AT&T to pay $105 million for ‘cramming’ extra charges into customer bills

The US government is slapping down AT&T for allowing extra charges on customers’ phone bills with what it calls the “largest cramming settlement in history.” The news was announced on Wednesday in a joint press conference held by the FCC, the FTC, and all state attorneys general, who worked together on the resolution. That resolution concerns what’s known as “mobile cramming,” in which third parties can pass charges along to phone companies for spam SMS messages or things like daily horoscopes and “fun facts.” Federal investigators found that for years, AT&T made hundreds of millions of dollars by taking 35 percent of these unwanted charges, dodging complaints from customers and reassuring the companies themselves.

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