TIP: Click on subject to list as thread! ANSI
echo: cellular
to: SCOTT CURRIER
from: CHARLES HUNTER
date: 1997-05-02 15:37:00
subject: Prepaid Cellular 2

SC>I think that the credit checks are a pain in the neck, rather than 
ecurity
  >deposits they could just limit those that may be more of a risk. Shut the
  >account off at 50 bucks or something. A security deposit isn't the only 
answ
  >and it isn't the best answer. It would be easy to put down a $400 security
  >deposit and then run up a few thousand dollars worth of calling in the 
first
  >month and keep going until shut off. They would have gotten more than 
heir
  >moneys worth.
  >I was reading that some of the PCS systems will allow you to put a limit 
n
  >your account, go over that limit and you're done for the month. I think it 
w
  >Sprint Spectrum in DC that offered this.
  >Rather than a security deposit, a reasonable limit may be a better 
olution
  >for both the carrier and the buyer.
  >Unfortunately, the credit check has become and industry standard, 
ellular,
  >PCS, and probably even the SMR/ESMR companies are all doing it.
Of course what you suggest is workable; but you fail to note that 
all of this money that they take in as security deposits can be used
by them, at a lower interest rate than borrowing, to expand their 
system.  That is the main reason that the cellular companies want 
deposits.  
CHARLES
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