Attorney General Philip McLaughlin today is advising consumers about a change in federal law with respect to their interstate long-distance phone company service. According to McLaughlin, until August of this year the Federal Communications Commission ("the FCC") maintained notice requirements relative to changes in interstate telephone long-distance rates. However, those notices have been eliminated by the FCC and long distance telephone companies are free to enter into contractual agreements directly with their customers. The companies are still required to comply with state law.

According to McLaughlin, a consumer's long-distance carrier must provide its customers with the rates and terms and conditions of their service, also known as a service agreement. The agreement must contain information regarding dispute resolution and state how notice will be given to customers regarding rate increases. Attorney General McLaughlin advises consumers to pay close attention to the notice they receive from their interstate long-distance carrier so they are clear as to the terms they are accepting by continuing to use the service of that particular company. According to McLaughlin, most of these statements contain the language, "Your continued use of our service will be construed as acceptance of the terms and conditions of this contract."

"Consumers need to be aware that there may be rate increases or other changes in their service agreement without their knowledge," says McLaughlin. The only remaining mandatory notice requirement of the FCC is that interstate phone companies must post their rates on their website. Attorney General McLaughlin advises, "It is important for consumers to review their interstate long-distance service agreement." McLaughlin also suggests that consumers periodically contact their long distance telephone company to verify that the calling plan they are on is still the best one for them. McLaughlin also advises consumers to shop around to get the best and appropriate rate for the individual consumer's needs. He offers two websites where consumers can comparison shop with respect to long distance carriers. The websites are: www.abelltolls.com and www.trac.org.com. These websites will allow consumers to shop for both calling card rates and for calling plans.