FTC: T-Mobile made millions in bogus charges

FTC: T-Mobile made millions in bogus charges

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(WJBK) - Attention T-Mobile customers: how closely do you examine your bill?

T-Mobile USA knowingly made hundreds of millions of dollars off its customers in potentially bogus charges, a federal regulator alleged Tuesday in a complaint likely to mar the reputation of a household name in wireless communications.

In its complaint filed in a federal court in Seattle, the Federal Trade Commission claimed that T-Mobile billed consumers for subscriptions to premium text services 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 alerted by other customers that the subscriptions were scams.

The FTC says T-Mobile made millions on these bogus charges.

Charges appearing on a consumer's bill without the consumer's authorization is often known as 'cramming'.

T- Mobile says the charges are without merit and unfounded.  

Click here to read more from the Associated Press.

Copyright 2014 by myFOXDetroit.com. The Associated Press contributed to this report. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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