaker, I move to suspend the rules and agree to the
resolution (H. Res. 932) expressing the sense of the House of
Representatives with respect to third-party charges on consumer
telephone bills.
The Clerk read the title of the resolution.
The text of the resolution is as follows:
H. Res. 932
Whereas telephone companies are required to permit third
parties to bill for services on a consumer's monthly
telephone bill in certain circumstances;
Whereas ``cramming'' is the act of placing unauthorized
charges on a wireline, wireless, or bundled services
telephone bill of a consumer;
Whereas the Federal Communications Commission estimates
that cramming has harmed tens of millions of people in the
United States; and
Whereas existing protections against cramming have not
prevented harm to consumers: Now, therefore, be it
Resolved, That it is the sense of the House of
Representatives that protections against cramming should be
improved and consumers should be empowered to stop unwanted
third-party charges on their telephone bills.
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The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Ohio (Mr. Latta) and the gentleman from Vermont (Mr. Welch) each will
control 20 minutes.
The Chair recognizes the gentleman from Ohio.
General Leave
Mr. LATTA. Mr. Speaker, I ask unanimous consent that all Members may
have 5 legislative days in which to revise and extend their remarks and
insert extraneous materials in the Record on the resolution.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Ohio?
There was no objection.
Mr. LATTA. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I am proud to rise in support of H. Res. 932, a sense of
Congress offered by our colleague, the gentlewoman from Illinois (Ms.
Schakowsky).
The use of third-party billing on consumer telephone bills can
provide consumers with convenience. Unfortunately, this has also been
an area that has resulted in consumer fraud.
I agree with the gentlewoman that we should support efforts to
provide consumers with tools to protect themselves from experiencing
unauthorized charges on their phone bills. Though there are existing
protections in place that prohibit so-called cramming, it is clear that
more needs to be done to ensure that America's consumers aren't footing
the bills for these unauthorized and illegal charges from third-party
vendors.
Mr. Speaker, I urge my colleagues to vote ``yes'' on H. Res. 932, and
I reserve the balance of my time.
Mr. WELCH. Mr. Speaker, I yield myself such time as I may consume.
Consumer fraud continues, and oftentimes it is individuals figuring
out how to use the Internet to get access to your bills and cram
charges. Sometimes it is even companies with respected reputations that
somehow go awry and then end up ripping off their customers.
It is bad in two respects. One is that it costs money that consumers
don't have. I mean, most folks are trying to make ends meet and it is
pretty tough.
The second is that it really undercuts the confidence that I think a
consumer wants to have and is entitled to have, that when they are
putting their money out, they are being treated right, they are being
treated fairly.
This resolution has been sponsored by Congresswoman Schakowsky, and I
have got to say that we are lucky in this Congress to have her for all
these years leading the charge on consumer issues. She is vigilant, she
is tough, and she is fair. Congresswoman Schakowsky brought this to the
attention of this body, and I urge that all of us support this
resolution. I want to acknowledge my gratitude for her work over the
years as an untiring consumer advocate.
Mr. Speaker, I yield such time as she may consume to the gentlewoman
from Illinois (Ms. Schakowsky).
Ms. SCHAKOWSKY. Mr. Speaker, I thank the gentleman, both for yielding
and for his kind words. I appreciate that.
I also thank my colleague across the aisle for his support for this
resolution.
H. Res. 932 calls for action on unauthorized phone charges slipped
onto consumer phone bills. As my colleague pointed out, that is called
cramming.
Charges listed on your phone bill don't necessarily come from your
phone company. Phone companies allow third parties to place charges on
phone bills. Sometimes that can be a convenience. If you are texting a
donation, that charge may also be indicated on your phone bill.
However, consumers may end up paying charges that they never authorized
in the first place, and scammers can cram the bill with small fees that
can add up to significant sums over time.
The Federal Communications Commission estimates that the placement of
unauthorized charges, known as cramming, has harmed tens of millions of
Americans. Most of those phony charges go unnoticed. If you look at
your phone bill, they may be listed as something vague like ``monthly
fee'' or ``service charge.''
My resolution calls for action to stop this fraud. Consumer watchdogs
have already taken some important steps. In 2014 and 2015, the Federal
Communications Commission, the Consumer Financial Protection Bureau,
the Federal Trade Commission, and State attorneys general reached
settlements with major wireless carriers on cramming. Under those
settlements, wireless carriers must disclose and obtain consumer
consent for third-party charges on their customers' wireless bills.
While those settlements were an important step, we still have gaps in
our consumer protections. The cramming settlement only covers wireless
customers, and those protections are time-limited. Landline customers
are only protected if their phone company takes action voluntarily.
So consumers really do need strong, ongoing protections against
cramming, regardless of which phone company they use and whether they
purchase wireless, landline, or bundled phone services. That is why we
offer this resolution expressing the sentiment of the House that
protections against cramming should be improved and consumers should be
empowered to stop unwanted charges.
Again, this resolution is only a first step. I urge every phone
company to ensure that their customers understand and consent to any
extra charges placed on their phone bills.
In the next Congress, I am hopeful that the Energy and Commerce
Committee push for stronger cramming protections through hearings and,
when necessary, legislation.
As we take this important first step, I do want to thank my
cosponsors on this resolution: Congressman Gene Green, a member of the
Communications and Technology Subcommittee; Congressman Grijalva;
Congressman Honda; and Congresswoman Bustos.
I also thank Chairman Upton and Ranking Member Pallone on the full
Committee, and Chairman Walden and Ranking Member Eshoo on the
Communications and Technology Subcommittee for working with us to bring
this resolution to the floor.
Today I thank my colleagues on both sides of the aisle, and I look
forward to working with all of you to realize this resolution's goal:
No more phony charges.
Mr. WELCH. Mr. Speaker, I yield back the balance of my time.
Mr. LATTA. Mr. Speaker, I yield 2 minutes to the gentleman from
Georgia (Mr. Carter).
Mr. CARTER of Georgia. Mr. Speaker, I rise today in support of H.
Res. 932, expressing the sense of the House of Representatives with
respect to third-party charges on consumer telephone bills.
This legislation resolves that it is the sense of the House that
protections against cramming, which is the act of placing unauthorized
charges on a telephone bill, should be improved. It is an effort to
bring to light the form of fraud called cramming and its effect on
consumers' bills.
Many of our Nation's major telecommunications providers have
recognized this issue and have made strides in increasing protections
for consumers. By passing this resolution, we are taking one step
closer to protecting consumers from fraudulent activities and ensuring
that those who are vulnerable in our society are no longer susceptible
to scammers.
We must continue to address these cases of fraud head on, and I look
forward to working with my colleagues on this issue and others.
I applaud the Energy and Commerce Committee for their work on this
important legislation, and I urge my colleagues to support this
legislation.
Mr. LATTA. Mr. Speaker, I yield myself such time as I may consume.
This is another area where I am proud to join my colleagues in
showing the bipartisan work that has been the hallmark of the Energy
and Commerce Committee.
I thank the gentlewoman from Illinois for her leadership on this
issue, and I urge my colleagues to join me in supporting this
resolution.
Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from Ohio (Mr. Latta) that the House suspend the rules and
agree to the resolution, H. Res. 932.
The question was taken; and (two-thirds being in the affirmative) the
rules were suspended and the resolution was agreed to.
A motion to reconsider was laid on the table.
[[Page H7203]]
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