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% commission listed are for INTERSTATE/INTRASTATE, for example, for Plan #13 under Referral Agent Commission column, a 15%/10% means 15% commission on interstate and 10% commission on intrastate.
| Plan# | Interstate Rate |
Referral Agent Commission |
Full Agent Commission |
International Commission |
Description of Product | Billing Increments |
| 13 | 5.9 cents/min | 15%/10% | 20%/15% | 15% | Outbound 1+, toll-free | 6/6 |
| 14 | 5.9 cents/min | 15%/5% | 20%/10% | 15% | Outbound 1+, toll-free | 6/6 |
| 15 | 5.5 cents/min | 12%/10% | 15%/15% | 15% | Outbound 1+, toll-free | 6/6 |
| 16 | 5.5 cents/min | 12%/5% | 15%/10% | 15% | Outbound 1+, toll-free | 6/6 |
| 17 | 4.9 cents/min | 7%/10% | 10%/15% | 15% | Outbound 1+, toll-free | 18/6 |
| 18 | 4.9 cents/min | 7%/5% | 10%/10% | 15% | Outbound 1+, toll-free | 18/6 |
Outbound is defined as dialing from customer's phone to another phone long distance. This is using Outbound and Inbound have the same phone rate and commission rate for domestic calls (interstate; contiguous 48 states)
Match the plan number with one of the following two intrastate rate tables to determine an individual state's rate (calls made from the customer's phone in his/her state to another phone within that same state).
Table A: For plans 14, 16, 18 (lower intrastate rate/minute for the customer, lower commission to Agent; red indicates Accxx intrastate rates are better than RSLCOM; an "*" means its the same rate)
| AL 5.9 | DE 7.9 | IN 5.9* | ME 10.9 | NC 12.9 | NV 7.9* | RI 7.9 | VA 11.9 |
| AR 9.9 | FL 9.9 | KS 9.9 | MI 3.9 | ND 15.9 | NY 8.9 | SC 10.9 | VT 11.9 |
| AZ 19.9 | GA 5.9* | KY 5.9 | MN 9.9 | NE 11.9 | OH 5.5 | SD 10.9 | WA 10.9* |
| CA 4.9 | IA 8.9 | LA 5.9 | MO 14.9 | NH 12.9 | OK 9.9 | TN 5.9 | WI 4.9 |
| CO 12.9 | ID 19.9 | MA 9.9 | MS 5.9 | NJ 6.9* | OR 10.9* | TX 9.9* | WV 15.9 |
| CT 9.9 | IL 3.9 | MD 7.9* | MT 12.9 | NM 23.9 | PA 8.9 | UT 8.5 | WY 6.9 |
Table B: For plans 13, 15, 17 (higher intrastate rate/minute for the customer, higher commission to Agent)
| AL 6.9 | DE 8.9 | IN 6.5 | ME 11.9 | NC 14.9 | NV 8.9 | RI 8.9 | VA 13.9 |
| AR 12.9 | FL 10.9 | KS 10.9 | MI 4.5 | ND 18.9* | NY 9.9 | SC 11.9 | VT 13.9 |
| AZ 28.9 | GA 6.9 | KY 6.9 | MN 11.9 | NE 13.9 | OH 5.9* | SD 22.9 | WA 12.9 |
| CA 5.5 | IA 9.9 | LA 6.9 | MO 15.9 | NH 13.9 | OK 10.9 | TN 6.9 | WI 6.9 |
| CO 14.9 | ID 22.9 | MA 10.9 | MS 6.9 | NJ 7.9 | OR 12.9 | TX 10.9 | WV 19.9 |
| CT 12.9 | IL 4.9* | MD 9.9 | MT 15.9 | NM 25.9 | PA 9.9 | UT 8.9 | WY 8.9 |
Accxx charges no monthly fee and there is no monthly minimum for the phone customer.
For Accxx, domestic calls have a 6-second billing increment with a 6 second minimum per connected call for plans 13,14,15,16. For Plans 17 and 18, there is a 6-second billing increment with an 18-second minimum per connected call. International calls for all plans have a 6 second billing increment with a 30 second minimum per connected call. Calling cards have a 60 second minimum with a 60 second billing increment.
You, the Agent, selects a single Plan from the "Commission Rate Table" above; this determines the interstate rate and the intrastate rate for the phone customer. International rates are the same for all Plans. For example, the customer lives in the state of Michigan. If you select Plan 17, the customer will get an interstate rate of 4.9, interstate rate of 4.5 (as listed for Michigan in Table B), 18 second minimum bill per connected call, and a 6 second billing increment after the initial 18 seconds. Also, your commission rate (Full Agent) would be 10% on interstate calls, 15% on intrastate calls, and 15% on international calls. The customer must have their outbound service switched to Accxx in order to get a toll-free number (inbound service).
Why sell the 5.9 cent per rate (Plan 14) vs. the 4.9 cent rate (Plan 18)? Your commissions will be 20% vs. 10% on your customer's interstate calls. In reality, most of our Agents just sell the 4.9 cent plan to make things easy and give the customer the best rate from the start.
The customer's intrastate calling rate is determined from the Intrastate Rates table. There are two intrastate rate tables. Suggestion: ask the customer the volume of intrastate calls that he/she makes, then establish a "break" point that you can give them a "special" lower rate if they are currently spending over this "break" point. For example, establish a "break point" of $10 intrastate (mentally). Ask the customer "approximately how much in-state calling do you currently spend". If the customer is in the state of Michigan and they say they currently spend $15, give them the 3.9 cent rate (Plan 18) instead of the 4.5 cent rate (Plan 17). You can do this for interstate, too. For example, if they currently spend over the interstate (or even total monthly bill) "break point" that you establish of $25, then give them the 4.9 interstate rate, but under $25, give them only 5.5 or 5.9 cents/minute interstate.
Try to be consistent between all customers, i.e., establish "break points" for interstate and/or intrastate and stick fairly close to these points. Of course, you can always just offer the customer the lowest 4.9 interstate and Table A intrastate rates -- this would be Plan 18.
General Strategies for Selling
Try suggesting to every customer (residential or business) the advantages of having a toll-free number. If you recommend a custom toll-free number, recommend an 877 or 866 area code (vs. 800 or 888), as 877/866 area codes are more readily available. Suggest that they try a number the same as their main number, e.g., if their main number is 703-256-8780, suggest they also get a toll-free number as 877-256-8780. There is no additional charge for requesting a custom number vs. a random number. In case the custom number is not available, its recommended that you also write in the words "or random if not available" on the right hand edge of the application next to where the toll-free number is requested in order to save time in getting the application processed. They can attach a list of numbers on a separate sheet if more space is needed -- no special sheet is required, just have them print or type clearly their requested numbers. If your customer is signing up on-line, then toll-free numbers are not available to them directly -- you'll have to submit a separate request to CTS (fax or email) to request a toll-free number. There is no Accxx form to fill out -- just send the request direct to CTS.
We ran some statistics on 7-digit phone numbers and found that only about 1 out of 19 persons have a chance to get a specific toll-free number identical to their specific 7-digit phone number. On the average, 19 other area codes throughout the US have an identical 7-digit phone number within their area code. So, inform the customer that now might be the time to get one even though they might not use or need one at the present time. No cost to get one, no monthly service charges to keep one. They only pay for the calls made. In our own sales efforts to new customers, we get about 80% of our new customers to get a toll-free number, so "push" it if you can -- it usually generates more billing revenue which means more commissions for you, the Agent.
If you have a customer that has an existing toll-free number and they wish to transfer that toll-free number to Accxx, you need to have the "800 TRANSFER…" form filled out. On this transfer form, make absolutely sure that the name on the "ACCOUNT NAME" line is IDENTICAL to that on the customer's long distance bill that bills for their current toll-free number. Any difference will get a rejection when submitted to the national database directory. Leave the PRIOR RESPORG column blank. The PRIOR CARRIER column is used to identify the long distance company (not the local telephone company) that is currently carrying the toll-free number that they want changed.
Toll-free numbers:
All toll-free numbers issued are not published in the National Toll-Free Directory or made available when dialing 1-800-555-1212. Most people do not want their toll-free number published or made available. If the customer absolutely needs inclusion in the toll-free directory, there is a $25/month fee for Accxx to have that number listed in the directory and a one-time $25 set-up fee. Few customers want or need to have a toll-free number published.
If a customer currently has a toll-free number BUT has to use an additional "pin" number to complete the call, e.g., 1-800-123-4567 then when requested, has to enter "5325" to complete the call, this toll-free number cannot be transferred. That number belongs to the long distance company and there might be several thousand (10,000?, 100,000?) people that use that same toll-free number (different "pin" numbers, of course) to place the call.
A customer who gets a toll-free number from Accxx can normally "take" that number with them if they choose to go to another long distance carrier sometime in the future. We sometimes tell customers about this -- gives a customer a feeling that you are looking out for them in their future.
Note: some university systems (and occasionally some businesses) do not have the newer 877 or 866 toll-free area code programmed in their phone systems yet, so if that is the case, just recommend a random 888 (or 800) number to those college students in dorms. A point to note: most university telephone systems (in the dormitory) do not allow the student to change their long distance company. Suggest that the student's parents get a toll-free number at the parent's home so that the student can call home -- saves the cost to the student, and in almost all cases even if the student's parents are paying the student's long distance bill, it will be less expensive for the parents to get a toll-free number than to have the student call using the university's long distance system. The parents can also get a toll-free number which rings-to the student's room (if the student has a regular 10 digit phone number (no extension)) so that the parents can call the student's room even if they are away from the (parent's) home. Requesting a toll-free number starting with the actual area code "800" number is strongly NOT recommended. Why?
1. All 800 numbers have already been issued.
2. Any "new" 800 number issued would have previously been used by either another company or an individual
3. A request for a true "800" toll free number might take 1-4 weeks or longer to obtain
4. If you get the 800 number for the customer, the customer might have some amount of "wrong number" toll-free calls. Its expected that the customer pay for all calls including "wrong number" calls made by persons trying to get a hold of the previous owner of the toll-free number.
When we started CTS 23 years ago, we got a toll-free 800 number that had belonged to an automobile insurance company in Toronto, Canada and we would get between 5-10 calls a month during the first 6 months, and then it dropped off to about zero after the first two years.
If not specified, inbound calls, i.e., toll-free 800/888/877/866 numbers, are set up to include all allowed calling areas, which include:
If requested, a customer can restrict (include or exclude) calls made from a specific area code. For example, a customer might want to receive calls only from area code 703 and exclude calls from all other area codes in the 48 states, all calls from PR/AK/HI/USVI, and all calls from Canada. Another customer might want to receive all calls from the 48 states and Canada but exclude only PR/AK/HI/USVI.
Calling Cards:
Customers can use a toll-free number to make a calling card connection from any phone in the US. If a call is made from a pay phone, there is a 29-cent per call surcharge; note: this is a per call surcharge, not a per minute cost. Most persons don't need a calling card -- it's recommended that you do not actively try to sell this product unless the customer requests a calling card.
Table C: Calling card information
| CALLING CARDS | |
| Cost to obtain a card | $0.00 (free) |
| Interstate rate | 14.9 cents/minute |
| Intrastate rate | 14.9 cents/minute |
| Security code to make a call | The customer's main phone number + 4 digit |
| Billing increments | 60 seconds |
| Billing minimum | 60 seconds |
| Commission | 10% Full Agent; 5% Referral Agent |
| Payphone surcharge | 29 cents per call |
General Information:
It normally takes 3-5 days for approval of a new account, and then it might take 1-10 business days for the customer's local telephone company to effect the switch of long distance carriers. Sometimes provisioning might take longer. Accxx uses the wholesale services of two long distance companies for transmitting calls: Qwest and Global Crossing. The customer can call 1-700-555-4141 and they will hear that "QWEST" or "Global Crossing" is their carrier after they have been switched to Accxx, although billing and customer service will come directly from Accxx. Look for the state the customer is located, then at the letter code to determine the wholesale carrier that Accxx uses (from Table D).
Table D: Underlying carrier's location (Q = Qwest; G = Global Crossing)
| AL G | DE G | IN G | ME Q | NC G | NV Q | RI Q | VA Q |
| AR G | FL Q | KS G | MI Q | ND G | NY Q | SC G | VT Q |
| AZ G | GA G | KY G | MN G | NE G | OH G | SD G | WA G |
| CA Q | IA G | LA G | MO G | NH G | OK G | TN Q | WI G |
| CO G | ID G | MA G | MS G | NJ G | OR G | TX Q | WV G |
| CT G | IL Q | MD G | MT G | NM G | PA Q | UT G | WY G |
The 700 area code is a "maintenance" area code and is toll-free to the user and is available from about 85% of the country. If the customer does not get that message, we can do this check on-line to see the status of the customer's account. The customer should not call their local telephone company to transfer their long distance service, as all transfers should be done by Accxx's internal provisioning process. If the customer tries to change service by contacting their local telephone company and giving them the PIC code, doing so might cause that customer to be on "open network" billing at extremely high rates, e.g., $0.25/minute, and they will not get reimbursed for the difference. Yes, this is really the charge incurred by an actual customer who tried to get on to long distance service on another long distance company after being informed that he was rejected for bad credit -- he tried to "get in the back door" without credit approval.
PICC codes:
There are four "PICC" codes sometimes used depending on what the local telephone company requests:
| Qwest | Global Crossing | |
| 7-digit PICC code | 1010432 | 1010444 |
| 4-digit PICC code | 0432 | 0444 |
| 3-letter PICC code | LGT | ALN |
| Name of Carrier | QWEST | GLOBAL CROSSING |
In what circumstance would the customer use this PICC code? The customer could have previously put a PICC freeze on his/her long distance service with the local telephone company to prevent "slamming" by other long distance carriers. So, you might want to ask the customer "Do you know if you've called your local telephone company requesting a freeze on your lines"? A PICC freeze is done by the customer's call to the local telephone company requesting that no long distance company be allowed to switch long distance service without the customer's permission. There is one of two actions that can be done to get service on Accxx:
Action #1:
1. Have the customer call their local telephone company to request that the local company remove the PICC freeze
2. Submit the order for long distance service to Accxx (generally, you don't have to wait for the PICC freeze to be lifted as it usually takes less than 24 hours unless that local phone company requires a written request)
3. Let the line be switched to Accxx
4. Customer can call the 700-555-4141 until they hear "QWEST" is their carrier (Note: if they already on Qwest, you don't need to have them lift the freeze -- just have the customer submit the request for service (on-line or form))
5. When on Qwest, have the customer call the local telephone company put the PICC freeze back on.
Action #2:
1. Have the customer submit their request for Accxx's service (either on-line or with a form)
2. You (the Agent) needs to inform us (the Master Agent) to monitor this customer to see when the customer's account is approved for service
3. We (the Master Agent) calls you, the Agent (or the customer, whatever mechanism you wish). The customer is then requested to call their local telephone company and request that the customer's phones be PICCed (pronounced "picked") using one of the 4 PICC codes described previously.
Action #1 requires more customer work, less Agent work BUT getting the account up might "slip" through the cracks and never get switched if left up to the customer.
Action #2 requires more Agent and Master Agent work, BUT assures that the customer gets switched to Accxx; also provides the customer that we're giving them more "customized" help in the provisioning process.
Credit Checks + low volume customers + 10-10-629 service:
General rule of thumb: about 1 in 100 new applications are rejected because of bad credit. If using a paper form, make sure that all items on the application form are filled in. As an Agent, if you know a person (or business) has bad credit, don't waste your time or effort on this customer -- there are plenty of other customers out there. Also, don't waste your time on a customer that bills a low amount per month (like $1) UNLESS you think that they might have referral contacts that can get you additional business. Suggest that they cancel their long distance service and use something like 1010629 where they can get their bill on their local phone bill. You might want to provide the below information to those low volume long distance customers as a "free" service so that they don't tie up your valuable time used in setting up a separate Accxx long distance account.
Features of 10-10-629 and how to use 10-10-629:
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This is called the Penny Plan from WorldxChange. These are the advantages of this plan to the customer:
1. NO forms or Letter of Authorization forms to fill out
2. NO third party confirmation
3. NO sign-up fees
4. NO monthly fees
5. NO minimum usage fee
6. NO switching long distance companies
7. NO signing up needed
8. NO separate monthly bill (bill is sent as part of the persons LOCAL phone
bill
9. Domestic rate: 7.9 cents/minute billed in 1 minute increments
To place a domestic call, dial the following:
1010629 + 1 + (the area code) + (the phone number)
Listen for the tone, then dial:
76543
You should now hear the ringing to the number.
The first time you call on your phone to the Penny Plan, you will be introduced to the Penny Plan. The time it takes is approximately 1 minute and you will not be charged for this introduction time. Your second and all future calls made from your phone will not have the introductory message.
International calls can also be used as follows:
1010629 + 011 + (country code) + (the phone number)
Listen for the tone, then dial 76543
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Agent ID, Web Site Promotion, Commission Payments:
There are 4 forms that we will provide to you via email upon your submission of the On-Line Signup Form:
1. A short Letter of Agreement (LOA) form (uses 1/2 of an 8-1/2 x 11 page) with the other 1/2 page filled with long distance promotional material. You can use this as a "flyer" for promoting Accxx long distance service. A back page is provided which includes instructions on how the customer needs to fill out the front of the form, and a table of intrastate rates (all 48 states).
2. A long registration form, back is the same as the short form.
3. A RESPORG form for allowing the customer to transfer their existing toll-free number to Accxx's service.
4. An International Rate sheet listing international rates.
In addition, the email that will be returned will have the name of the web page that is custom built with the Agent's ID embedded onto that page. You can direct the user to go to that page, e.g., www.costar.net/phone1099.htm, or you can imbed this URL address into your web site to allow the customer to go to this site and then sign up for long distance service.
Your Agent ID code is pre-printed on the Letter Of Agreement (LOA). The Agent ID code on your form is exclusively for your use. We also provide you with a Microsoft Word 97 LOA for you to make changes to the form, and a copy of the RESPORG form for you to print. For example, you might want to put your name/address/phone on the lower left corner of the LOA form, then print the form and make copies of this form. Don't add any information to the RESPORG form as this form need to be transmitted to Qwest/Global Crossing without any Agent information added. The Agent ID tracks all your customers and your commissions, and you will receive a monthly report with your commission check where appropriate. We also provide you with a custom-designed on-line order web page that has your Agent ID code embedded into the link. This makes it very easy for you to add on-line signup, especially if you have a current web site. You are welcome to copy this on-line web page into your own web page presentation or you can link to this web page on CTS's web server; we prefer the former. We will keep your web page active on our server as long as you are an Agent. You may copy and modify sections of our active web site that promotes Accxx for use on our Accxx-designed web page (130K in size) for your own site as long as you request via email those sections that you wish to copy and we approve of this copy. You might be most interested in using the intrastate rate table, the international rate table, and perhaps the Accxx features overview found at the beginning of this web page.
If you want to have Sales Representatives, just let us know and we will issue a unique Agent ID code for that person. It normally takes about 24 hours for us to get a new Agent (Sales Representative) set up. There is no charge for this service.
We are interested in promoting Accxx and you in your endeavor as our Agent.
Before you actively publish your web page, please email us at:
phone@costar.net
and inform us as to the URL address of the page to be reviewed
so that we may check this web page for accuracy, content, and presentation
prior to publication on the web. This is some of the "legal stuff" that we
need to do. We will try to review this within 24 hours and provide any
comments/suggestions regarding this page.
Recommendation: if a customer has requested an application form, send or give them two forms. You'll be surprised as to how many new customers will pass that second form off to a friend/relative. We generate approximately 30% of our new business that way.
Commissions are normally paid approximately 45-60 days after the close of the billing month, so for those Agents that are new to the long distance phone business, please be patient. This is a long distance industry "standard" for payment. For example, if you submit 3 customers on November 20th, it might take 5 days to get these customers on-line. They would then have Nov. 25 to Nov. 30 to generate phone call charges. If they average $25/month each ($75 total for the 3 customers), they would have a total billable amount of $15 ($75 x 1/5th of a month = $15). If you signed them up under Plan 15 and all were intrastate calls, your total commission would be $15 x 12% = $1.80. This $1.80 would then be paid on Jan 15 (45 days after Accxx's November 30th billing cycle. Not much of a check!!! But the next month (Feb.) would be $9.00, Mar = $9.00, Apr = $9.00, etc. So for a year, the 3 customers would generate $9.00 x 12 months = $108.00, not bad for maybe 30-45 minutes work. This example also assumes that the Agent didn't sign-up any new customers after the first 3 customers.
Any questions? Please feel free to give me a call. I'm available at the toll-free number from 9am?11pm Mon-Sat and 1pm-11pm Sun (Eastern Standard Time); the fax number is available 24 hours/day. From 9am-5pm, the toll-fee number rings to my office; from 5pm-11pm it rings to my home.
| Gordon C.J. Storr, Vice President | ....................... | 1-800-267-8276 (1-800-COSTAR6) (phone) |
| CTS, Incorporated of Virginia | 1-888-810-3200 (fax) | |
| 4216 Evergreen Lane, Suite 112 | ||
| Annandale, VA 22003 |