(CNN) — Some Verizon customers may have found an unexpected surprise in the mail this week: a chance to get a refund as part of a proposed $100 million class action settlement.
Eligible customers are receiving postcards or emails warning them to file a claim by April 15 and receive up to $100, the result of a lawsuit accusing Verizon of charging fees that were “unfair and not adequately disclosed.”
At issue is Verizon’s “administrative fee,” which the plaintiffs claim was “erroneous” because the fee was not included in the advertised monthly price of their plan and was charged in a “deceptive and unfair manner.”
Verizon denied the claims and said in a statement that it “clearly identifies and describes its administrative costs to the wireless consumer multiple times during the sales transaction and throughout marketing, contracts and billing.”
A company spokesperson said the fee “helps our company recover certain compliance and network-related costs.”
The settlement is the culmination of four different lawsuits filed in court in New Jersey, the same state where Verizon is based. It was approved in December but still needs a “fairness hearing,” scheduled for March.
So-called “junk fees” are not only being ridiculed by consumers, but also drawing the ire of the Joe Biden administration. Last October, the Federal Trade Commission unveiled a proposed rule that would prohibit companies from charging hidden or deceptive fees and require companies to disclose full prices upfront.
To apply, a special website has been launched where you fill out a form with the necessary information, including the phone number associated with your Verizon account and a payment option, such as a check or bank transfer.
The payment is a minimum of $15 and may be more depending on how long the customer has used Verizon and the number of customers filing a claim. A complaint must be filed to receive payment and only customers with postpaid wireless accounts or data plans between January 1, 2016 and November 8, 2023 are eligible.
Customers who do not file a lawsuit “will waive any right they may have to sue Verizon for matters related to this lawsuit,” the website says.
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