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TITLE 16ECONOMIC REGULATION
PART 2PUBLIC UTILITY COMMISSION OF TEXAS
CHAPTER 26SUBSTANTIVE RULES APPLICABLE TO TELECOMMUNICATIONS SERVICE PROVIDERS
SUBCHAPTER BCUSTOMER SERVICE AND PROTECTION
RULE §26.34Telephone Prepaid Calling Services

(a) Purpose. The provisions of this section are intended to prescribe standards for the information a prepaid calling services provider must disclose to customers regarding the rates and terms of service for prepaid calling services offered in this state.

(b) Application. This section applies to any "telecommunications utility" as defined by §26.5 of this title, relating to Definitions. This section does not apply to a deregulated company holding a certificate of operating authority, or to an exempt carrier utility that meets the criteria of Public Utility Regulatory Act (PURA) §52.154. This section also does not apply to a credit calling card in which a customer pays for a service after use and receives a monthly bill for such use.

(c) Liability. A prepaid calling services company is responsible for ensuring, either through its contracts with its network provider, distributors and marketing agents or other means, that:

  (1) end-user purchased prepaid calling service remains usable in accordance with the requirements of this section; and

  (2) compliance requirements of all disclosure provisions of this section are met.

(d) Definitions. The following terms used in this section have the following meanings, unless the context indicates otherwise:

  (1) Access telephone number--The number that allows a prepaid calling services customer to access the services of a telecommunications utility to place telephone calls.

  (2) Billing increment--A unit of time used to charge customers for prepaid calling services.

  (3) Personal identification number (PIN)--A number assigned as an authorization code that ensures system security for a prepaid calling services customer and allows the prepaid calling services company to track minutes used.

  (4) Prepaid calling services account--An amount of money paid by a customer in advance to access the services of a telecommunications utility to place telephone calls. When the customer makes completed telephone calls, the value of the account decreases at a predetermined rate.

  (5) Prepaid calling card--A card or any other device purchased to establish a prepaid calling services account.

  (6) Prepaid calling services--Any telecommunications transaction in which:

    (A) a customer pays in advance for telecommunications services;

    (B) the customer's prepaid calling services account is depleted at a predetermined rate as the customer uses the service; and

    (C) the customer must use a PIN and an access telephone number to use the telecommunications services.

  (7) Prepaid calling services company--A company that provides prepaid calling or other telecommunications services to the public using its own telecommunications network or resold telecommunications services, or distributors who purchase PINs or telecommunications services to resell to the end-user customer.

  (8) Recharge--A transaction in which the value of the prepaid calling services account is renewed. The customer must be informed verbally or electronically of the new rates and surcharges at the time of recharge.

  (9) Surcharge--any fee or cost charged against a prepaid calling services account in addition to a per-minute rate or billing increment including connection, payphone, and maintenance fees.

(e) Billing requirements for prepaid calling services.

  (1) Billing increments must be defined and disclosed in the prepaid calling services company's published tariffs or price list on file with the commission, on any display at the point of sale, on any prepaid calling card, or on any prepaid calling card packaging.

  (2) A prepaid calling services account may be decreased only for a completed call. Station busy signals and unanswered calls are not completed calls and must not be charged against the account.

  (3) A surcharge must not be levied more than once on a given call.

  (4) Prepaid calling services companies must not reduce the value of a prepaid calling services account by more than the company's published domestic tariffs or price list on file with the commission and any surcharges filed at the commission. Domestic rates and surcharges must be disclosed at the time of purchase. Current international rates must be disclosed at the time of purchase with an explanation, if applicable, that these prices may be subject to change.

  (5) The prepaid calling services account may be recharged by the customer at a different domestic rate from the original domestic rate or the last domestic recharge rate provided that the new domestic rate and any domestic or international surcharges conform with the company's published tariff or price list on file with the commission at the time of recharge. The customer must be informed of the rates at the time of recharge. A prepaid calling services company must keep internal records of changes to its international rates and must provide customers with the appropriate international rate information through a toll-free telephone number. International prepaid calling services rates must be updated annually in accordance with §26.89 of this title, relating to Information Regarding Rates and Services of Nondominant Carriers.

  (6) Upon verbal or written request, prepaid calling services companies must be capable of providing a customer the following call detail data information at no charge:

    (A) Dialing and signaling information that identifies the inbound access telephone number called;

    (B) The number of the originating telephone;

    (C) The date and time the call originated;

    (D) The date and time the call terminated;

    (E) The called telephone number; and

    (F) The PIN or account number associated with the call.

  (7) Prepaid calling services companies must maintain call detail data records for at least two years.

(f) Written disclosure requirements for all prepaid calling services.

  (1) Information required on prepaid calling cards. Cards must be issued with all information required by subparagraphs (A) and (B) of this paragraph in at least the same language in which the card is marketed. Bilingual cards are permitted provided that the information required by subparagraphs (A) and (B) of this paragraph is printed in both languages.

    (A) At a minimum, a card must contain the following information printed in a legible font no smaller than eight-point:

      (i) The toll-free number as required by subsection (i) of this section;

      (ii) The maximum rate per minute must be shown for local, intrastate, and interstate calls. International call prices must be provided to the customer through a toll-free number printed on the card. If the cost for a one minute call is higher than the maximum rate per minute, it must be printed on the prepaid calling card; and

      (iii) The words "VOID" or "SAMPLE" or sequential numbers, such as "999999999" on both sides of the card if the card was produced as a "non-active" card so that it is obvious to the customer that the card is not useable. If the card is not so labeled, the card is considered active and the issuing company must honor it.

    (B) At a minimum, a card must contain the following information printed in legible font no smaller than five-point:

      (i) The value of the card and any applicable surcharges must be expressed in the same format such as a card whose value is expressed in minutes must express surcharges in minutes. If the value of a card is expressed in minutes, the minutes must be identified as domestic or international and the identification must be printed on the same line or next line as the value of the card in minutes;

      (ii) The prepaid calling services company's name as registered with the commission. A "doing business as" name may only be used if officially filed with the commission. The language must clearly indicate that the company is providing the prepaid calling services;

      (iii) Instructions on using the card correctly; and

      (iv) Expiration date or policy, if the card cannot be used after a date certain. If an expiration date or policy is not disclosed on the card, it will be considered active indefinitely.

  (2) Information required at a point of sale. All the following information must be legibly printed on or in any packaging in a minimum eight point font and displayed visibly in a prominent area at the point of sale so that the customer may make an informed decision before purchase. Bilingual information may be made available provided that the information in subparagraphs (A)-(I) of this paragraph is printed in both languages.

    (A) A listing of applicable surcharges;

Cont'd...

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