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Premium rate numbers have a higher than normal rate, and part of that extra charge is paid to the service provider, enabling businesses to be funded by the calls. Internet calls make it easy to use these numbers to monetize telecom fraud. This paper will show you how it works, and how to prevent it.
Premium rate numbers have long been a staple of the telecom industry. These numbers charge a higher than normal rate and part of that extra charge is paid to the service provider, enabling businesses to be funded via the calls. Adult chat lines (phone sex) and psychic hotlines are very common uses of premium rate numbers. In Europe, it is not uncommon for technical and customer support services to use premium rate numbers as well.
Fraudsters today can hack into a phone network, use stolen equipment, or simply use deceptive practices to generate traffic to premium rate numbers. The results can be tens of thousands of dollars in fraudulent charges.
It is shocking how easy it is for someone to get started with premium rate number fraud. Where do they get these numbers How do they get started Many sources for these numbers can be found through a simple Google search. Our research at TransNexus turned up 41 premium rate number services that offer quick setup for premium rate number services.
A potential fraudster need only contact one of these companies to be provided with a list of premium rate numbers. The service will then give the fraudster a cut of the income provided from calls to those numbers.
Simply setting up a premium rate number does not necessarily lead to fraudulent activity. Some businesses do legitimately stimulate traffic to their premium rate number through legal means, such as advertising. In fact, many reputable charities make use of premium rate numbers or premium rate SMS text messages to raise money. In these cases, the call flow would look something like this:
It is important to note that in the fraudulent scenario, the enterprise will rarely pay for the fraudulent calls placed using its hacked PBX. Though the service provider may try to collect for the calls, it is rarely successful. Most subscribers to phone services expect fraud to be handled as it is with a credit card. That is, the service provider should be responsible for recognizing fraudulent activity, and the subscriber should not be held responsible for the charges.
First, TransNexus solutions come pre-loaded with a blacklist of known premium rate numbers. Calls made to these numbers are automatically blocked or re-routed. Second, by monitoring the financial risk of each call as well as factors like call attempts and call duration, TransNexus solutions are able to detect suspicious traffic in real time. If a subscriber suddenly shows a spike in traffic to a high rate destination, the TransNexus solution will send email and SNMP alerts, and may also be set up to automatically block or re-route suspicious calls.
Technically, a true vanity phone numbers spells out a word. The age old example is 1-800-FLOWERS. But a true vanity number is harder to dial because the caller has to hunt for the letters on the dial pad in order to know which digits to press.
The other kind of number is what many people call an easy dial number - a number that has a pattern or repeating digits which make it both memorable and easy to dial on a keypad. At an extreme, the telephone number 1-888-888-8888 fits in this category. (Unfortunately it is taken.)
These vanity phone numbers generally have superior recall value, depending on the word and its relevance to the business. But easy dial numbers are much easier to, well, dial, because of the repeating digits, especially at the end of the phone number. They also have excellent recall value compared to a set of random digits.
The reason is very simple. The easier the phone number is to remember and/or dial, the easier you are making it for your customers or clients to call you. And since calling is still the #1 way people reach a company about their product or service, the more important it is to have a vanity number and/or easy dial phone number.
We offer 800, 888, 877, 866, 855, 844 and 833 toll free numbers. But most of them are not displayed on this site. Most good toll free numbers are long gone. Even so, we can search the national pool for you. And if there is still nothing available, we have access to a huge aftermarket inventory of premium toll free numbers. They may cost more, but there is a good chance we can find something that will do the job. So just ask us!
Due to the nature of our services, all sales are final and all payments are non refundable. If your carrier does not support your new phone number, please let us know within 30 days of payment. Some carriers provide compatibility checks on their Internet sites. If verifiably incompatible, you can exchange your new phone number for one that is of equal or lesser value (no partial refunds are possible) that your carrier does support - but only within 30 days of payment. After 30 days of payment, no refunds or exchanges are possible.
All Microsoft 365 plans allow Teams users to make peer-to-peer calls within your organization using VoIP technology. However, you may want to add on different licenses for capabilities like making calls to PSTN numbers or setting up a PBX.
Premium-rate telephone numbers are telephone numbers that charge callers higher price rates for select services, including information and entertainment. A portion of the call fees is paid to the service provider, allowing premium calls to be an additional source of revenue for businesses. Tech support, psychic hotlines, and adult chat lines (e.g. dating and phone sex) are among the most popular kinds of premium-rate phone services. Other services include directory enquiries, weather forecasts, competitions and ratings televoting (especially relating to television shows). Diplomatic services, such as the US Embassy in London or the UK Embassy in Washington, have also charged premium rates for calls from the general public.[citation needed]
Premium calls are typically routed like toll-free numbers, and service providers can be located independent of the area code. These telephone numbers are usually allocated based on a national telephone numbering plan that makes them easily distinguishable from non-premium numbers; telephone companies often offer their customers the option to block calls from these number ranges, and in some jurisdictions, are required by law to offer blocking services.
Computer criminals have used premium-rate numbers to defraud unsuspecting Internet users. One scheme involved inducing users to download a program known as a dialer that surreptitiously dialed a premium-rate number, accumulating charges on the user's phone bill without their knowledge. Another now-uncommon premium-rate scam involves television programming that induces young children to dial the number, banking on the notion that they will be unaware of the charges that will be incurred. One variant, targeted at children too young to dial a number, enticed children to hold the phone up to the television set while the DTMF tones of the number were played. This type of scam was especially popular in the late 1980s to early 1990s in the United States before tougher regulations on the 900 number business forced many of these businesses to close.[1]
In South Africa, premium rate SMS short codes are four or five digits long, starting with either '3' or '4'. Premium rate telephone services are regulated by The Independent Communications Authority of South Africa (ICASA)
In Indonesia, premium numbers begin with 0809 and are marketed by Telkom as Japati, an acronym for Jaringan Pintar Nasional (National Smart Network). Due to the number's association with adult services (Telkom's dial-up Internet service, Telkomnet Instan at 080989999 being a major exception) premium-rate phone services have come under public scrutiny and regulatory crackdown, most notably in May 2015 following rash of spam text messages enticing mobile phone users to dial them.[2]
In Japan, premium rate telephone number service was known as \"DIAL Q2\" and began with the prefix 0990 followed by six digits. The digit following determined the service class. The prefix 0990-3 was for adult services. The prefixes 0990-5 and 0990-6 were used for other services. To prevent unintentional charges, subscribers may optionally register a four-digit password which is then required when accessing a premium rate service. The DIAL Q2 service ended operations in early 2013.
Premium rate numbers start with the prefix 060 followed by 7 or 8 digits. Some consumers do not know that numbers starting with 060 are premium rate numbers because 060 is mistaken for one of long-distance area codes in Korea (there are 062, 061 and 063). They call back when they find that they miss a call to their mobile phones from a 060 number ending up paying for just making a call.
1588-#### and 1577-#### are not premium rate numbers per se. They are used by banks, insurance companies, nationwide restaurant chains, consumer electronics companies, online shopping malls and others for customer service and delivery order. In many cases, customers calling them are charged at a long-distance rate without knowing that they are making a long-distance call.
In many European countries, such as France, Germany and the United Kingdom, it was common for organisations to operate customer service lines on premium-rate numbers using prefixes that fall outside the scope of the country's premium-rate number regulations. Therefore, in contrast to North America where customer service numbers are typically free of charge to the caller, consumers in Europe often used to pay a premium above the cost of a normal telephone call. The EU Consumer Rights Directive 2011/EU/83, which came into force on 13 June 2014, was intended to eliminate this pricing model, but the law's implementation and success varies w