New LG payment plans to scrap caller-ID fees

LG Telecom Inc., Korea’s third-largest mobile phone operator, said yesterday it is adopting 13 new payment plans today to replace its 2,000 won ($2.07) caller identification service charges. In return for the free caller-ID service, the basic monthly fees for some of the new plans will be 1,000 won higher than current ones. Only new subscribers will have to choose one of the new plans, with current subscribers free to keep their plan. Until now, the most widely used plan has charged a basic fee of 12,000 won a month, 18 won per minute for phone calls, and 2,000 won for the caller ID service. Of the 13 new plans, the one expected to generate the most interest requires users to pay 13,000 won per month in addition to phone call charges of 18 won per minute. In addition, subscribers to the plan will receive a prime-time discount of 3 won per minute from 7 p.m. to 12 a.m. LG said that users currently paying an average of 30,000 to 40,000 won per month will be able to cut their bills by about 2,500 won. It added that a plan is also available for people who use their phones less frequently, under which subscribers pay a basic fee of 9,000 won a month along with higher per-minute call charges. Separately, Korea’s three major phone service providers ― LG, KTF Co. and SK Telecom Co. ― plan to make overall changes to mobile Internet rates. The companies plan to send text messages listing estimated fees for Internet use before subscribers log on over their phones starting in the second half of this year. A text message stating the charge for their bill will also be sent to users after they log off. The mobile vendors also plan to allow users to pay fixed rates for surfing Web menus, a service currently charged by time. by Lee Hee-sung