Phonecards On-Line - Written by Alan H. Cohen

September 14, 1997


Issue 96


Phonecards On-Line is written and distributed by Alan Cohen


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Long Beach Show Report

The Long Beach Collectibles Expo has just concluded, and as usual, it was a worthwhile experience for a phonecard collector. Unlike previous shows, this one saw a smaller bourse area, with sportscard dealers being moved to a different part of the convention center. One complaint I had was that there was no cohesive phonecard section - You really needed to hunt out the phonecard dealers. I suggested that the dealers for future shows get together and have a handout available to collectors with dealer names and table numbers. While some dealers may not like the idea of letting collectors know their competition, chances are that the dealers would draw as many collectors as they might lose.

Finding phonecard dealers at major shows is a difficult thing, it really was refreshing to see no less than 8 tables set up with phonecards! The next show is set for February, and as usual, I suggest that phonecard collectors attend. It was nice to meet a few collectors/readers of this newsletter as well. I look forward to seeing everyone again in February.

Bedford Bullitt Racing Prepaid Cards

TMI has released two series of racing cards featuring driver R.G. Salathe III. The cards are limited to 5000 per series, and cost $100. They have 30 units of phone time, and expire on 4/25/98. The company will be giving away a Harley 883 Collectors Bike valued at $6500 on December 20, 1997. Every time a phonecard is purchased, the purchaser is entered into a random drawing to try to win. Contact TMI at (800) 574-2153 for details.

Jonathan Taylor Thomas Interactive Phonecard

From a GTS Press Release

Roslyn, NY -- One of the hottest young actors in television and film today – Jonathan Taylor Thomas (Better known as "JTT") – is now available to all his fans through a unique new collectible phonecard that allows them to connect with him through their home telephone. The popular actor who stars weekly in one of the top sitcoms in the country, Home Improvement, now has a vehicle whereby all fans can hear directly from him over the telephone via their very own "Fan Club By Phonecard".

"Fan Club By Phonecard", is a convenient way for many fans of JTT to keep up with the exciting and hectic schedule of the 15 year old star who has recently appeared in the motion picture "Wild America" following his roles in "Pinocchio", "Tom and Huck", "Man of the House" and "The Lion King". Its also a terrific way for his fans to hear directly from him as he talks about the issues that are personal and important to him.

The limited edition "Fan Club By Phonecard" is printed in full color on a durable plastic card which features three personal photos of JTT. Each card has a printed menu on the back describing the many topics which Jonathan speaks about. The 10 minute card is available in a velvet display case to commemorate this inaugural offering from one of America’s favorite teenage stars. The product will be offered for a limited time though print advertising or by ordering directly from GTS via a toll free order number (800) 929-4301. The card is available for $9.95 plus shipping & handling.

Phonecard List

The internet phonecard list run by Ivan White has been automated and can be subscribed to simply by sending a message to: majordomo@listservice.net. In the body of the message (not the subject area) put, subscribe phonecards. Join a growing community of international phonecard collectors, dealers, and traders. This list is offered free of charge.

Phonecard Fraud

HARRISBURG, Pa., Sept. 11 /PRNewswire/ -- Pennsylvania Attorney General Mike Fisher today announced the filing of a lawsuit against a Coraopolis telecommunications company, alleging that the firm used deceptive practices to trick people into applying for telephone calling cards. The suit seeks restitution for consumers, the cost of investigation and potentially as much as $200 million in penalties.

The suit, which stems from several consumer complaints submitted to Fisher's Bureau of Consumer Protection, was filed against HSS Telecommunications, 601 Fourth Ave., Coraopolis, Allegheny County. The complaint also names Richard G. Hersperger, owner of HSS Telecommunications, as a defendant in the suit.

According to the complaint, HSS set up booths at public events across the country offering applications for a $96,500 sweepstakes. Instead, the complaint alleges, unsuspecting applicants actually signed up for a telephone calling card. According to information supplied by the company's attorney, there could be as many as 200,000 people across the country who filled out entry forms for the sweepstakes, only to find out they had purchased a calling card.

"The application states -- in bold letters -- that this is a sweepstakes entry and that no changes would be made to an applicant's phone service," Fisher said. "The true nature -- that this was actually an application for a calling card -- was printed in small letters on the back of the entry forms. Clearly, this was meant to deceive consumers."

A few weeks after signing an application, entrants received a calling card in the mail from HSS Telecommunications. A $4.95 activation fee and a $6 monthly service fee would then be charged to their regular telephone bill -- even if they never used the calling card.

"It's conceivable that many people threw these cards away, because they hadn't asked for them," Fisher said. "And unless they scrutinized their monthly phone bill, these applicants may have paid for a service they never knew they were receiving -- and they may still be paying."

Fisher's Bureau of Consumer Protection received complaints from consumers in Pennsylvania, California, Illinois, Florida and North Carolina. Fisher believes that Pennsylvania is the first state to file a lawsuit against the Allegheny County company. However, the FBI has contacted Fisher's office to discuss the case.

In addition to the initial "bait and switch" deception, Fisher's investigators determined that HSS never contracted with the sweepstakes company for a February 1997 drawing, worth $96,500 in prizes, as promised on the entry form. As a result, no one who filled out an HSS application was included in that contest.

"This is just insult to injury. Not only were the consumers deceived into buying a calling card, they never had a chance to win any sweepstakes prizes in that drawing," Fisher said.

Also, the complaint alleges, the company said it would donate a percentage of the usage fees -- charges for anyone who actually used the calling cards -- to the United Way of America. However, the complaint alleges that no contributions were ever made to the United Way or any other charity.

In the complaint, the Attorney General alleges that HSS Telecommunications violated the Unfair Trade Practices and Consumer Protection Law and the Solicitations of Funds for Charitable Purposes Act. Fisher is seeking restitution for all applicants who applied for a calling card without their knowledge. He is also seeking an injunction that prohibits HSS from continuing these deceptive practices and has asked the court to penalize the company up to $1,000 per violation under the Unfair Trade Practices and Consumer Protection Law.

Fisher said his office plans to contact attorneys general in other states to inform them about the suit against HSS. The complaint was filed in Commonwealth Court by Deputy Attorney General Michele Kondrad of Fisher's Bureau of Consumer Protection.

SOURCE Pennsylvania Office of Attorney General

Destiny Update

One reader writes that Destiny Telecom International has filed bankruptcy, moved to Texas and has started another MLM co called Renascence USA and does only Health related products. Dial 512-703-6131 for a prerecorded message. (Note: This has not been confirmed)

Promotional Phonecards

VIENNA, Va., Sept. 9 /PRNewswire/ -- Cable & Wireless, Inc. (CWI) the nation's largest telecommunications company exclusively serving the business market and a wholly-owned subsidiary of Cable and Wireless plc (NYSE: CWP), today unveiled the "Display Card," a revolutionary new concept in prepaid phone card marketing. The limited edition cards, each with 10 minutes of domestic phone time, will be available at the Promo Show, September 10 & 11 in Chicago and the Motivation Show, October 6 - 8 in Chicago.

CWI's latest application of prepaid card technology features a sealed plastic bubble which can be filled with miniature promotional items. Promotional insert examples include miniature computer chips (for a computer company), beach sand (for a travel company) or play money (for a bank). Thousands of miniature items are available from CWI, or the customer can provide their own.

CWI has produced 3,000 of the oversized oval-shaped Show cards, which feature a constellation theme and the words, 'Cable & Wireless Prepaid Calling Cards/Imagine the Possibilities/A Universe of Promotional Stars!' and list CWI's customized prepaid programs to date: loyalty programs, novelty items, interactive greeting cards, and interactive surveys/sweepstakes. The display bubble contains star and moon confetti in silver and gold.

Stated Gian Dilawari, general manager, Specialized Calling Services, "We are excited to debut Cable & Wireless, Inc.'s newest promotional concept in prepaid phone cards at the shows in Chicago. The advent of the Display Card illustrates that the possibilities are endless. CWI will continue to experiment with the latest in prepaid technology to create unique up-to-the- minute applications, giving our customers the competitive edge they require to succeed in today's aggressive marketplace."

Cardex ’97

Cardex '97 is being held in Brussels (Belgium) this year. This international phonecard event is from 24 -26th of October. At the exact same date there is a convention in The Hague (Netherlands), organized by the ATC (a Dutch collectors club). For more information I can be reached at voorst@tref.nl.

From: Rob van Voorst

Jurassic Park

Interglobe has released "Jurassic Park: The Lostworld Phonecards. One pack of 3 cards which appear, from the flyer I received, to punch out of their carrier. One card is die-cut in the shape of the movie logo. There is also a separate card of the movie logo in regular card shape. £10.00 for the 3 card set to members of their collector club, £12.50 to others and £5.00 for the regular logo card. Interglobe are on the 'net or at 80 Great Eastern Street, London, EC2A 3JL England.

From: Andrew Henderson

K-Mart Goldpoint

Found today at K-Mart a Goldpoint Ball point pen with a free 5 minute phonecard from Sprint. The Pens come in red, green, black, and cost about $9. The phonecard is a aqua color with Goldpoint written across the top in gold. A picture of the pen runs across the front of the card. At the bottom left corner is Sprint in white letters.

From: Theresa McCandless

Sunoco Oil Change

Sunoco stations in my area have banners up advertising a free 10 minute phone card with an oil and filter service.

From: Andrew Henderson

7-11 Hawaii

Not sure if this is just a local-type promotion, but here in Hawaii, in last weeks Mid Week Newspaper which carries grocery ads, there was a flyer from 7-11 and it included a coupon to be redeemed for a free Michael Jordan phonecard with the purchase of two 32oz Gatorade drinks. It rang up at $6.99 so getting it for free is not a bad deal. The phonecard is called a PhonePass with 10 minutes phone time provided by LDDS WorldCom and comes encased in plastic and cardboard. When I redeemed my coupon, there was a ton of flyers right at the front counter, so I picked up a couple extra and will be getting a few more cards.

From: Lis McKibben

Jacksonville Giveaway

There where a bunch of 10 minute phone cards handed out Sunday 9-7-97 at the Jacksonville Stadium or now the "ALLTELL" Stadium. They have a real life picture of a Jaguar Head and a picture of the Stadium. They expire Dec. 31st, 1997 and unfortunately they have an exposed 10-digit pin number.

From: Mike Ingram

More Giveaways

Target Store is giving away a 30 min. college bound (rather ugly) phone card with the purchase of a graphing calculator cordless phone, personal CD player or portable music system.

Eckerd's in at least one of the new South Florida stores is giving away a 60 min phone card pitching customers shopping a pharmacy. GTI did the card and to get it a customer has to transfer a prescription or have a new prescription to qualify. My card is nice primarly done in red, white & blue.

From: Joseph Koger

Coupon Section

The coupon section of the Los Angeles Daily News had two offers today: The first is from Betty Crocker. Selected Betty Crocker products will contain a 30 minute Sprint Spree NFL phonecard of either Steve Young, Drew Bledsoe, Dan Marino, or Brett Favre. The odds of winning are only 1 in 301, so I hope you are hungry!

The turkey store is offering an interesting prize. Specially marked packages will include a Quick Cash Card. You dial the number and call toll free to see if you have won. There is a $10,000 grand prize, with three $5,000 prizes, and fifty $1,000 prizes. The card may be made of paper, but it is an interesting promotion nevertheless.

Until Next Week,

Alan

Distribution

Phonecards On-Line is written and distributed by Alan Cohen. It is a weekly newsletter devoted to phonecards - Current news, viewpoints, and reviews of new issues. It is distributed free of charge, and available two ways.

1) On-Line on the World Wide Web. The address is: http://www.cardmall.com - All back issues are archived at the web site!

2) Direct e-mail. Send a message to: phoneline@cardmall.com

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