Spending Too Much on Your Cell Phone Bill? Illinois Residents Are, Report Says

While lowering a cell phone bill is always on the mind of many, it’s especially so in these recessionary times of economic uncertainty.

After scrutinizing more than 32,000 cell phone bills as well as local and long-distance phone bills, a new report released on Tuesday from the utility watchdog Citizens Utility Board (CUB) reveals that at least Illinois consumers are paying too much on their bills to the tune of $575 each year.

The report, which is from a utility watchdog that’s known to be sometimes justified and sometimes not but always hard on the major telecom companies, classifies “paying too much” as paying for services consumers don’t need.

CUB executive director David Kolata said in the report that consumers are being pushed into “bloated” cell phone plans that are advertised more so than less-expensive alternatives.

The watchdog recommends for consumers to consider switching to a budget-friendly “consumer’s choice” plan like the one offered by AT&T as required by a 2006 legal settlement.

CUB, which says the average consumer in Illinois could save $187.15 each year on such a plan, also recommends for consumers to analyze the extra fees and services they’re buying because there may be some that are unnecessary.

For example, CUB says the “line backer” fee could be ditched because it’s covering wire fixes often only necessary every two or three decades. Removing roadside assistance, phonebook backup and other services are also ways to save money.

CUB says cell phone users are spending an average of $308.28 each year in wasted money on an average of 420 unused peak minutes each year or on upgrades like roadside assistance.

Under the advice from CUB, Kolata says $1.5 billion would be injected in the Illinois economy alone if all residents made such a change.

While it is an unlikely proposition for everyone to play along, now could be as good a time as any to scrutinize your cell phone bill and make sure your plan and features are exactly what you use and need. Want to learn more about cell phone plans?