AT&T is about to get away with its bogus $1.99 ‘administrative fee’

AT&T has quietly bilked customers out of hundreds of millions of dollars with a bogus administrative fee, it more than doubled to $1.99 a month in 2018, The California class-action lawsuit made it seem like AT&T might be taken to task. Customers may get less than 10 percent of what they paid for AT&T, as both sides told a judge this week that they would settle for just 14 million dollars.

A judge needs to approve the proposed settlement agreement in Vianu, which will likely mean that every AT&T Wireless postpaid customer in California will be eligible for an estimated payment.

AT&T's own records show it charged an average of $180 per customer since 2015, according to documents. They read that the settlement will give a refund of about six months of the average fees. The lawyers are expected to get $3.5 million.

The estimated payment amount represents a strong result for the Settlement Class, particularly given the substantial risks, costs, and delay of continued litigation, according to the proposed settlement agreement.

There is little question that the fees are bogus and that Judge Beeler stopped AT&T from trying to dismiss the case because the company was deceptive. The lawsuit's legal team isn't going to pursue a win.

If this version of the settlement is approved, you won't even get a check in the mail if you're still an AT&T customer. The money will be credited back to your AT&T account, where AT&T can raise the fee again if it so chooses. It's a more reliable way to make sure customers get their money back.

The settlement website is likely to be found if it is approved.

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