AmeriCom's guide to shopping for long distance service will discuss
these points in detail. Although AmeriCom offers what we believe are the
best long distance plans available, we have tried to be objective in
presenting the issues which are most relevant to selecting a long
distance service. We hope you agree, and find this information
helpful.
First we will describe the types of long distance service most likely
to be of interest to you and your company.
Following is a brief list of the most common services offered by long
distance telephone companies.
Pay attention to where you call. If most of your calls are within
your state, then the Intrastate rates may be more important than
the Interstate rate. If you make international calls, be sure to
check the rates for the countries you call. International call rates
vary widely, among long distance companies, and among countries.
For your convenience, we have developed a checklist itemizing the
categories you may want to consider when evaluating long distance
services. Each item in the checklist is discussed in detail below. If an
item is not familiar to you, or you would just like to know more, simply
click on the item and you will find further explanation under the
GENERAL INFORMATION below.
To help you achieve an accurate comparison of services offered by
long distance companies, AmeriCom provides comparison forms you may
complete with information from long distance plans you are
considering.
There are three forms, respectively, Direct Dial Service, 800 Service
and Calling Card Service. As a convenience, we have provided the values
for AmeriCom's Simplicity long distance plan and our Boomerang Calling
Card. Fill in the blank columns with the values from your existing
service or any other service you are considering.
WHAT TO LOOK FOR IN LONG DISTANCE SERVICE
Don't be fooled with billing fee's or other hidden charges.
Start with a low Direct Dial 24 hour rate.
Check In-States rates as well as State-to-State rates.
Look for a small billing minimum with 6 second increments
on every service.
Don't be fooled by one time come on's. Compare rates
and read the fine print.
Focus on the bottom line - what is your total bill
going to be?
Don't be fooled by claims of superior line quality
or dependability.
Expect detailed billing statements with ample summary
information.
If a Calling Card has a surcharge, expect the per minute
rate to be significantly less.
Not every item above may be relevant to your long distance
needs. Select the items that are important to you or your company and
expect concrete answers.
If you are interested in more information concerning AmeriCom long distance
service contact AmeriCom Sales:
On the Internet at: www.AmeriCom.com
By Email at: sales@AmeriCom.com
By FAX at: (888) 843-6588
By Phone at: (800) 820-6296
We look forward to hearing from you!
GENERAL INFORMATION
The information in this section generally applies to all long distance
service, including Dial 1+, 800 Number Service and Calling Card calls. The
sections below correspond to the checklist found at the beginning of this
guide.
- Recurring Montlhy Fees
- It's easy to calculate. If you are hit with $4.95 per month in
fixed monthly fees, and you use 100 minutes a month, then you are
paying an additional 5¢ per minute for your service!
Billing fees are just another way long distance companies make money.
You should not assume that everyone pays them. They don't!
Look for a service with NO FIXED MONTHLY FEES OR MINIMUMS.
Usage minimums are another way you pay for more than what you use.
If a long distance company has a $25 per month minimum, and you use
only $20, then you pay an additional $5, inflating your per minute
cost by 20%.
Time Sensitive Billing
Everyone knows it costs less to call at night than during the day,
right? Not always! Many plans provide a flat 24 hour rate. These are the
most common types of time sensitive billing:
Day (8AM - 5PM) Evening (5PM - 11PM) Night/Weekend (11 PM - 8 AM) and on weekends
Or: Peak (7AM - 7PM) Off-peak (7PM - 7AM) and on weekends
Or: 24 Hour (all day, every day)
These may vary from service to service, i.e., the rate you pay for
direct dial may be Day/Evening/Night while 800 calls are billed at a 24
Hour rate.
Start with a low Direct Dial daytime rate.
But remember, even if most of your company's calls are made during the
day, many types of calls (including computer data and fax transmissions)
may be made at night.
Interstate and Intrastate Service
Interstate calls refer to calls made from one state to another. They
are often called "State-to-State" calls. Whenever you add a new
line, your local telephone company asks you to select a long distance carrier.
This allows you to make long distance calls by simply dialing 1 plus the
area code and telephone number. This is often referred to as 1 Plus (or
1+) service.
Intrastate calls are calls made within your state. They are also referred
to as In-State calls. With the breakup of AT&T many years ago, your local
telephone company was granted exclusive rights to 1+ access within the
state. This means, if you dial 1 plus your local area code and the telephone
number of a party within your state, the call is carried by your local
telephone company, often at rates higher than they need to be.
Check In-States rates as well as State-to-State rates.
If your long distance carrier offers attractive rates, you can save
significantly on your in-state calling.
Billing Minimum and Billing Increment
The Billing Minimum determines the smallest charge you will be billed
for making a long distance call. For example, if you are being billed 10¢
per minute and the billing minimum is 60 seconds, you will be billed
10¢ no matter how short the call.
The Billing Increment determines the amount you will be billed for the
next second (after the minimum) you stay on the line. If the billing increment
is 60 seconds, then a 61 second call will cost you 20¢. assuming a
10¢ per minute rate.
This also may vary from service to service. The minimum you pay for
Direct Dial may be 18 seconds while the Calling Card minimum is 30 seconds.
Look for a small billing minimum with 6 second increments on every,
service.
With an 18 second minimum, if you are paying 10¢ per minute and hung
up within 18 seconds you would pay only 1.8¢ for the call. A 61 second
call would cost only 11¢. These savings add up and will increase
your overall savings, often by as much as 15%.
Promotions and Give Aways
It has become common lately to "get you signed up" by any
means. Promotions like "Free $50 in Long Distance" or "5
Free Hours of Calling" may look appealing but are designed to distract
you from the real issue: what you are paying for long distance! Ads offering
hours of free long distance will most likely spread the time out over many
months, while charging you higher rates in the mean time.
Don't be fooled by one time come on's. Compare rates and read the
fine print.
Attractive up front offers should raise a red flag. Watch out, or you
will pay far more in the long term.
Discounts! Off What?
Save 20%. Save 30%. Save up to 40%! Off what? On every call? On selected
calls? And off what base rate? Discounts are yet another form of hype designed
to keep you from understanding what the real cost of long distance is.
The largest of the long distance carriers just raised their basic rates,
again. Of course this allows them to advertise greater discounts while
they continue to charge you higher rates.
Focus on the bottom line - what is your total bill going to be?
Complex discounts, confusing plans and sheer hype are no substitute
for plain low rates.
Line Quality and Dependability
The big carriers wants you to believe that only they have the quality
and dependability you need to run your business. The truth is that everyone
shares everyone else's lines. Virtually every carrier has agreements with
other carriers to move traffic through their lines as necessary.
Don't be fooled by claims of superior line quality or dependability.
All cities in the United States are connected with the most dependable,
highest quality digital fiber optic lines. Within each city, the lines
are monopolized by your local telephone company. You are far more likely
to experience an outage locally than over long distance lines.
As Business Week (03/26/90), clear back in 1990 puts it,
"Hard-sell ads notwithstanding, most customers can't see any
difference among the connections of the phone carriers these days. So
the real point is to examine price." It's even more true today.
Or, as Dr. Robert Self, publisher of Dr. Bob's Long Distance For
Less says, "For years I've said the three most important
factors in choosing a long distance service are: Price, Price and
Price".
Management Accounting Reports
As with any
expenditure, it pays to keep track of where and how you are spending
your money. Long Distance is no exception.
Consider the value to your company of detailed billing statements
with ample summary information.
The information provided in your long distance billing reports may tell
you a lot about your business you didn't know.
A Note About Calling Cards
Many companies charge what is called a surcharge for calling
card calls. This means that you are billed a "bong charge" on
top of the per minute charges. Usually, you may "chain" any number
of calls under one bong charge. Check with your provider.
Other Calling Card plans do not bill a surcharge. When comparing Calling
Card rates, consider the average length of your calls, the surcharge (if
any) and the per minute rate.
If a Calling Card has a surcharge, expect the per minute rate to
be significantly less.
Surcharge calls cost you most when your calls are short (under 5 minutes).
SUMMARY
We hope this information will help you evaluate the many long
distance service plans available. We are confident, if you look at
the whole picture, you will find AmeriCom offers the overall best
values available in long distance service.
Copyright © 2010 AmeriCom Inc.
