T-Mobile Eliminates Overage Fees
For over one year now T-Mobile has been shifting the mobile landscape in the U.S. The competition the company has brought with its “JUMP!” service plans, early termination fee pay-offs, and more has benefited mobile consumers at every major carrier.
Today T-Mobile revealed the third of three planned “Uncarrier” announcements over the past week. The previous two announcements brought the mobile provider a new lowest-priced service plan and a new 4G tablet pricing initiative.
With this latest announcement T-Mobile has officially eliminated all of its overage fees. Calling the practice of overage fees “one of the most reviled wireless industry practices,” T-Mobile now says that all customers on any of its plans can talk, text, and use data without fear of being charged extra.
“Charging overage fees is a greedy, predatory practice that needs to go,” said John Legere, CEO of T-Mobile. “Starting in May for bills arriving in June – regardless of whether you’re on Simple Choice, Simple Starter, or an older plan, we’re abolishing overages for good. Period.”
As has become customary for T-Mobile announcements, Legere used the occasion to lash out at the three other major U.S. mobile providers. In this case, Legere is challenging those providers to follow T-Mobile’s lead and eliminate their overage fees. Legere has even posted a petition to change.org calling on the carriers to do just that.
“Today I’m laying down a challenge to AT&T, Verizon, and Sprint to join T-Mobile in ending these outrageous overage penalties for all consumers – because it’s the right thing to do,” said Legere. “Overage fees are flat out wrong. Agree with me? Join me in putting this challenge to all the major national carriers by signing my petition on Change.org. Right here. Take one minute to be a part of this consumer movement.”
T-Mobile estimates that combined overage charges at Verizon, AT&T, and Sprint total $1 billion each year. The company also states that 20 million U.S. mobile subscribers with hit with these charges last year.
Image via T-Mobile