The federal government wants to hear about a maddening part of internet bills: the extra fees if your streaming and surfing goes above a monthly data limit.
Last week, the Federal Communications Commission announced that it’s looking into the impact of “data caps” - the limits that some home internet providers impose on how much data you can use each month. You might be charged extra if your household goes over the limit.
Consumer advocates have said for years that these data caps are an unjustified money grab. They hope the FCC is finally going to do something about it.
I’ll explain what the FCC wants to know about data caps and how to have your say. Even if you don’t pay for using “too much” internet, the fees are a glimpse at how internet providers face few consequences if they give you crummy service or jack up your bills.
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What the FCC wants to know about data caps
The FCC’s action is one of the biggest steps so far by the federal government to figure out how internet data caps affect Americans and whether they should exist at all.
Tell the FCC about your experience with data caps in an online form at consumercomplaints.fcc.gov.
The FCC says it’s already heard from hundreds of people who have complained that data caps are unfair or say that they ration their internet use to avoid paying tens of dollars more than they expected on their monthly bills for exceeding the caps.
If you’re unsure whether your home internet provider - or one you’re considering - has a data cap, check Broadband Now’s list, at broadbandnow.com. (Spectrum and Verizon Fios home internet customers generally don’t have data caps. Some providers like Xfinity and Cox may have data caps only for customers in some parts of the country.)
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For more specifics, look at the new FCC-required “broadband nutrition labels” that are modeled on the nutrition information for packaged food.
The internet nutrition labels for Xfinity, Spectrum, Cox, AT&T or Verizon can be found at providers’ websites. The information is useful but difficult to use and compare. You will probably need to enter an address where the company offers internet service.
Look toward the bottom of the label for “Data Included with Monthly Price.” It shows the monthly data limit, if any, and how much extra you’ll pay if you go over. The label may also show “unlimited” data with fine print that your internet speeds might slow down in some cases.
One problem is there’s no standard way to know or estimate how much internet data your household uses. You might find this on your internet bill. You might not.
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A symptom of broader problems with internet service
An organization representing cable companies, NCTA - the Internet & Television Association, says that “usage-based billing” for internet service - it says they’re not data caps - keeps prices low for everyone by charging more to people who use more data.
The group says the FCC action “needlessly questions the accepted, pro-consumer benefits” of internet providers’ flexible price options.
That logic sounded absurd to Sascha Meinrath, a telecommunications professor at Pennsylvania State University, who pointed out that your internet bill isn’t typically lower when you use less data. Meinrath said that would be real usage-based pricing.
Raza Panjwani, senior policy counsel at New America’s Open Technology Institute, said data caps shouldn’t be allowed for the types of internet connections that cable companies and fiber providers such as Fios use. It doesn’t cost those companies more if you use more data.
Panjwani and Meinrath said the data caps are a symptom of what’s broken with America’s home internet service, including the relative lack of alternatives if you’re unhappy with the price or quality.
They say internet providers are getting gobs of government subsidies, but they and regulators haven’t been held accountable for taxpayers and consumers getting poor value for the money we’ve poured into internet service.
This is an urgent issue because states are finalizing plans to dole out more than $42 billion in a massive government effort to connect all American households to reliable and affordable internet connections.
Consumer advocates worry that taxpayer money won’t be put to good use if it entrenches the internet system that brings you data caps and wimpy competition.
“If you can shop around, you should,” Panjwani advised. “If you can’t shop around, that underscores the lack of meaningful competition.
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One tiny win
If you’re unhappy about your internet bills, it’s worth trying a couple of tactics that could save you money.
• You probably don’t need the super-fast internet service plan. Many households will be good with a basic high-speed plan from an internet provider offering download speeds of 100 to 300 megabits per second. (Lots of Americans can’t access speeds even that fast or afford service.)
Consumer Reports has a handy quiz to estimate the internet speeds your household might actually need.
It’s worthwhile starting with a lower-tier internet plan from your provider. If your internet is molasses, then you can consider a higher-priced plan that boasts blazing fast speeds.
• Consider alternative providers, including 5G home internet service. Start by entering your address into the FCC’s flawed but still useful internet service map, at fcc.broadbandmap.gov, to see potential options where you live.
Most people should consider only companies that are listed under the technology category as “cable,” “fiber to the premises” or maybe “NGSO Satellite.” Also look at the 5G options in the “mobile broadband” tab.
Millions of people have signed up for home internet service that relies on the same 5G mobile connections as smartphones. Wireless home internet does not work well for everyone, but for now it can be a good and affordable choice for some people.
Some providers of wireless home internet service have data caps and may slow down your service if you go over the limit.
The information on the FCC map may not be accurate. You should check with the internet providers listed, or ask neighbors which internet providers they use.