In 2024, Verizon Wireless reached a Verizon’s $100 million settlement in a class-action lawsuit. The lawsuit accused Verizon of misleading customers by charging hidden administrative fees that inflated their bills. If you were one of the affected customers, you might be eligible for a payment, but the deadline to file claims has passed. Here’s a breakdown of the settlement and what you need to know about it.
What is the Verizon Class Action Lawsuit About?
The Verizon class action lawsuit claimed that Verizon violated consumer protection laws. There were several issues highlighted in the case, such as:
- Undisclosed Administrative Fees: Verizon charged hidden fees, which customers were not informed about, causing them to pay more than expected.
- Misleading Advertisements: The advertisements provided false information about the true cost of wireless and data plans.
- Overcharged Bills: The lawsuit accused Verizon of causing customers to unknowingly pay higher bills than advertised.
Key Details of the Settlement
The settlement fund of $100 million will be divided among eligible customers, and here’s how the payments will work:
- Base Payment: Every valid claim will receive a flat payment of $15.
- Monthly Servicing Bonus: If a customer had disputed charges, they could receive $1 for each month of dispute. This bonus can go up to $85, depending on the number of months affected.
The total amount a customer can receive could reach up to $100, but the actual amount will vary depending on how long the charges occurred and the number of successful claims submitted.
Who Is Eligible for the Settlement?
To be eligible for the settlement, customers needed to meet the following criteria:
- Time Period: You must have been a Verizon postpaid customer between January 1, 2016, and November 8, 2023.
- Disputed Charges: The charges must have been administrative fees applied by Verizon during this period.
Timeline of the Settlement
- Effective Date: The settlement was officially established on September 20, 2024, after the appeal was withdrawn.
- Payment Start Date: Payments will be sent to eligible claimants starting in January 2025.
Payment Methods
Eligible customers will receive their payments through one of the following options:
- Bank Transfer: Payment will be directly deposited into the customer’s bank account.
- Check by Mail: Payment will be sent by mail to the address provided in the claim form.
What Happens if Payments Are Not Claimed?
If a settlement check is not cashed or declared uncashed, the amount will be treated as unclaimed property according to state law. An administrative fee will be deducted before the money is placed in the unclaimed property account.
Claim Submission Procedure (Deadline Expired)
Unfortunately, the window for filing claims has closed. However, here’s what customers needed to do before the deadline:
- Visit the Official Settlement Website: Check your eligibility and download the claim form.
- Provide Evidence: Include any invoices or receipts that show the disputed charge.
- Submit the Form: Fill out the form and submit it either online or by mail.
Missed the Deadline?
If you missed the deadline, you will not be able to submit a claim or receive a payout, even if you qualify for the settlement. Documentation would have been required to receive compensation.
Wider Implications of the Settlement
The $100 million settlement has wider implications for consumer rights and digital services. It highlights the importance of transparency in billing and ensures that companies are held accountable for misleading customers. The case also encourages customers to be more aware of hidden charges in their bills and to report any discrepancies immediately.
Key Points for Consumers:
- Improvement in Consumer Protection: The settlement pushes for more transparency in digital service charges.
- Holding Companies Accountable: Companies must be more transparent with their billing practices.
- Increased Consumer Awareness: Customers should be more careful about the charges on their bills and check for hidden fees.
Conclusion
The Verizon Wireless settlement is a significant step in ensuring companies are held accountable for their billing practices. Although the claim submission deadline has passed, the case has increased awareness about consumer rights and the importance of transparency in service charges. It serves as a reminder for companies to prioritize the protection of their customers and ensure that all fees are disclosed clearly.
Frequently Asked Questions (FAQ)
1. What is the Verizon Wireless $100 Million Settlement About?
The settlement was reached after a class-action lawsuit accused Verizon of charging hidden administrative fees that inflated customer bills. The company misled customers about the true cost of its wireless and data plans, violating consumer protection laws. The settlement compensates affected customers.
2. How Do I Know If I’m Eligible for the Settlement?
To be eligible, you must have been a Verizon postpaid customer between January 1, 2016, and November 8, 2023, and have been charged undisclosed administrative fees. If you meet these criteria, you might be eligible for compensation from the settlement.
3. How Much Money Can I Receive from the Settlement?
Eligible customers will receive a base payment of $15 and up to $85 in bonuses for each month they had disputed charges. The total payout could be up to $100, depending on the duration and amount of disputed charges.