Prepaid Phone Cards

Purchasing prepaid phone cards can be very costly if you don’t ask the right questions.

I'm Shirley Rooker for the Federal Trade Commission.

Many consumers find prepaid phone cards convenient, and other buy them for their children to use when they are away from home. You can avoid problems if you take a few steps. If the company doesn’t have a toll-free number, or you can’t get through, don’t buy the card.

If you do succeed in talking with a customer service representative, find out if there are charges if the call isn’t answered. Also, is there a minimum charge for each call, and what about access fees? Sometimes, these charges can be as high as a dollar per call, quickly depleting the value of the prepaid phone card.

In addition, what if the card is lost or stolen? Are you protected? Can you get a replacement? And what about getting a refund if you find the card isn’t useful? Is there an expiration date?

It’s a good idea to start with a small amount to make sure the card works for you.

I'm Shirley Rooker, director of WTOP radio's Call For Action for the Federal Trade Commission.

January 2002