What is a premium-rate number?

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A premium-rate number is a special telephone number that charges callers a higher-than-standard rate, with a portion of that revenue typically going to the service provider offering content or services, rather than solely to the telecommunications network. Essentially, the phone call itself is a way to pay for a product or service.

These numbers are commonly used for a wide range of services, including:

Information Lines: Weather forecasts, sports scores, stock prices, news updates.
Entertainment Services: Horoscopes, adult entertainment lines, chat lines, celebrity gossip lines, competitions, quizzes, and voting lines for reality TV shows.
Customer Support: While less common for primary customer service, some businesses might use them for specialized or advanced support, or for technical assistance that falls outside of basic inquiries.
Donation Lines: For charities or fundraising campaigns where users can donate a set amount per call or SMS.
Technical Support: Sometimes used by software or hardware companies for specific technical troubleshooting that goes beyond standard warranty support.
Directory Services: Information on phone numbers or addresses that are not widely published.
How They Work:

When a caller dials a premium-rate number, they are charged a specific fee per minute or per call, which is significantly higher than a standard local or long-distance call. This charge is typically added to their regular phone bill. The revenue generated from these calls is then split between the telecommunications network operator (who provides the infrastructure) and the content or service provider (who owns the premium-rate number and offers the service). This revenue-sharing model is what makes these numbers "premium."

Key Characteristics and Regulations:

Distinct Prefixes: Premium-rate numbers are identified by specific prefixes that vary by country. For instance:
In the UK, prefixes like 090 and 0871/2/3 are commonly associated with premium-rate services.
In the US, while 900 numbers were historically prominent, their usage has declined. Other numbers that charge per-call or per-minute might be less explicitly prefixed but are disclosed.
In Bangladesh, numbers starting with 99xx or specific short codes for content services often fall into this category.
Explicit Pricing Disclosure: Due to the higher costs involved, most countries have strict regulations requiring clear and prominent disclosure of the charges associated with premium-rate numbers. This means the per-minute rate, per-call fee, or total expected cost must be clearly stated in any advertisement or before the service begins. This aims to prevent bill shock and ensure consumers are aware of the charges.
Regulatory Oversight: Regulatory bodies (like Ofcom in the UK, the FCC in the US, or the BTRC in Bangladesh) often oversee premium-rate services to protect consumers from fraudulent practices, excessive charges, or misleading advertisements. They may establish codes of conduct, price caps, and complaint resolution mechanisms.
No Reverse Charges: Unlike toll-free numbers where the recipient pays, with premium-rate numbers, the caller is always responsible for the higher cost.
Access Restrictions: Some mobile phone providers or landline services allow subscribers to block calls to premium-rate numbers to prevent unauthorized or accidental charges.
The use of premium-rate numbers has evolved over time, with student database some services shifting to internet-based payment models. However, they continue to be used for specific types of content, information, and entertainment services where direct billing through the phone carrier is a convenient payment method for the consumer.
A premium-rate number is a specialized telephone number that charges callers a higher-than-standard rate for the call. A portion of the revenue generated from these calls is then shared with the service provider that offers content or services through that number. Essentially, the phone call itself acts as a direct payment mechanism for the service received.

These numbers are commonly used for various "value-added" services, such as:

Information Services: Examples include weather forecasts, sports scores, news updates, or specialized directory inquiries.
Entertainment Services: This can include voting lines for TV shows, competition lines, horoscopes, adult entertainment lines, chat lines, or psychic services.
Technical Support: Some companies use premium-rate numbers for advanced or out-of-warranty technical assistance.
Donation Lines: Charities sometimes utilize them for fundraising campaigns where a set amount is donated per call or per text message.
Government/Public Services: In some instances, government agencies or public services might use them for non-emergency inquiries or specific information access.
How They Function:

When a user dials a premium-rate number, their phone carrier applies a specific charge, which is typically a higher per-minute rate or a flat per-call fee. This charge appears on the caller's regular phone bill. The telecommunications network that carries the call collects this revenue and then shares a pre-agreed portion of it with the content or service provider. This revenue-sharing model is the defining characteristic that makes these numbers "premium."

Key Features and Regulations:

Distinct Prefixes: Premium-rate numbers are easily identifiable by unique prefixes that vary by country. In the United Kingdom, common prefixes include 090 and 0871/2/3. In the United States, 900 numbers were historically used, though their prevalence has decreased. In Bangladesh, specific short codes (typically 4-6 digits for SMS services) and certain number ranges are designated as premium-rate by the Bangladesh Telecommunication Regulatory Commission (BTRC) for various value-added services.
Explicit Pricing Disclosure: Due to the elevated costs, most countries enforce strict regulations mandating transparent and prominent disclosure of charges. This means that any advertisement or pre-call announcement for a premium-rate service must clearly state the per-minute rate, per-call charge, or the estimated total cost to ensure consumers are fully aware before incurring charges. This is a crucial consumer protection measure designed to prevent "bill shock."
Regulatory Oversight: National telecommunications regulators (like Ofcom in the UK, the FCC in the US, or the BTRC in Bangladesh) actively oversee premium-rate services. They often establish rules, codes of conduct, price caps, and complaint resolution mechanisms to protect consumers from misleading practices, fraud, or unfair charges.
Caller Pays: Unlike toll-free numbers, where the recipient pays for the call, with premium-rate numbers, the financial burden for the call (and the service) rests entirely with the caller.
Blocking Options: Many mobile phone providers and landline services offer their subscribers the option to block calls to premium-rate numbers, helping to prevent accidental charges or unwanted access to certain services.
While digital payment methods and internet-based services have expanded, premium-rate numbers continue to be a relevant payment channel for specific content, information, and entertainment services, leveraging the convenience of direct carrier billing through a phone call.