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Share-Save-Spend: Cell Phones, Kids And Cash

POSTED: 9:27 am EST January 17, 2005
UPDATED: 2:23 pm EST January 17, 2005

The best practical jokes are the ones that exploit the element of surprise. If you’ve ever been on the receiving end, then the following phrase should be somewhat familiar -- "Gotcha!"

Last week, parents of 15-year-old Jason described to me a recent incident in their house that had all the elements of a "gotcha."

"I was going through the typical routine of opening our mail and the next envelope was the cell phone bill," said Tonya, Jason’s mother. "When I looked at the balance due, I gasped in disbelief," she said. The bill had increased a whopping 400 percent over a typical month!

Apparently Jason’s communication habits had evolved beyond the family phone and desktop computer. In addition to downloading a few games to his cell phone, he had also discovered the power of text messaging. "I had no idea that each time I was playing a game or text messaging the meter was running," said Jason.

Wireless communication providers in America must be slapping their knee and shouting a collective "gotcha" as millions of parents around the country open their family’s cellular bills.

According to a recent New York Times article, Verizon Wireless reported a five-fold increase in the number of text messages sent and received monthly from 200 million in 2003 to almost 1 billion in the fall of 2004.

A Verizon spokesman, Howard Waterman, said that people age 16 to 24 represented the "leading customer segment."

Imagine that. Young people who crave 24-7 connections with their friends are the leading segment in the exponential rise of text messaging.

In the same New York Times article, Clay Owen, a spokesman for Cingular Wireless, said that "in an ideal world" the sales staff would explain the text-messaging feature and its cost. 'They are trained to go through the packages with the customers," he said. "Does it happen every time? Obviously, with various salespeople and depending on the situation, there could be times it does not happen."

Caveat emptor!

This communication trend is probably here to stay so let me suggest a few things you can do to avoid being on the receiving end of a cellular "gotcha."

  1. If you have a family cellular plan, make sure everyone on the plan understands how it works.
  2. If possible, take the kids to the wireless provider and ask them to explain to your children exactly how charges accrue.
  3. If you receive a "gotcha" bill, ask your child to pay what they owe. If they don’t have enough money, set up a payment plan. If you let the teachable moment pass, you risk a larger bill in the future.

How can you establish healthy boundaries for using various communication devices?

Before you answer, consider your own communication habits. Do a quick audit to see how frequently you use your own wireless devices and more importantly if you are staying within the financial boundaries of the chosen plan.

This question is designed to build on the Share-Save-Spend tip for the week and can be used as a springboard for additional conversations with family and friends.

According to a recent report from Forrester Research, a company in Cambridge, Mass., that specializes in technology, Americans sent 2.5 billion text messages a month in mid-2004, triple the number sent in mid-2002. Source: New York Times Jan. 9, 2005


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