Cell phone company accused of making ‘hundreds of millions’ on fake charges
The Federal Trade Commission is accusing a phone company of charging customers for services without their consent.
In a statement released Tuesday, the FTC alleges T-Mobile charged some customers for premium subscriptions that were never authorized.
USA Today says the agency claims the bogus charges totaled “hundreds of millions of dollars” and also made it difficult for its customers to detect the charges.
The FTC says the charges go back to at least 2009 through December 2013.
Some of the premium texting fees were for services that sent users horoscopes, celebrity gossip and flirting tips.
Those services cost $9.99 a month, but T-Mobile continued to charge customers even after the charges were found to be fraudulent.
According to the FTC, T-Mobile would keep up to 40 percent of the fee and the rest would go to the texting service.
Currently, the agency is not seeking a fine from T-Mobile but is trying to get the company to pay customers back.