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First-Ever Report On U.S. Calling Habits To Mexico Commissioned By Rebtel

San Francisco – November 20, 2008 - A new study issued this month shows several remarkable changes in the ways people in the U.S. are communicating with family, friends and business associates in Mexico. The research provided by Rebtel, based on its calling volume in the first eight months of 2008, shows several key findings.

- Saturday and Sunday are the most popular days for calls to Mexico.

- The largest number of calls are coming from Los Angeles, CA, Houston, TX, Orange, CA, Miami, FL, San Diego, CA,

- Cuauhtémoc, Guadalajara, Ciudad Monterrey, Neruda, Juarez and Culiacan Rosales are the most popular calling destinations, in that order.

As of November 1, 2008, of those surveyed:

On average Rebtel users spend 175 minutes per month – 2 hours and 55 minutes – on their monthly calls to Mexico.

And for the most part, they are calling friends and families more often on their landlines in Mexico rather than mobile phones.

Top Mexican Cities Receiving Calls from the U.S.:

1. Cuauhtémoc
2. Guadalajara
3. Ciudad Monterrey
4. Neruda
5. Juarez
6. Culiacan Rosales

Top U.S. Cities Calling Mexico:

1. Los Angeles, CA
2. Houston, TX
3. Orange, CA
4. Miami, FL
5. San Diego, CA

“Low rates combined with the most reliable and clear connections are what have been driving our increase in international calling to Mexico,” said Rebtel CEO Hjalmar Winbladh.

Founded in 2006, Stockholm-based Rebtel was established to give people around the world an alternative to calling cards and mobile operators’ rip-off rates for making international calls. Now thousands of Americans use Rebtel to call Mexico for 2 cents per minute to landlines or mobile phones. The company recently was ranked #1 in international calling by Technology Appraisals and has been featured in USA Today, The New York Times, San Francisco Chronicle, and The International Herald Tribune for its unique calling service.

By: Alex Drewniak, November 20th, 2008 Tags: india, international calling behaviour, rebtel, VoIP

U.S. House of Representatives Pass Calling Card Legislation That Affects Indian Americans Calling Abroad

San Francisco – October 8, 2008 – Last week the U.S House of Representatives moved to force companies that sell or distribute prepaid calling cards to describe any fees associated with the cards on packaging and in advertising. The legislation declared that the calling card industry is “plagued by fraudulent and deceptive business practices,” and this new legislation is an attempt to combat that. The bill passed with an overwhelming majority. Since Indian Americans make up a large percentage of international callers, this legislation will have a profound effect on them.

The legislation came after the Federal Trade Commission (FTC) launched an investigation into the industry. The investigation concluded that card companies only deliver an average of 60% of the minutes promised due to charges that are hidden from the consumer. National Consumers League Executive Director Sally Greenberg stated in testimony to the FTC, “[The calling card industry] is a ‘Wild West’ of sellers and merchants who too often prey upon the most vulnerable consumers by promising minutes they don’t deliver and loading up on hidden or undisclosed charges and fees.”

The bill, H.R.3042, was sponsored by Rep. Eliot Engel, D-N.Y. “This is just a good consumer protection bill,” Engel said, prior to the vote. “And it has to be federal because if you have a hodgepodge of states all with different laws, it really doesn’t work. You really need something uniform.” The bill has not yet been passed to the Senate.

It is estimated that fraudulent calling cards may be costing Indian Americans up to $100,000 every day.  More often, the Indian American community is turning to other providers of inexpensive calling services including Rebtel which charges solely on a per minute basis with no other fees or connection charges. “It was precisely because of the rip off schemes we’ve noticed with calling cards that drove us to build a new service that people could trust,” says Rebtel CEO Hjalmar Winbladh.

Greenberg, however, doesn’t believe the bill goes far enough. She states, “While [the bill] requires that the disclosure text on the calling card itself, packaging, or other promotional material (including online) be in same language used to advertise the card, we would recommend expanding [the bill] to require that prepaid phone card providers provide toll-free customer service lines staffed by customer service representatives able to converse in the languages that the cards are advertised in.”

These gaps, says Greenberg, along with lax requirements for businesses to enter the calling card industry, will continue to make it difficult for consumers who use calling cards to ensure they’re getting a fair deal. “The most vulnerable consumers—military families, immigrants, low-income families —rely on these cards and spend their hard-earned money only to see the value of the cards disappear quickly after first use,” says Greenberg.
Winbladh sees the legislation as a major step forward in the demise of calling card fraud. “The Indian American community wants quality and honesty at affordable rates; this is the main reason why we have seen major growth from the community over the past year.”

By: Alex Drewniak, October 20th, 2008 Tags: india, rebtel, VoIP