Six Second Billing - Long Distance Facts

 

Last update:

11/02/2008

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Six Second Incremental Billing

 

Some companies will bill you in 6 second increments.  That equals 1/10th of 1 minute.   This is better deal than those companies that charge in 1 minute increments.

 

Lets do the math.

Lets pick an average call of 1.5 minutes using 5 cents per minute as the rate.  We'll round up to the nearest cent.

Billing @ 6 second increments. Billing at 1 minute increments
1.5 minutes X .05 = $0.08 1.5 minutes X .05 = $0.10

As you can see, for the same call there is a 2 cent difference.

 

To continue this example, if you consider a residential customer with an average of 100 minutes of long distance a month, the cost difference would be $2.00.

 

This may not seem to be a big difference, but it actually works out to be a 20% if the averages hold. 

 

Now expand that out to a typical business scenario.   10,000 minutes is not an unreasonable calling pattern for a business.  If the call average is the same the cost difference is $200 per month.

 

So in conclusion, a generally more cost effective program will be the program that bills in 6 second increments.  But as always, check the best rate calculator to verify the best program for you.

 

 

 

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