A telecommunication device includes a first interface coupled to the public switched telephone network (PSTN) in a first local calling area, a second interface coupled to a packet network, and a third interface coupled to a first plain old telephone system (POTS) telephony device. The device also includes a router that directs telecommunications between the first, second, and third interfaces and a gateway that enables telecommunications between the first POTS telephony device and the packet network. Furthermore, the device includes a processor that receives signaling from the first POTS telephony device indicating a desire to establish telecommunications with a second POTS telephony device coupled to the PSTN in a second local calling area and coupled to the packet network. The processor determines whether the telecommunication device has an appropriate amount of associated credit to use the packet network to establish telecommunications between the first and second POTS telephony devices and, if so, establishes telecommunications between the first and second POTS telephony devices using the packet network such that the first and second POTS telephony devices may communicate without using a long distance network coupling the first and second local calling areas.

 
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