I checked lg forums and this is a known issue. They suggest:
Try going to Settings, Sound, "Audioble Touch Tones" (Play tones when using Dial Pad) and make sure that this is turned on.
I would check that first. If it is turned on, try turning off and back on and making call to automated service. If that doesn't work, then try turning off phone and back on and try again.
They also suggested that the phone not be set to vibrate mode or speaker phone.
Last step would be do a factory reset and see if problem clears itself.
My touch tones were turned on. I turned them off and tried. No such luck.
I tried rebooting my phone. No luck there, either.
Vibrate mode is off, and I don't use speaker phone.
I don't want to do a factory reset if I can help it. This is the second phone that has had this problem. Between that and the info in the LG forum, I can safely say that it must be a phone problem. I hope it gets fixed. It's very annoying.
Thank you for pointing me to the LG forum. I'll keep an eye on things over there as well and hope that it gets fixed.
I've actually had this problem for quite some time on my G2X. I just got through entering my account information 3 times on a bank of america automated call & at least 1 digit would be off so I found this thread. I've tried holding the number long, short, and medium with no improvement in results. What worked for me just now was turning the tones off despite what people have said.