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Some less than pleasing news from the State of Massachusetts. The state House Ways and Means Committee has passed a bill which will require retailers to not only procure a photo ID from anyone buying a prepaid phone, but to keep the record on file for two years. They will also be required to send a copy to the state attorney general. While some believe that this will help curb the use of prepaid phones by terrorists and drug traffickers, there are quite a few arguments positing that this will only hurt people in the long run.

One major concern is that of identity theft. While I’d like to have the best opinion of all my fellow humans, the bitter truth is that some aren’t as honest as others. We’ve all heard of back-room scandals at retailers. This just opens up the potential for identity thieving.

Another is that not everyone has an acceptable photo ID. Namely, the poor, who, we have learned can greatly benefit from owning a cell phone. Clearly, the only way they can access a cell phone is through a prepaid service. But if they lack ID, which many do, they’re out of luck if this bill is passed into law.

Finally, of course, is that one of the major advantages of prepaid, its convenience, is gone. That means fewer people will be buying them, which clearly doesn’t bode well for the prepaid carriers. Just another bone to chew on for MVNOs.

Thankfully, they threw out a proposed clause which would impose a $200 fine or a six-month prison sentence for anyone buying more than three prepaid cell phones in a 24-hour period. We would totally be fugitives.

Posted By : Joe
Posted at : June 13th, 2008 - 7:30 am
Filed under : Consumer Issues