Verizon is one of the best network carriers, but it is not without its drawbacks. These fees can slowly raise your phone bill without you realizing it.
One of the charges is a “management and carrier recovery fee” that is usually added to the bill. According to Verizon, this fee is supposed to cover network maintenance, regulatory compliance, and property taxes. And this fee has been raised slightly.
This fee increase was noticed by a Reddit user, who raised the administrative fee by $1.20 from $3.30 to $3.50 per month per voice line. We also saw the data line fee increase from $1.40 to $1.60 per line.
This is not the first time Verizon has raised these rates, but the last time it raised them significantly, by nearly 70%, and a $100 million class action lawsuit was filed over the charges.
In 2022, the company raised its administrative fee from $1.95 per line to the current $3.30 per line. The lawsuit was filed in 2023 and ultimately settled this year, with Verizon admitting no wrongdoing and maintaining the price increase. At the time, Verizon warned that rates would likely be raised again, although it did not say when.
Between the first and the current price increase, Verizon would have raised prices by 80% over a two-year period.
To be fair to Verizon, competitors AT&T and T-Mobile have hidden fees on their monthly bills of the same amount.
Tom's Guide has reached out to Verizon for comment.Beginning December 18, Verizon's wireless administrative and telco fees for mobile voice (basic phones, second numbers, smartphones, etc.) and data-only (hotspots, tablets, etc.) products Recovery Charge will increase by $0.20 per line per month. Verizon Home Internet Service is not affected; you can check your bill and adjust your plan at any time by visiting the Account section of the MyVerizon app or verizon.com."
[16The company did not comment on data line rate increases.
While the charges may not yet appear on the bill, it appears that everyone will be charged the new rates on December 18.
If you are suffering from hidden rate hikes, you may want to check out the best prepaid plans. Generally, prepaid plans do not charge administrative fees other than some taxes and regulatory fees. However, these fees are typically lower than postpaid plans. Verizon offers its own prepaid plans starting at $35 per month.
Other MVNOs, such as Visible and Xfinity Mobile, operate on top of Verizon's network but have their own plans and low or no administrative fees.
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