Phone Card business has been around for a while, and its reputation has not been clean at all. Ontario Phone Cards has disclosed information on deceptive marketing practices in the phone card industry in response to the Competition Bureau’s request. The Canadian Federal Competition Bureau had announced the receipt of numerous complaints regarding hidden fees, higher rates, and fewer minutes than advertised. The Bureau has implemented a new initiative to ensure proper disclosure for consumers with regard to any terms and conditions affecting the value and use of prepaid long distance calling cards.
Ontario Phone Cards disclosed a number of the deceptive methods commonly used within the industry to attract and often mislead consumers. There are few phone cards in the market that provide honest minute-by-minute billing. Most phone cards operating in Canada and the United States deduct undisclosed hidden fees from the balance on the card and do not provide all posted minutes.
One of the most commonly used deceptive marketing practice is the release of new phone cards with attractive and sometimes unbeatable rates. There are cases where posted rates are lower than that offered by wholesale carriers. Once the new calling card achieves popularity, unspecified hidden charges are gradually increased, which significantly decreases actual time available for consumers.
Source: http://www.phonecardstop.com/Ontario+Phone+Cards+Reveals+Phone+Card+Industry+Practices.html