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Congress considers “robocalls” to mobile phones

The beleaguered banking industry has a new idea for building business — calling customers on their mobile phones to encourage them to pay their bills. The American Bankers Association and the Association of Credit and Collection Professionals are urging Congress to overturn the 1991 Telephone Consumer Protection Act, which makes automated calls to mobile phones illegal. Right now so-called “robocalls” to cell phones can trigger fines of up to $11,000 per call.

U.S. Rep. Lee Terry, R-Neb., is sponsoring the Mobile International Call Act, which he says “reflects the reality of the day.” The bill would still prohibit telemarketing calls to mobile phones, but would allow “informational” calls. The act of giving a company your cellphone number for any reason would constitute your consent for that company to call your phone. A “robocall” could be anything from a collection agency calling about a bill to your child’s school calling to say that school is getting out early because of bad weather.

If the bill passes, prepaid wireless customers could see automated calls eating up some of their minutes, as could users with tiered pricing plans. CTIA, the international association for the wireless industry, supports the bill, saying it will allow people who rely on wireless service as their primary means of communication to receive important time-sensitive information. CTIA says that a recent survey conducted by the Centers for Disease Control found that more than 1 in 4 American households is now wireless-only, meaning the home does not have a landline.

ABOUT AUTHOR

Martha DeGrasse
Martha DeGrassehttp://www.nbreports.com
Martha DeGrasse is the publisher of Network Builder Reports (nbreports.com). At RCR, Martha authored more than 20 in-depth feature reports and more than 2,400 news articles. She also created the Mobile Minute and the 5 Things to Know Today series. Prior to joining RCR Wireless News, Martha produced business and technology news for CNN and Dow Jones in New York and managed the online editorial group at Hoover’s Online before taking a number of years off to be at home when her children were young. Martha is the board president of Austin's Trinity Center and is a member of the Women's Wireless Leadership Forum.