Verizon is charging extra to limit spam calls and texts

Today’s phone scams are a real threat 

Spam calls and texts are more than just a nuisance. They’ve become a serious threat to the financial security of millions of Americans.

You’ve likely experienced it yourself: a call from an unknown number, a suspicious text promising a prize, or a message posing as your bank. You’re not alone. In 2023, 92% of Americans surveyed reported receiving spam calls, and 86% reported spam texts.

The worst part? It’s working: Millions of Americans are falling for scams each year. In 2024, 1 in 5 adults targeted by cellular scams lost money. 

The median loss from a scam phone text? Nearly $1,000. From a phone call? Nearly $1,500.

Often, the victims are children, seniors and other people less experienced with technology. Scammers exploit their trust by impersonating family members, trusted doctors or government institutions. 

Many of these scams are “robocalls” and “robotexts,” which are automated calls and texts sent out en masse. While some robocalls can be legitimate (like notifications that your prescription is ready or schools are closed), many are illegal and deceptive attempts to steal personal information or money. Scammers frequently use technology to hide their real phone numbers, making these “spoofed” calls appear legitimate.

The legal mandate and the loopholes

In 2019, Congress overwhelmingly passed a law requiring phone companies to implement anti-robocall technology. This law, known as the TRACED act, went into effect in 2021. Initially, scam robocalls and illegal telemarketing calls dropped by about 17%.

That’s good news … right?

Yes … but … by 2024, only 47% of registered phone companies had fully implemented the mandatory robocall-fighting technology, leaving millions of consumers open to sinister scams. 

And, as robocalls calls have declined, scammers have shifted their focus to less-regulated robotexts, causing the rate of scam texts to nearly triple.

‘The Big Four’ and Verizon’s failing grade

The good news is that while some companies have failed to offer substantial protections, others are offering consumers more protection than the law requires. 

In the recent U.S. PIRG Education Fund report, “Who’s Calling,” researchers graded major phone companies based on their spam/scam protection services. For instance, AT&T earned an “A” for services offered at no charge and a “B” overall including required installation of anti-robocall technology. AT&T’s free ActiveArmor app offers protections such as automatic blocking of suspected fraudulent or spam calls, alerts for nuisance calls, and filtering for scam texts. 

Verizon, on the other hand, did not perform as well, receiving an “F” in protection services and a “D” for an overall grade. Verizon had the lowest score among the major carriers known as the “Big Four” (Verizon, AT&T, T-Mobile and UScellular).

Verizon, which is the nation’s largest cellphone company, charges customers extra for comprehensive scam protection. If you want the Call Filter Plus app, Verizon’s strongest defense against scam calls and texts, you have to pay an extra $3.99 a month on top of your standard phone bill.

Verizon has the software and the ability to block many types of spam calls and texts. By charging additional fees to use its Call Filter Plus app, Verizon is leaving consumers vulnerable to annoying and potentially dangerous scams.

What can phone companies do?

Phone companies such as Verizon should serve as the first line of defense against spam and scam calls. Yet, instead of implementing protections, many providers allow huge volumes of illegal calls to continue. 

Here are some essential services your phone company can (and should) offer to prevent them:

• Blocking known scam calls and spoofed numbers by default.
• Displaying clear warnings when a call is likely spam or a scam.
• Providing a “verified number” designation or checkmark for calls likely to be legitimate.
• Allowing customers to easily block unknown or no-ID calls with one setting.
• Offering sweeping spam filtering tools for free, not for a monthly fee.

These shouldn’t be premium features. They should be basic consumer protections in our tech-driven world. Yet without consumer pressure or stronger regulations, many companies will continue to do little to protect their customers’ privacy. Meaning more people will get scammed. 

Give consumers a fighting chance

To state the obvious, the people who perpetrate scams should be caught and held accountable for their actions. Of course, that’s difficult for governments to do when the scammer is hiding behind fake phone numbers, phony online identities or is in another country.

In the meantime, the TRACED act requires phone companies to provide consumers with adequate protection against robocalls, but many companies now have the technology to do even more. 

As the law races to catch up with the latest digital scams and schemes, your phone company has an opportunity to do the right thing for its customers. Verizon can do better, and you can tell them they should do better. 

Join our campaign and tell Verizon: Stop charging customers extra for essential anti-scam protections. These tools should be free and available to all customers.