• Calling card sale and use are being regulated by federal and state laws.telephone image by MATTHIEU FABISIAK from Fotolia.com
  
  Phone card laws provide guidelines to phone companies and clients to create a uniform standard regarding telecommunications services, charges and advertising. Because of the high number of invalid calling cards on the market and the misleading information on some calling cards, state and federal governments have constructed laws to help prevent calling card fraud.
  
  

Federal Law

• The Calling Card Consumer Protection Act is a federal law that helps protect calling card customers. The law requires service providers to explain and clarify all information concerning the minutes of each calling card, the per-minute rates, expiration dates, all decreases in the value of the calling card, criteria for refunds and recharging. All hidden costs and policies are regarded as unfair and misleading and are illegal. A customer has the right to report any violation of this law to the Federal Trade Commission.
  
  

New Jersey Law

• The New Jersey Prepaid Telephone Calling Cards law provides a list of the local government regulations for phone card companies and the selling of phone cards. This statute states that every calling card distributer must clearly reveal information about the value of the calling card, a 24-hour hotline for customer service, the calling fees and rates, toll-free numbers and website references. Also, it is illegal for calling card companies to knowingly sell calling cards that are not worth the published value.
  
  

Illinois Law

• The Illinois Commerce Commission has the power to prosecute calling card companies that provide false information to calling card customers. This authority is granted through the Illinois fraud laws. The calling card companies must be truthful concerning phone information, local and international rates, surcharges, refund policies and customer service contact numbers. To control the number of irresponsible calling card businesses, the Illinois Commerce Commission has made it mandatory for calling card companies to be licensed with the Certificate of Prepaid Calling Service Provider Authority.