Verizon customers are bracing for another fee increase, with a slight bump in the “Administrative and Telco Recovery Charge” set to appear on bills starting December 18.
The increase, confirmed by Verizon spokesperson George Koroneos, adds 20 cents per line for both voice and data-only products. While the change may seem minor, critics argue it’s part of a recurring strategy by wireless carriers to quietly raise costs.
The fee hike means voice lines will see their charges rise from $3.30 to $3.50, while data-only lines (like hotspots and tablets) increase from $1.40 to $1.60. Notably, Verizon Home Internet services are not affected. The company claims these fees “help defray and recover certain direct and indirect costs” related to network operations and maintenance.
However, many view these surcharges skeptically, accusing carriers of masking rate hikes as fees. This tactic allows companies to boost revenue without technically raising plan prices. In fact, a similar practice led to a class-action lawsuit against AT&T in 2022, which the company settled.
The extra 20 cents may seem insignificant on its own, but when multiplied across Verizon’s vast customer base, it contributes millions to the company’s bottom line. While Verizon reported a $3.4 billion net income in Q3 2024—a drop from $4.9 billion the previous year—it’s clear that fee increases remain a profitable lever for the company to pull.
Customers frustrated by such practices often point to the lack of transparency in how these fees are calculated and question their necessity, especially when carriers like Verizon already generate billions in revenue. For many, it’s a reminder that staying informed about their bills—and questioning every charge—is as essential as ever.
