FTC Accuses T-Mobile of Millions in Bogus Charges

The Federal Trade Commission is alleging that T-Mobile USA, Inc., made "hundreds of millions" of dollars off its customers through bogus charges.

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In a complaint filed Tuesday, the FTC says the mobile phone provider billed consumers for subscriptions to "premium" texts such as $10-per-month horoscopes that were never authorized by the account holder. The FTC alleges that T-Mobile collected as much as 40 percent of the charges, even after being made aware that the subscriptions were scams.

FTC Chair Edith Ramirez said in a statement that the agency's goal is to ensure T-Mobile repays its customers. She said there were, quote, "clear warning signs the charges it was imposing were fraudulent."

The company is still undergoing talks about a $32 billion merger with Sprint.

They recently began offering customers free data usage when streaming music through certain services, though there are reports of customer complaints around the program's implementation.


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