Presubscribed Interexchange Carrier Charge: Difference between revisions
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Local companies charge long-distance providers to connect callers to their network. Every time you make a long-distance call, it must first be routed by the local phone company. In the past, the charge for this routing was billed based on the length of the call. In reality, however, the cost of local access depends more on the number of phone lines. As a consequence, the [[FCC]] ordered local access charges be billed on a per-line basis and per minute fees be decreased. This is the origin of the '''PICC'''. |
Local companies charge long-distance providers to connect callers to their network. Every time you make a long-distance call, it must first be routed by the local phone company. In the past, the charge for this routing was billed based on the length of the call. In reality, however, the cost of local access depends more on the number of phone lines. As a consequence, the [[FCC]] ordered local access charges be billed on a per-line basis and per minute fees be decreased. This is the origin of the '''PICC'''. |
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Revision as of 18:30, 21 September 2006
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PICC (Presubscribed Interexchange Carrier Charge) is a charge that North American long distance telephone companies pay to incumbent local exhchange carrier (ILEC) to help recover local loop costs.
Local companies charge long-distance providers to connect callers to their network. Every time you make a long-distance call, it must first be routed by the local phone company. In the past, the charge for this routing was billed based on the length of the call. In reality, however, the cost of local access depends more on the number of phone lines. As a consequence, the FCC ordered local access charges be billed on a per-line basis and per minute fees be decreased. This is the origin of the PICC.
These charges can show up monthly, usually on long distance bills. The FCC allows long-distance companies to charge it, and limits how much they charge. The money is supposed to be remitted by the long distance company to the local phone company. This is a per-line access charge imposed on businesses that have more than one business telephone line in their premises. PICC charges should never be charged on residential service.
PICC charges are also referred to as the "Carrier Line Charge".