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  The Society for Consumer Advocates and Mavens

News You Can Use!

DISASTER RELIEF CHARITIES

You may want to think twice the next time you see an ad seeking monetary donations for, or even consider donating to, a disaster relief fund to help disaster stricken people in your area or anywhere else for that matter! Why? Too many times when people who need help call the local chapter of a disaster relief fund, they may possibly get very little or no help. If you tell them you have insurance you may get NO help!

Ask the local chapter how the money it collects is spent in your area on disaster relief and they may likely give you the run around. In fact, the "local" chapter of a national disaster relief fund may not even have to show the "national" headquarters how it spends donations collected in your area.

A former head of America's most prominent disaster relief fund complained that local chapters seem relatively untouchable and are hard to reign in concerning accountability in how they spend donations!

One audit of one local chapter showed that the president of the local chapter earned $300,000 in one year as president and some donations were even used to upgrade the phone system at the offices of local chapter!

Remember, when these disaster relief funds collect donations they may deposit the money into interest bearing bank accounts and use the money for other things, places and other disasters years later instead of using the money it collected in YOUR area for a particular disaster!

SUPPLEMENTAL SOURCE: CBS-TV 60 MINUTES 6/16/02 PHONE COMPANY DE-REGULATION Ever since the act by Congress and the President to de-regulate the phone services industry was signed into law in 1995, there have been up to three times more consumer complaints than ever before to government agencies and watchdog groups concerning poor service, higher rates and gouging fees!

The de-regulation of the phone services industry was supposed to lower costs to consumers, improve service and foster competition among phone companies. However, since 1995, essentially four corporate conglomerates have taken over the whole U.S. and now monopolize an industry that de-regulation was supposed to open up to competition!

Where there was once a monopoly in the phone services industry, prior to 1995, offering up good service and somewhat fair pricing, now there seems to be a monopoly in the phone services industry giving poorer service, gouging fees and higher prices after 1995 that de-regulation was supposed to address.

Thanks to your legislators and de-regulation, now your phone bill may likely have all sorts of fees added to your monthly statementl, some of the fees are required by the government and some are not. Unfortunately, the ones required by the government that your local and long distance phone company must collect from you may be "padded!" For example, if the phone company is required to collect a certain fee, they may add to that fee, even doubling the fee in some cases, and no one, not even the government, can figure out how the phone companies can justify the costs to consumers!

SUPPLEMENTAL SOURCE: CBS-TV 60 MINUTES 6/16/02

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