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Verizon users might be eligible to receive up to $100 as compensation for hidden fees in their bill, thanks to a proposed $100 million settlement. The proposed deal is in response to a class-action lawsuit filed in New Jersey, which claimed Verizon used deceptive practices to place administrative charges on customer bills that were not adequately disclosed. Despite the settlement, Verizon denies any wrongdoing.
Verizon will provide $100 million for a settlement fund, which will be split among eligible customers. The maximum each class member can receive is $100, and the exact payment amounts will depend on how long they have been a Verizon customer. It’ll also vary based on how many eligible class members make a settlement claim.
It’s fairly easy to figure out whether you are eligible to receive a payment. Customers who had wireless or data plans between Jan. 1, 2016, to Nov. 8, 2023, and were charged administrative fees, are eligible. The settlement only applies to postpaid plans. Which are those that are charged at the end of each month via a bill. Prepaid plans, by comparison, are not part of the settlement. Plus, to make it easier, people who qualify will get a physical letter or an email about the settlement.
However, Verizon customers must manually file a claim form to get payment. You’ll need to enter a personalized Notice ID and Confirmation Code, included in the letter or email, to enter the portal. Class members will have to file a claim before April 15, 2024, to be eligible.
It’s important to note that by joining the class or doing nothing, eligible members will lose their right to sue Verizon in the future. To retain that right, you must sign and mail a written request to opt out of the class.
What’s changing for Verizon customers going forward
The terms of Verizon’s Customer Agreement will be changing “to include revised Administrative
Charge disclosures,” the settlement agreement states. The fees won’t be going away, but Verizon will make them more clear to customers in the future. The agreement also explicitly states Verizon can increase the charge down the road if it wants to.
However, the company maintains that it believes it acted fairly. “Verizon clearly identifies and describes its wireless consumer Admin Charge multiple times during the sales transaction, as well as in its marketing, contracts, and billing,” Verizon spokesperson Rich Young told USA TODAY in a statement. “This charge helps our company recover certain regulatory compliance and network-related costs.”