Report: #1044975


  • Submitted: Sun, April 21, 2013
  • Updated: Sun, June 30, 2013
  • Reported By: Dr. H. E. — Grove Oklahoma
    401 E. MEMORIAL
    OKLAHOMA CITY, Oklahoma
    United States of America

Show customers why they should trust your business over your competitors...

   I  have  been  using,  or  at  least,  "attempting"  to  use  an Oklahoma  company  known  as  TerraCom.  They  are  also  known  as,   and  TerraCom  Communications.

   When I  signed  up  for  Lifeline  service, one  year  ago,  I  was  sent  this  very  cheap,  little minimal  handset,  a   "Ranger".  No  cam  feature.   Tiny.   From  the  start,  people  complained  that they  could  barely  hear  me.   After  I  received   in  the  neighborhood   of   50  complaints  from  people,  I   called  TerraCom's  "customer  service".  I  complained  exuberantly,  but   politely.  I  told  them  people  could  not  hear  me  on  my handset.  I  told  them, that  they had  sold  me  a  piece  of  crap,  but  worded  this,  again,  politely.   Now,  when  I  say  "sold",  I  mean  that  their  "Deal"  regarding  Lifeline,  is  they  send  a  new  Lifeline  customer   a  cell phone,   and  cell  service,  as  a  so-called   " package  deal ".  You  can  use   the  term, " bundled ",  if  you  prefer.  

   I  asked  for a  replacement.  No  dice,  folks.   No,  they  wanted  me   to  put  $ 25.00  American  dollars  into  their  hot  little  hands.   I  told  them  that  they  needed  to   stand  behind  their  product.  They  acted  like  I was  talking  to  them  in   Swahili,   or  Aramaic.  They  said, "We  don't  guarantee  handsets."   Excuse  me ?   When  did cell phone  providers   ever  sell  a   handset  they  would  not  replace  when  defective ?  
   Heck,  folks,  everyone,   replaces   defective  merchandise.   Every  cell   provider  I  know of,  replaces   defective  products.   Every  one   but   Mr.  TerraCom.  But  Mr.  TerraCom will  be  terribly  happy  to  furnish  me  an  "upgrade".

   Right  now,  I  am living  on   SSI/Disability,  so  I  am  not  just   up  to  my  eyeballs  in cash,  so  I  mentioned   "my  legal  remedies".   Their  response:  " Feel  free".

   Summer,  2012:  I  got  a  call  from  their  computer  one  day,  telling  me  that  I  had to  Re-Certify.  What ?   Under  the  USAC  guidelines,  customers  are  supposed  to  Re-Certify  every  year.   But,  Summer  of   2012,  these  people  had  me   go  through their  re-cert  process  about   12  times.  Why ?   A  little  later,   my  service  was  interrupted.  First  interruption  was  for  hours,  as   I   recollect.   The  next  service   interruption  was  for   days.  Their  excuse:  "  Your're  not  the  only  one.   One  hundred  and  forty  thousand  customers  are   out  of  service."   140,000   customers  out  of  service ?  

   Service  interruptions  kept  happening.  "Software  problems",  they  kept  telling  me.

   After  every  interruption,  they  would  insist   on  re-certifying  me.   One  instance,  they re-certified  me   twice   in  one  week.   Totally  ridiculous.  

   Very,  recently,  my  handset  was  goofing  up  so  much,  people  kept  telling  me," Speak  up,  I can't  hear you.  Speak  up."   Over  and  over.   Over  and  over.  

   So,   I  decided  to  do  a  little  research.  I   went  on-line,  and  found   about   20 other  service  providers,  on  a  list  USAC  provides.  I  called  a  few.   I  also,  for kind  information,  visited   the  Oklahoma  City  branch  of  the   Better  Business  Bureau.   You  want  to  know  how  they  rated    good  old   Mr.  TerraCom ?   

   OKC  Branch  of   the  BBB,   and  every other  branch,   rates   like  they  rate  you  in  grade  school:   A+   through  F.   OKC  branch   (  which  is  where   good  old Mr.  TerraCom  has  his  HQ )   rated   TERRACOM   an  F.   Again,   they  rated  them a  good,  solid,   thoughtful  " F ".   F   for  FAIL.   F  for  FLUNKED  OUT.   

   I  then  called  MR. TerraCom's   so-called   "customer  service",   and   I  asked  a  simple  question:

   "  If  I  give  you  notice  that  I  am  leaving  TerraCom,  how  long  does  it  take  you  to  stop  the  service ?"  The  CSR  said:  "About  12  to  24  hours."

   FIFTEEN  minutes  later,  my  cell  service  vanished.  That's  right,  Sports  Fans.  

   My  CSR  just  pulled  the  old  rug  right  out  from  under  me.   BANG !!

   I  got  on  their   "Chat  Line",  and  visited  with  a  CSR.   I  told  the  CSR  that  the   CSR,    that  my  service  had  been  interrupted,  and  that  I   wanted  to  know why.   He  said,  that  the  very  kind  CSR  had   stopped  my  service  " at  my  request".

   I  was  livid.   After  I had  only   asked  a  simple  question,  this  moron   jerks  my service.   I  politely,  oozing  self-control,  asked  the  CSR   to  restore  my  service,  this  was  a   mistake.    You   want  to know  what  this  guy  told  me ?

   He  said  (  actually   typed ):   "  Can't  be  undone."   "  Your  request  for  deactivation has  already  been  filed."

   I  could  only  repeat  myself.   And  repeat  myself.   Over  and  over.    Finally,  I  walked next  door,  and  used  my  neighbor's   cell  phone,  to  call   these  very  kind  and  intelligent  people.  I  got  a  man  on  the  phone.  Told  him  what  happened.   I  placated the  man.  Told  him  it  was  "all  just  a  misunderstanding".   Asked   this  man  to  re-
   activate  my  service.   He  said  he  needed  to leave  the  line  for  2  to  3  minutes,  and would  I  politely   hang  on.   I  said  I'd   be   just   ecstatic  to  hang  on.    He  came  back on   and  told  me  I  would  have   service   again  in   12  to  24 hours.

   So.....I  waited.   And  I  waited.   And  waited.  After  21  hours,  I  got  back on  the  TerraCom  "Chat  Line",  and  made  an  inquiry  as to  the  progress  of  my  situation.

   He  said  he  wanted  money.  From  me.   $11.80.   $ 11.80,  and  they  would  start  my service  up,  again.   I  told  the  very  intelligent,  and  wonderful  CSR  that  I   had  already spoken  with  another  fine  and   intelligent  CSR,  and  the  arrangements  were  that  I  would  pay  on  the  FIRST  of   MAY.   He  said  "okay".  Then,  folks,  he  tells  me  that  
   I  would  have  service  back   in   24  hours.   "  You  mean  ANOTHER  24  hours ?",  I  asked.

   He  said  Yes!  Another  24  hours.  

   He  then  explained  to  me  that  they,  whoever  "they"  are,  had  assigned  me  a  nice,  clean,  fluffy,  new   number !   Again,  I  was   totally  aghast.  Livid.   

   I  said  I  wanted  my  old  number  back.   His  response:  TOO  LATE.   They's  already  thrown  my  old  number  in  the  garbage  disposal.  

   So,  now,   I  have  to  throw  away   2,000  business  cards,  because  of  the  way  this  criminal   company  does  business.

   It  will  cost  me  $200  dollars  to  get  more  cards.  $200  dollars.

   I  can  eat  for  two  weeks,  maybe   three,  for  $200.

   I  can't  wait  to  put  more  of  my  hard  earned  dough  into  the  hands
   of  Mr.  TerraCom.

   By  the  way,  I'd like  to  tell  you  that  the   Federal  Communications  Commission, brought  CHARGES  against   Mr.  TerraCom,  after  a  lengthy  investigation.  You  see, Mr.  TerraCom  was   playing  it  rather  fast  and  loose  with   TAXPAYER  dollars.

   That's  what  the  LIFELINE  program  is:   Taxpayer  dollars.  Well,  Sports  Fans, the  result  of   their  investigation  into   Mr.   TerraCom's   shenannigans,  was  a   little  document   entitled:  DA  -  13  -  285.   This  is  a  document  telling  
   Mr.  TerraCom  that  the  FCC  knows  all   about   their  little   game  they've  played  with  taxpayer  money.    And  the  evidence.    And   what  will  happen to  Mr.  TerraCom,  if  they  do  this  again.

   That  document,  again,  is   DA  -  13  -  285.   You   can  look  it  up.  It's  not a   secret.   

   It's  the  LAW.

   Now: what  do  I  want?

   I  want  every  dollar  and  dime,  I  have ever  spent,  with  my  good   friends TerraCom.  Every  dime.   And I  want   Mr.  TerraCom  to   purchase   more  business  cards  for  me.

   CAVEAT  EMPTOR,  folks.  


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Updates & Rebuttals


#1 UPDATE Employee

Man We Are Being Sued!!!!!

AUTHOR: Whistle Blower TerraCom - ()

Just wanted to let everyone know that Terracom/YourTel is being sued by one of our former master distributors.   

Copy and Paste Link

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#2 UPDATE EX-employee responds

TerraCom Rips Off Its Agents For Hundreds of Thousands

AUTHOR: AnonymousWhistleBlower - ()

To whom this may concern:

I have been following your coverage of TerraCom/YourTel.  Your story accuracy has amazed me and would like to thank you for exposing this company and its scrupulous behavior.  As an insider I have complained to TerraCom/YourTel regarding how they recruit distributors and agents.  Its like they have an open door, and anyone who wanted to distribute phones for them, they could.  All this company cared about was Quantity to the sacrifice and ultimate killing of Quality.   I overheard one of our major distributors address this issue with Richard, Dale, and Darrel via a phone conference as they were reporting and incident to them regarding a YourTel agents based in Chicago distributing phones for TerraCom and Access Wireless at the same time.  I quote from the mouth of Richard Yurich,”We are not concerned with what they are doing for Access as long as they keep our numbers up.”  Dale then adds, “By the way how does your numbers look.”

As a worker TerraCom/YourTel/SkyCom, the sudden shutdown caught all of us by surprise.  Below you will find the email that was sent to master distributors notifying them of the termination

From: "Darrel Jefflo (" <>

Date: Fri, 28 Jun 2013



June 27, 2013 

RE: Agent Agreement (CONFIDENTIAL)


As you are aware, both TerraCom, Inc. and YourTel America, Inc. have relied on a successful agent network to expand their subscriber base for Lifeline services. That portion of the company’s business relies on funding from the FCC and USAC to support these services.  Although TerraCom and YourTel have the strongest protections in the industry to root out waste, fraud, and abuse, it is apparent that recent media attention targeting compliance by agent networks could threaten TerraCom and YourTel’s standing with the FCC and/or USAC with an immediate notice of such a change.

As a result, the company is terminating all Agent Agreements effective July 1, 2013. We will begin the termination process outlined in the Agreement, including final commissions, handset returns and reconciliation, and the return of company marketing materials. Sales by your company through June 30 will be honored and commissions included in this termination process.

We appreciate the work your company has done to help grow our subscriber base, but are, unfortunately, not on a position to continue our commitment to you given the recent USAC notice.    We are fully cooperating with USACs request and are confident in a positive outcome in the near future.   As soon as we know more we will contact you to discuss our strategic plans for the future.


Darrel Jefflo


If you notice, they give a completely different reason for termination than what's been reported or what was stated by Dale Schmick. (This guy is a major manipulator of data and master of disinformation)

Now if you look at the agreements of most master agents, there is no clause for TerraCom to terminate a master agent contract on the basis of what another master agent’s sub-agent has done or for media attention.  Most of the problems that TerraCom has had when it comes to agents are those who function without an experienced master agent’s supervision who has solid structure in place to maintain integrity and compliance. 

Term and Termination: Name of Company engagement as a Lifeline Service Provider will commence on the date of this Agreement and continue for ___ months, with 1 year annual renewals on the anniversary date.  Either party, may terminate this agreement for breach and the breaching party will have (7) days to cure such breach upon receiving a written notice of breach via email and a registered certified letter.  Skycom, USA at its sole discretion may choose to terminate ________ agreement at any time if it deems that a sub-agent may threaten the Skycom’s standing with the FCC/USAC or local public utility commission, or at such time either TerraCom, Inc or YourTel America, Inc are no longer certified by the FCC/USAC provide Lifeline service or either company ceases to operate.  The term will automatically renew on the anniversary of the execution of this agreement unless a formal notice note to renew is sent and received 30 days prior to the anniversary date.

Effect of Termination: Upon termination of this agreement, all licenses granted hereunder will immediately terminate, __________ will immediately cease any selling and marketing efforts on Skycom USA behalf and  _________ will cease identifying yourself as a “Lifeline Service Provider”.  Any outstanding balances to Skycom are required to be reconciled with any outstanding balances due to __________.  Once reconciled, any balances owed to either party following reasonable time frame in which all consigned inventory can be returned are credited, all balances owed will be paid in full.


Points of Complaint:

TerraCom has turned a deaf ear to many of the master agents and their sub-agents and is holding thousands of dollars that rightfully belong to them, and the reason for this hold is, Outstanding Inventory.  Most of them have attempted to show TerraCom that the inventory has been returned however, they continue to say as they have always said, we didn’t receive it. But I know we received it and Dale's who plan along with Darrel Jefflo and Richard was to deny paying the independent contractors by falsifying or creating false inventory discrepancies. 

Consequently as a result of them holding commissions, they have not been able to pay agents their last commission checks which left many of them scrambling for a way to take care of families as this was the primary means of income for the majority of them.  Many lost their homes and cars, and currently live with friends and family. 

From what I have learned is their problem is not that TerraCom shutdown its agent program as many companies shutdown or downsize.  Their problem is that they terminated on the basis of what “the media was doing with respect to agents”.  This is not a term of condition for termination, and Dale said to us in a meeting we may get sued but I can make it right.  Not only did we terminate incorrectly, we are holding commissions for outstanding inventory that has been returned. 

Additionally, some master agents have residual commissions “For life of customer”; however, the catch is as long as the master agent is active and in good standing with SkyCom, USA.  They are now saying that since the contracts were terminated, we are going to deny those residual commissions.  However, the agents didn’t do anything to violate the contract.  TerraCom/YourTel/SkyCom made the decision to shutdown the agent program due to media attention. It was acutally pushed by Dale Schmick.  Again this guy is a master manipulator of data and disinformation.

I know these agents are entitled to their commission owe from June 16-30, 2013 and their residual commissions for the life of the customers we added.  There are also questions in regards to the manner in which we calculate their residual commission.  We actually tell agents that subscribers decline or fall off by 18%-25% each month which of course reduces the amount of residual commission owe/paid.  This is not true. Our 497 Form and IDB List submitted by TerraCom/SkyCom/YourTel would reflect such a decline; however, it doesn’t.  We are also manipulating usage information.  Spearheaded by Dale Schmick.  We are holding customers long after they should be held.  I know we are billing for customers we shouldn't be billing for.  Customers would call in to customer service, confirm who they are, and try to cancel the existing service and was told it was cancelled.  However, three-four days later and months later, the people were still in the system as existing customers.  When I asked Dale and Darrel about this, I was told and the agents were told, “We are not going to take them out of the system as we have to continue billing to recoup our money regardless of whether they still have the phone or not.  So just tell them when it happens again to keep calling customer service and the service will disconnect at some point.”

All the agents want is their commissio And to settle on the breach of contract for residual commission. 

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#3 Author of original report




Before  we   get  down  to  the  business  at  hand...FIRST  things  FIRST:   I  must,  perforce,  give  all  the  thanks,  and  praise, to  my  good  benefactor,  Mr.  Ed Magedson,  who is  the  founder of  RIPOFF  REPORT !!!!!    Without  Ed,  none  of  this  would  be possible.  Thank  you,  Ed.  We're  praying  for  you,  and  your fine  family.

Ladies  and  Gentleman  and   Lifeline  users  in  the  21  states  where TERRACOM  WIRELESS   is  unfortunately  ALIVE  and   screwing  people  left  and  right  without  a  condom.    I  will  very  kindly  remind you  that   the   FEDERAL   COMMUNICATIONS  COMMISSION,   one  year  ago,   PAID  our  U. S.  TREASURY   over   ONE  MILLION  DOLLARS in  FINES !!!!!   That's  a  TON  of  money.   Why  did  they  pay  the  Treasury  over  ONE  MILLION  DOLLARS ????   Because  of  a  little FEDERAL  FELONY  called   MALFEASANCE.   On  the  streets  where we  humans  walk  each  day,  there  are  many  expressions  for  the legal  term,  " MALFEASANCE ".   

I  told  you  good  people  that  the  next  time  I  posted,  I  would   give  you the  names,  or  at  least  some  of  the  names  of  the  principals  in  the so-called  "company"   that  calls  itself,  " TERRACOM  WIRELESS ",  at  401 East  Memorial  Road,   Oklahoma  City,  OK.    Here  they  are,  as  


         ONE:  DALE  SCHMICK



These  are  the  names  of  the  three  little  piggies  that  are  taking TAXPAYER  DOLLARS,   YOUR  TAX  DOLLARS,  and   giving  you YOU  the  LIFELINE  Consumer,  the  screwing  of   a  lifetime !!!

But,  they  paid  over  $1,000,000  in  fines  for  playing  it  " fast  and loose "  with  YOUR   TAX  DOLLARS.

So,  my  dear  friends,  please:  WELCOME  THESE  LIARS, CHEATS AND   THIEVES  to  your  good  neighborhoods.....because  they  are  already  there.

There  are  video  on  You Tube  that  will   give  you  a  name  and  other  information  if  you would  like  to  join  a  class  action  against this  OUTLAW  COMPANY !

HES/Grove, Oklahoma

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#4 Author of original report

2nd Rebuttal on the FOOL named TYG


This  my  2nd  rebuttal   regarding  the  stupid  fool  "TYG"  and his  worse-than-stupid,  worse-than-naive',  and  worse-than-jerky   "rebuttal" to  my  RIPOFF  REPORT  on  the  FLY-BY-NIGHT  bunch  of   criminal  jerk-offs  in  Oklahoma  City that  think they have  everyone  and  their horse,  hornswoggled:   yes....TERRACOM  WIRELESS. 


Well, TYG,  you  jack-a*s,  it's  people   like  you  that  make  the  World go  around (  ad  nauseum ).  Yes,  you  moral  cowards  that  have  about  15  minutes  life  experience,  who  are  still  living  at  home  with  your Mommy  and Daddy, or  your   older  Sister,  or  your  Auntie  and  Uncle, driving  your  Chevy  blah-blah,  playing  solitaire  on  your  laptop  because  you  don't  have  the  creativity,  intelligence  or  stamina  to  make  any  thing  for  yourself:  keep  on  playing  in  your  little  sandbox,  TYG,  or  whatever  name   you  actually  have.


But,  in  the  meantime,  that  fact  that  a  little  punk  like  you  who can  pretend  you  know  how  to  spell  "cat",  or  pretend  you  can  think  on  feet  long  enough  to  change  a  tire,  makes  my  a$$  tired.


You  don't  know  crap  from   charcoal  briquets.    You think  that  because  you  have  a  $75  laptop  you   got  from  the  Christian  Mission  around  the  corner,  means  God  gave  you  a  license  to  say  something  that's  above your  pay  grade.


You  have nothing  on the  ball.  You  think  you  can  give  a  real  man advice ?   Adjust  your  medication. Please.  Find  something  to  do  that might  actually  take   grown-up  skills.


YOU  givig  ME   advice  is  more  than  IRONIC.


Terracom  Wireless  (  here,  TYG,  I  am not  talking  to  you,  I am addressing  real  people  that  might  be  reading  this  )  is  a   LIFELINE provider.  And  as  such,  they  must  obey  the  LAW.   FEDERAL  LAW.


For  your  good  information,  TERRACOM  WIRELESS  was   investigated  by  the  Federal Communications  Commission, and  fopund  GUILTY  of  playing  fast  and loose  with  taxpayers'  dollars !!!!!   This  was  so  serious, that  a  brand-new  law  was  enacted,  to  handle  this  gross misapprpriation  of   taxpayer  funds.  


As  for  you,  TYG,  I've  had  intestinal  spasms  that  were  smarter  than  you.  You  are  a  jerk,  and  a  little  tiny  kid  posing  as  a PERSON.   Well,  you  AIN'T  a  are   kangaroo  dung.


Lastly:  I  wish  to  gives  thanks  and  praise to  Mr. Ed  Magedson for  his  hard  work,  each  and  every  day,  to make  it  possible  for  decent  people  like  me,  to  post  incriminating  crap  on  people  like TERRACOM  WIRELESS,  and  also,   YAK  DUNG  like  you,  TYG. HES/Grove, Oklahoma

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#5 General Comment


AUTHOR: Tyg - ()

  They ask you for under $20 to get you a new phone. You should have jumped at that. You compain that you have to spend another $200 on business cards but cant fork over $20 for a upgraded handset. You are seriously disconnected from the world I think.

If you had to actually pay for any service, it would cost you from $55-450 depending on service providers and amount of handsets PER MONTH! Im guessing that your phone is one of the many recycled phones ppl turn in. ITS NOT NEW. You cannot expect grade A performance out of the last jalopy off of the lot. Its been "remanufactured" at least twice. Theres bound to be problems. And they ask what amounts to the shipping and handleing fee of sending you a new phone and you give them grief?? At what point are you going to actually pay for anything. Are you truly expecting to get FREE for Nothing??

You state you understand contract law. Well then I expect that you can look up on line the contract you signed for the service and then use the clauses within to gain a remedy. But really.....$20 for a new handset is a lot better then what you Im sure have put them through.

Also You can be as nice and polite as you think you are but your sarcasm literally SCREAMS off of the print in front of me. Im betting those poor CS ppl had a full dose of that to deal with. You also wont be getting any of the money you spent on services from them and they will never buy you new business cards. It doesnt work that way. You are in essence boned on that one. You obviously gave the CS rep the impression that you wished to cancel your service, most have to ask atleast 2 times if your sure. Most have to try and save you as a customer so they would have offered you a slighlty better deal.

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#6 Author of original report



Hello,  folks !   Just  checking  in  to  give you  an  UPDATE  on  TERRACOM corporation.   Some  lady  gave  me  a  call  from,  apparently,  their Corpate  HQ  401  East Memorial Street,  in  OKC, OK;   but  not  about my  little essay  on  RIPOFF  REPORT  (  and  I  thank  you,  Ed  Magedson, with a  humble,  and  grateful  heart  and  spirit !)  about  these  criminals.

No:  it  was  predicated  by  a  remark  or  two  I  made  on   a  youTube Video  that  was  made  by  a  nice  man  named  Mister  John  Pacian, who  allowed  us  to  hear  a   customer  service  call  he  made,  on this  video.  When  Mr. Pacian  let  the  customer  service  "guy"  know  that  he was  recording  his  call   for  broadcast  on   YT,  and  that  he (Pacian) was  going  to  get  the   FTC,   FCC  and  others  involved, including the  BBB,  they  CSR  actually   LAUGHED  at  Mr.  Pacian.   LAUGHED!

These  people  are   morally  and  ethically  bankrupt!!!!!

Anyhow,  this  woman  called  me,  and  wanted  to  know  how she could  "make  this  right".   Then,  in  the  same  breath,  she attempts  to  contradict part  of  my  complaint,  by  implying  that my  complaint  about  being  out  of  service  for  three  days  due  to  a jerky,  moronic  Customer  Service  Rep,  was  not  true.

That's  not  a  good  way  to  get  started,  folks.   That  is  a  "non-starter",  as  we  say  in  the  contract  law  business !!

I  told  her,  that  they  ( Terracom  Wireless )  are  going  to  be responsible,  because  I  was  going  to   MAKE  them  be  re-sponsible !    

We  parted  company,  but  not  before  she  PROMISED  to  get back  with  me.  

Of  course....she  never  did.  I  never  heard  from  her.

I  went  back  to  Pacian's  YT  video,  and  posted  a  comment that  I  was  serious  about  helping  him  with  a    CLASS-ACTION against   TERRACOM  WIRELESS.

So,  ladies  and  gentlemen,  that's  my  update.  To  summarize:


b:  They  are  CRIMINALS.c:   They  won't  do  the  right  thing for  their  customers, NO  MATTER  WHAT.

d:  My  next  posting:  I will  name  the  men  who  are  the officers/principals   "behind"  Terracom  Wireless.


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