If you're a current or former Verizon customer who purchased a traditional postpaid wireless plan in the last seven years, you could end up owing money in 2024 as part of a proposed $100 million class action settlement. Verizon is making the payment to address claims that its service plans were misleading because the advertised rates did not include administrative fees.
In the lawsuit, the plaintiffs alleged that Verizon deceptively and unfairly introduced, charged, and increased administrative fees for postpaid wireless and data services (PDF).
In a statement to CNET, a Verizon spokesperson said the company “clearly identifies and explains wireless consumer management fees multiple times during sales transactions, marketing, contracting, and billing. .This charge allows us to regain certain regulatory compliance and to cover network-related costs.''
Here's what you need to know about the proposed settlement, including who is eligible for up to $100 in payments and how to file a claim. For more information on fees and charges, see how the Biden administration is tackling junk fees here.
Who is eligible to receive the Verizon class action settlement?
If you are a current or former U.S. customer who purchased postpaid wireless or data service from Verizon between January 1, 2016 and November 8, 2023, and paid an administration fee or an administration and communications restoration fee; You may be eligible.
A postpaid wireless plan means that the customer pays the fee at the end of the billing cycle after using the service. The settlement does not include customers who purchased prepaid plans from Verizon.
Verizon reported in an October fact sheet that it served approximately 93 million retail postpaid customers as of September 30, 2023.
According to Verizon's official administrative fee settlement website, if you receive a settlement notice via email or mail, you are eligible to file a claim.
How much money can I receive?
If the settlement is approved and completed, Verizon will pay $100 million into the settlement fund. Customers who submit valid claims by the deadline may each receive up to $100 as part of the settlement, depending on how long they have been a Verizon subscriber and the number of valid claims.
How can I claim money as part of my settlement?
The Settlement Administration Site has a claim form that eligible class members may complete and submit online.
You can also download (PDF), complete and mail the paper form to the following address:
Verizon management fee payment
Within payment administrator
1650 Arch St., Suite 2210
Philadelphia, Pennsylvania 19103
The deadline for filing a claim is 11:59:59 PM PT, April 15, 2024.
When will I receive the settlement money?
The Payment FAQ states that payment will be made by check or electronic payment after the payment is approved and completed. A public hearing is scheduled for March 22, 2024.
For more money matters, find out if Social Security recipients need to file a tax return and find out about tax breaks that can help homeowners get the biggest tax refund.