options random home screenshot http://www.sunbelt.net/hypervision/plan.htm (World Wide Web Directory, ~04/1995)

SHOPPING FOR LONG DISTANCE

Do you find selecting a long distance service to be complicated? Do you know what you are paying for your long distance? Most long distance companies don't want you to know. They assume that by offering attractive promotions, confusing discounts (which apply only to certain calls) and rates which depend on all kinds of complicated conditions, that they can make you believe you are getting a "good deal" when in fact, you are paying more than you realize.

In fact, there are only a few relevant points which you need to consider when comparing long distance rates. Below, you will find an informative Check List and useful Comparison Forms, which make it easy to compare long distance services.

Our guide to shopping for long distance service will discuss these points in detail. Although CTCS offers what we believe are the best long distance plans available, we have tried to be objective in presenting the issues which are most relevant to selecting a long distance service. We hope you agree, and find this information helpful.


First we will describe the types of long distance service most likely to be of interest to you and your company.

TYPES OF LONG DISTANCE SERVICE

Following is a brief list of the most common services offered by long distance telephone companies.

1+ Direct Dial Service
Here are calls you "dial direct" from your telephone to a number outside your state, and are also referred to as Interstate, State-To-State or Outbound service. Unless you offer 800 numbers to your customers, this is likely to be the service you use most.
800 Number Service
Since there is no cost to the caller, 800 numbers encourage customers to call you, providing access to prospects you might otherwise loose. 800 numbers are becoming very common. If a competitor has an 800 number and you do not, your competitor is likely to get the call.
Calling Cards
As you probably know, long distance calling "on the road" can be very expensive. To provide a low cost alternative to paying hotel markups, or for operator assisted calls from pay phones, most long distance companies offer Calling Cards. From your hotel or pay phone, you simply dial a toll-free 800 number, enter your Personal Identification Number (PIN) and dial the number.

For your convenience, we have developed a check-list itemizing the categories you may want to consider when evaluating long distance services. Each item in the check-list is discussed in detail below. If an item is not familiar to you, or you would just like to know more, simply click on the item and you will find further explanation under the GENERAL INFORMATION below.


WHAT TO EXPECT IN LONG DISTANCE SERVICE

Not every item above may be relevant to your long distance needs. Select the items that are important to your company and expect concrete answers.


COMPARISON FORMS

To help you achieve an accurate comparison of services offered by long distance companies, we have developed comparison forms you may complete with information from long distance plans you are considering.

There are three forms, respectively, Direct Dial Service, 800 Service and Calling Card Service. As a convenience, we have provided the values for CTCS long distance plans. Fill in the blank column with the values from your existing service or any other service you are considering.

If you are interested in more information concerning CTCS long distance service contact CTCS Customer Support:

We look forward to hearing from you!
     Long Distance Service Rate and Feature
Comparison Forms 



CTCS Rate Comparison Chart


CTCS Dial 1+ Rate Comparison Chart

+--------------------------------------------------------------+
|      $/Min. Domestic Interstate Peak Rates (8 AM - 5 PM)     |
+------------------+----------+----------+----------+----------+
|    Mileage       | Unidial*|   AT&T** |    MCI** |  Sprint**|
|     Band         |1+ Rates| Pro Watts|  Vision  |  Clout   |
+------------------+----------+----------+----------+----------+

|  0 - 55          |   .129   |   .206   |   .189   |   .197   |
+------------------+----------+----------+----------+----------+
|  56 - 292        |   .129   |   .224   |   .207   |   .206   |
-------------------+----------+----------+----------+-----------
|  293 - 430       |   .129   |   .237   |   .220   |   .212   |
+------------------+----------+----------+----------+----------+
|  431 - 925       |   .129   |   .251   |   .229   |   .216   |

+------------------+----------+----------+----------+----------+
|  926 - 1910      |   .129   |   .261   |   .238   |   .220   |
+------------------+----------+----------+----------+----------+
|  1911 - 3000     |   .129   |   .265   |   .247   |   .234   |
+------------------+----------+----------+----------+----------+
  *6 Second Billing                 **60 Second Billing

UniDial 1+: means a single low flat rate, coast to coast, with savings of 40-50% over AT&T, MCI and Sprint - plus the added savings of 6 second billing. and an off Peak rate of .108 Cent a Minute! CTCS 800 Rate Comparison Chart

CTCS 800 Rate Comparison Chart

+--------------------------------------------------------------+
|        $/Min. State-to-State and In-State Peak Rates         |
+------------------+----------+----------+----------+----------+

|    Mileage       | Unidial 800*|   AT&T** |    MCI***|  Sprint  |
+------------------+----------+----------+----------+----------+
|  0 - 55          |   .139   |   .247   |   .236   |   .244   |
+------------------+----------+----------+----------+----------+
|  56 - 292        |   .139   |   .263   |   .244   |   .251   |
-------------------+----------+----------+----------+-----------
|  293 - 430       |   .139   |   .263   |   .248   |   .256   |

+------------------+----------+----------+----------+----------+
|  431 - 925       |   .139   |   .263   |   .256   |   .264   |
+------------------+----------+----------+----------+----------+
|  926 - 1910      |   .139   |   .263   |   .260   |   .268   |
+------------------+----------+----------+----------+----------+
|  1911 - 3000     |   .139   |   .263   |   .284   |   .268   |
+------------------+----------+----------+----------+----------+

  *6 Second Minimum   **30 Second Minimum   ***18 Second Minimum
   13.9 Cents Per Minute Flat Rate Plan 

Unidial 800 Flate Rate Plan: means low flat rates, nation wide, with savings of 40-50% over AT&T MCI and Sprint - plus the added savings of 6 second minimum.

GENERAL INFORMATION

The information in this section generally applies to all long distance service, including Dial 1+, 800 Number Service and Calling Card calls. The sections below correspond to the check-list found at the beginning of this guide.

Time Sensitive Billing
Everyone knows it costs less to call at night than during the day, right? Not always! Many plans provide a flat 24 hour rate. These are the most common types of time sensitive billing:

Day		 (8 AM - 5 PM)

Evening		 (5 PM - 11 PM)

Night/Weekend	 (11 PM - 8 AM) and on weekends Or:

Peak		 (8 AM - 5 PM)


Off Peak	 (5 PM - 8 AM) and on weekends Or:

24 Hour		 (All Day Every Day) 

These may vary from service to service. Meaning, the rate you pay for direct dial may be Day/Evening/Night while 800 calls are billed at a 24 Hour rate.

    • Start with a low Direct Dial daytime rate.

But remember, even if most of your company's calls are made during the day, many types of calls (including computer data and fax transmissions) may be made at night.

Interstate and Intrastate Service
Interstate calls refer to calls made from one state to another. They are often called "State-to-State" calls. Whenever you add a new line, your local telephone company asks you to select a long distance carrier. This allows you to make long distance calls by simply dialing 1 plus the area code and telephone number. This is often referred to as 1 Plus (or 1+) service.

Intrastate calls are calls made within your state. They are also referred to as In-State calls. With the breakup of AT&T many years ago, your local telephone company was granted exclusive rights to 1+ access within the state. This means, if you dial 1 plus your local area code and the telephone number of a party within your state, the call is carried by your local telephone company, often at rates higher than they need to be.

However, with the implementation of the new (700) prefix, you may now make in-state calls using your selected long distance carrier. By dialing 1 (700) plus the in-state telephone number, you circumvent the local phone company, and obtain the discount rates offered by your long distance carrier. Soon, most states will require you to dial the area code for in-state calls, in fact many states already do. Therefore, it will no longer be any more difficult to make an in-state call using the carrier of your choice, than it will be using your local telephone company.

    • Check In-States rates as well as State-to-State rates.

If your long distance carrier offers attractive rates, you can save significantly on your in-state calling.

Billing Minimum and Billing Increment
The Billing Minimum determines the smallest charge you will be billed for making a long distance call. For example, if you are being billed 26 cents per minute and the billing minimum is 60 seconds, you will be billed 26 cents no matter how short the call.

The Billing Increment determines the amount you will be billed for the next second (after the minimum) you stay on the line. If the billing increment is 60 seconds, then a 61 second call will cost you 52 cents. assuming a 26 cents per minute rate.

This also may vary from service to service. The minimum you pay for Direct Dial may be 6 seconds while the Calling Card minimum is 30 seconds.

    • Look for a small billing minimum with 6 second increments on every service.

With a 6 second minimum, if you are paying 15 cents per minute and hung up within 6 seconds you would pay only 1.5 cents for the call. A 61 second call would cost only 16.5 cents. These savings add up and will increase your overall savings, often by as much as 15% .

Mileage Band Billing
Many long distance plans bill you based on the distance you call. These distances are divided into "bands". For example, Band 1 might be 0-55 miles, Band 2, 56-292 miles and so on. This makes it easy to camouflage rates. If you ask what is your rate, the answer is "it depends on where you call".
    • Look for "flat rate" plans which offer the same rate anywhere in the United States.

When the rate you pay per call is the same throughout the United States it is often referred to as a "flat rate".

Promotions and Give Aways
It has become common lately, to "get you signed up" by any means. Promotions like "Free $50 in Long Distance" or "5 Free Hours of Calling" may look appealing but are designed to distract you from the real issue: what you are paying for long distance! Ads offering hours of free long distance will most likely spread the time out over many months, while charging you higher rates in the mean time.
    • Don't be fooled by one time come on's. Compare rates and read the fine print.

Attractive up front offers should raise a red flag. Watch out, or you will pay far more in the long term.

Discounts! Off What?
Save 20%. Save 30%. Save up to 40%! Off what? On every call? On selected calls? And off what base rate? Discounts are yet another form of hype designed to keep you from understanding what the real cost of long distance is. The largest of the long distance carriers just raised their basic rates, again. Of course this allows them to advertise greater discounts while they continue to charge you higher rates.
    • Focus on the bottom line - what is your total bill going to be?

Complex discounts, confusing plans and sheer hype are no substitute for plain low rates.

Line Quality and Dependability
The big carriers wants you to believe that only they have the quality and dependability you need to run your business. The truth is that everyone shares everyone else's lines. Virtually every carrier has agreements with other carriers to move traffic through their lines as necessary.
    • Don't be fooled by claims of superior line quality or dependability.

All cities in the United States are connected with the most dependable, highest quality digital fiber optic lines. Within each city, the lines are monopolized by your local telephone company. You are far more likely to experience an outage locally than over long distance lines.

As Business Week (03/26/90) puts it, "Hard-sell ads notwithstanding, most customers can't see any difference among the connections of the phone carriers these days. So the real point is to examine price." Or as Dr. Robert Self, publisher of Dr. Bob's Long Distance For Less says, "For years I've said the three most important factors in chosing a long distance service are: Price, Price and Price".

Management Accounting Reports
As with any significant expenditure, it pays to keep track of where and how you are spending your money. Long Distance is no exception.
    • Consider the value to your company of detailed billing statements with ample summary information.

The information provided in your long distance billing reports may tell you a lot about your business you didn't know.

A Note About Calling Cards
Many companies charge what is called a surcharge for calling card calls. This means that you are billed a "bong charge" on top of the per minute charges. Usually, you may "chain" any number of calls under one bong charge.

Other Calling Card plans do not bill a surcharge. When comparing Calling Card rates, consider the average length of your calls, the surcharge (if any) and the per minute rate.

    • If a Calling Card has a surcharge, expect the per minute rate to be significantly less.

Surcharge calls cost you most when your calls are short (under 5 minutes).


SUMMARY

We hope this information will help you evaluate the many long distance service plans available. We are confident, if you look at the whole picture, you will find CTCS offers the overall best values available in long distance service.


For more information on the services provided by CTCS send E-mail to JCAR@SUNBELT.NET
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