Hosted at Bluehost.com. Like other hosts (charging only I see now "$3.95/month") they promise you "unlimited bandwidth". The TOS then defines "unlimited" in a way that let's them do things like this. Meanwhile the more honest webhost is at a disadvantage in trying to compete with this scheme.
Shared hosting is a mugs game these days and has been for a long time, both for the hosts and the users. The only way to compete on any scale other than "hosting stuff for family & friends or your own clients" is to be deliberately deceptive in this way. Another common trick is "unlimited databases of any size (but we'll limit I/O so much that it'll never be practical to store more than some tens of Mb)".
I used to run a small host many years ago. I quickly got out of the business.
There are three classes of people still using shared hosting:
1. Those who know the game but to whom it really doesn't matter: they have little content and/or it is of such niche interest that they are not going to be anywhere near the limits associated with "unlimited". They are aware of the game and using a shared host is either habit or just the quickest way to put the files.scripts out there. They have little or no budget - as soon as they need to pay anything they'll switch to a VPS (but can't be bothered running one right now as they don't need to immediately).
2. Those who don't know any better and who have bought into the marketing of the other hosts. They will expect you to provide the same (or more) for the same (or less) that the other hosts are promising and when you tell them that you can't they will be disappointed, sometimes incredulous, even occasionally offended (as if you telling them it is not possible to make money that way is insulting, i.e. telling them their expectations are wrong is tantamount to telling them they are stupid).
3. Those who know the game full well are and playing it to the max. They've already been pushed off several hosts for using too much of their "unlimited" resources and fully expect to get pushed off yours at some point too (though they'll still kick up an almighty fuss when it does actually happen).
Class 1 won't spend any money, class 2 and 3 will want to pay very little and will eventually try to kill your business via bad reviews when you let them go or otherwise don't give them what they demand.
We still do a nominal amount of legacy hosting (dates back to the 90's so why give up the money?) and had a long time customer switch because his brother offered to do it for free. He also switched the domain name as well which ended up in the hands (ownership that is) of the hosting company. So he doesn't know it but he isn't the owner of the domain any more. I've actually seen that happen many times. Someone transfer a domain and all of the sudden the whois shows the name of the tech guy, or even (this case) the hosting company is the actual owner. Small business guy site owner is clueless as to what is going on. It's hard to sell people on things that might happen to them because there are multiple things that could happen. And if you take the time to do so, that is to fully educate them, they know what to look out for and you still lose the business.
