Hmm.. I'm puzzled myself on why this happens. Have you tried using the phone with other devices using USB? Anyhow, I highly suggest reporting this problem to Alcatel.

Thanks for responding.  The phone has all sound on including music, ringer and alarm.. It will play bluetooth sometimes but it plays music with the USB but when I unplug it from the USB cord in my car it loses all sound. It will not ring if someone calls or if a text comes through or anything. My other phones didn't do this it worked perfect and so do my friends phones. I even took it to the store where I bought my radio and they tried it on a brand new radio like mine in case I needed to update something on my radio (which I did do) and still it does the same thing.. They will not let me exchange the phone for another kind even though they have seen it actually happen when I unplug it. They don't know why it is doing this but say it has something to do with the phone processor. I paid good money for this phone and they know it is bad and have replaced it with another one that does the same thing but still will not let me get a different phone. I am at a loss as to what to do at this point. 

Hi Judy. Have you tried playing a song then press volume up button?  Maybe the phone was in silent mode or all sound volume muted before. It's normal that the volume level while playing music via Bluetooth and while just using the phone speaker be different.