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UIFN AND ITFS RESTRICTIONS
Revised 30 April, 2002

The difference between "Third Party Calling" and "Calling Card Application" 

GlobalTel offers UIFN (Universal International Free Number) calling in 30 countries and ITFS (International Toll Free Service) calling in approximately 50 countries. UIFN and ITFS are both direct dial, toll free, 800 number, telecom services. These direct dial services are the result of numerous networking agreements between major world carriers, local PTT's and participating governments. These agreements are basically, "trade agreements", negotiated under the auspices of the ITU (International Telecommunications Union - www.ITU.int).

The telecom agreements establishing each of these numbers carries more or less restrictions.

Direct Dial Service for Businesses. In the 30 countries in which UIFN service is offered, UIFN is available to every customer, from any telephone. ITFS service is available in all 30 UIFN countries and ITFS can be issued to any customer with a good volume of business. In most of the world's major economies, ITFS numbers can be issued to a single business for use in calling its offices in other countries. This use makes this service very attractive to businesses when the rates are good. ITFS offers a direct dial service that is easy to use, requires no special equipment, and the rates are better than those offered by the local PTT.

Direct Dial Service Restrictions. In some countries the restrictions are severe and the use of the numbers is very limited. For example, in some countries ITFS or UIFN has restrictions for use from hotels or pay phones and a fee may be imposed for such calls if they are made.

Direct Dial Service Uses That Are Prohibited. In some countries it is prohibited to use the ITFS numbers for "third party calling", or for "calling card applications". "Third Party Calling", is where you use your ITFS number to call to more than one place. For example, it is permitted to call from your business in one country to your business in another country, but you cannot call your grandmother and wish her "happy birthday"; you must use the local PTT for that call. "Calling Card Applications", is the use where you sell phone cards and the customer calls your ITFS number, enters a PIN number, and makes a call through the ITFS system.

Confusion And Lack of Enforcement. These issues are frequently in a "gray area", as to how, when, and whether, to enforce the restrictions. The issue is similar to that of the Internet, and CallBack service. Both are prohibited in some countries, but the rules against them are not enforced. In the case of UIFN and ITFS, the local PTT's share in the revenue, each time a call is made. So, there is less incentive for a PTT to shut down an ITFS number. This does happen and we know of several incidences. We do not know of any UIFN numbers being shut down. Because of the restrictions some countries have imposed on ITFS, we advise customers to go slow in using these services outside of the rules.

Restrictions on "Calling Card Application" and "Third Country Calling". The information below is from a Product Manager for Tollfree Services for one of GlobalTel's carriers.

Basically, restrictions on "Calling Card Application" encompass third country calling as well, and are meant to prevent call-back, and any other service that by-passes the telco's network.

So the difference is that restrictions on "Calling Card Applications" are broader. Some countries mention both, others may allow Third Country Calling, but restrict Calling Card Applications. Each country probably puts a different interpretation on these terms.

In the end, the telcos who impose wide ranging restrictions are concerned with loss of revenue and fraud. They want to ensure that ITFS calls will originate in their country and terminate in one location, outside their country. Calling Cards and Third Country Calling are also prone to fraud and for these countries it often makes more sense to close off calling card activities all together.

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