Latinos Targeted In Calling Card Fraud

Ever buy a calling card to phone a loved one south of the border and later felt that the 60 minutes advertised and paid for felt more like 15?  Well, turns out it’s not just the sparkling conversation that’s making the time and dollars fly by.  The National Hispanic Media Coalition recently sent out a consumer alert warning saying:

Latinos may be losing up to $1 million per day because of fraudulent prepaid calling cards. The average calling card only delivers 60% of the minutes advertised. The cost-per-minute rates for prepaid phone cards can be up to 87% higher than expected.

Because of the shady practices, the federal government is beginning to investigate the industry and the tactics they use to target Spanish-speaking immigrants.  Some of the hidden costs under scrutiny include disconnect or hang-up fees, maintenance fees,  or payphone surcharges.

According to the report, some of the companies that have been found to be engaging in fraudulent practices include:

  • Touch-Tel USA, LLC
    • Calling Cards: Puro Central America, Puro Mexico, Ahora, La Pelota
  • Lyca Tel, LLC
    • Calling Cards: Director, Latino Calendar, Africa Target, Africa Calendar
  • Locus Telecommunications
    • Calling Cards: UNI, CallPlus, Go, Hey, my Friend, Geo
  • Epana Networks, Inc, also known as STi Telecom
    • Calling Cards: Organizacion Mundial de Adictos Al Futbol (O.M.A.F), la Cruda, el Chavo, el Gorrion
  • Millennium Telecard, Inc. otherwise known as Millenium Tele Card, LLC, Coleccion Latina, Inc., or Telecard Center USA, Inc.

To get the most the most value out of a calling card, the FCC has recommended that people who purchase the cards should read all of the fine print, try to understand instructions and limitations, and ask family and friends for recommendations for cards they use and trust.

[Photo by Kaihsu Tai]

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