If Supplies Grow, Hoarding and Brokering Will Cease

As supplies of new toll free phone numbers increase in the future, we will likely see a swift decrease in the improper and illegal transfer of these valuable numbers. Once the 855 numbers become available, approved toll free providers will have an easier time and the toll free black market, as it has been called, will diminish. There will be an ample supply of good custom numbers once the stock is expanded. It is all about demand and supply, as is the case in every business. We hope these new 855 numbers will be released soon. Brokering and hoarding practices need to cease and these new numbers will help.

Buyer Beware: Toll Free Hoarding

If the FCC discovers illegal hoarding, they immediately send out disconnect and suspend letters to the owner of the numbers. Additionally, the brokering of toll free numbers can result in hefty fines.

Read more here.

Where Do Toll Frees Go?

When an 800 number is disconnected, it eventually becomes available on the 800 Service Management System, (SMS/800) database. These retired numbers are in great demand and the competition to secure released numbers is fierce. Get more on this system here.

The Illicit Business Toll Free Phone Number Hoarding

Concern about the diminishing stock of 800 numbers is creating an even higher demand for toll free service, a marketing tool that the FCC says is “proven” to increase business. Studies show that telephone orders can increase up to 60 percent and word of mouth referrals can rise by 200 percent if a toll free number is advertised.

Read more here.

Despite Warning, Hoarding Continues

The owner of a valuable 800 toll free number who attempted to illegally sell the number to an undercover agent faces stiff fines according to regulations set by the Federal Communications Commission.

By law, phone numbers cannot be sold or brokered. In 1997, the FCC made the sale of 800 numbers illegal. Because of the short supply of available numbers, complaints were pouring in at that time that price gouging for the popular numbers was becoming a common practice. The FCC acted quickly, prohibiting sales.

Read more here.

Will Hoarding of Toll Free Continue?

Will the possible release of the new 855 toll free phone numbers help curb the growing black market and illegal hoarding practices? The FCC began investigating hoarding of 800 numbers over a decade ago. These improper practices continues to grow along with the skyrocketing popularity of toll free services. Hoarding by individual subscribers is lillegal. A subscriber may not acquire more toll-free numbers than they intend to use. By FCC definition, “hoarding” also includes “brokering” toll-free numbers for a fee.

Stockpiling Toll Free Numbers is Illegal

The FCC began investigating hoarding of 800 numbers as far back as 1995, but despite the subsequent release of 888, 877, and 866 pre-fixes, the practice continues to grow along with the skyrocketing popularity of toll free service. Hoarding by individual subscribers is illegal. A subscriber may not acquire more toll-free numbers than they intend to use. By FCC definition, “hoarding” also includes “brokering” toll-free numbers for a fee.

The FCC Laws Are Clear

This seems to be a hot topic these days. Under rules established in 1997 by the FCC, toll-free service providers cannot reserve a toll-free number without having an actual toll-free subscriber for whom the number is being reserved. By law, available numbers must be doled out on a first-come, first served basis off the main database maintained by the 800 Service Management System (SMS/800). Hoarding numbers is likewise illegal. A subscriber may not acquire more toll-free numbers than they intend to use. By FCC definition, “hoarding” also includes “brokering” which is the illegal lease or sale of toll-free numbers for a fee.

As Number Pool Shrinks, Black Market Grows

As with any commodity in high demand, a black market for toll free numbers is growing. And we here that regulators are scrambling to control the illegal sales of valuable 800 numbers. With toll free service soaring in popularity while finite supplies of available numbers drop, attempts to illegally buy and sell choice numbers on the black market is increasing.

According to regulations enacted in 1997 by FCC, toll free phone numbers cannot be sold or brokered. These rules were approved after the FCC fielded numerous complaints about price gouging for catchy vanity numbers and popular numeric sequences. The FCC reports that anyone caught attempting to sell or broker an 800 number faces significant fines.

Imperiled Market Requires New Toll Free Numbers

A reminder of the need for new toll free area codes: more than two-thirds of the available supply of 800, 888, 877, and 866 numbers are taken and millions of new subscribers are registering every year. Business owners who wait much longer to obtain a number might find themselves out of luck. In a competitive market, a toll free number is a valuable commodity for every business. To manage fair distribution of the numbers remaining, federal agencies have cracked down on the illegal sale of 800 numbers and the hoarding, or stockpiling, of numbers and this is helping somewhat. The real solution, many say, is the release of reserved toll free numbers.