Greedy airlines will make record $118 BILLION in add-on ‘junk’ fees this year – as grasping bosses resist Biden’s attempts to stop them gouging cash from flyers
Greedy airlines will earn a record $118 billion in junk fees this year as bosses resist the Biden administration’s efforts to stop them from price gouging.
For decades, most bags flew for free, but in recent years fares have soared, boosting the profits of the country’s airlines.
With charges for everything from seat selection, baggage check-in and in-flight meals, costs have risen 7.7 percent from pre-pandemic levels.
Customers are routinely promised a total amount, only to find that the actual cost is much more expensive when they factor in the price of baggage, seat selection and insurance – which often costs much more than the flight itself.
President Joe Biden used his State of the Union address in February to highlight his war on junk fees — the hidden fees companies use to extract more money from consumers
With charges for everything from seat selection, baggage check-in and in-flight meals, costs are up 7.7 percent from pre-pandemic levels
As airline ticket prices become more competitive, airlines are turning to these fees, also called side sales, as a means to increase profits.
Previously, practices such as charging for seats and checked baggage were limited to low-cost airlines, but now even major international airlines, including British Airways, Air France and KLM, are charging customers for seats – even in business class.
In addition to costs, there are also concerns about the way such costs are presented online, with the final rate not always explicitly shown.
As part of the Junk Fee Prevention Act, President Joe Biden has indicated he wants to eliminate fees for family members to sit with young children.
“I will ban airlines from charging $50 for a family just to sit together. Baggage fees are bad enough. Airlines cannot treat your child like a piece of luggage,” the president said in February.
This is evident from figures from the Ministry of Transport. passengers Paid $5.3 billion in baggage fees only in 2022.
American Airlines, for example, earned nearly $1.4 billion in checked baggage, accounting for more than 2 percent of the airline’s annual revenue in 2022.
The investigation found that airline companies also collected an additional $700 million in cancellation and flight change fees last year.
A term has been coined to describe the time-sensitive nature of airline ticket purchases, coupled with the myriad of upgrades and extras offered during the sales process: dark patterns.
American Airlines alone earned nearly $1.4 billion in checked bags, accounting for more than 2 percent of the airline’s annual revenue in 2022. Pictured, American Airlines CEO Robert Isom
According to Transport Department figures, passengers paid $5.3 billion in baggage fees last year alone
UX designer Harry Brignull coined the term to describe website design strategies that deliberately aim to mislead consumers during the purchasing process.
Direct users to make decisions that they otherwise might not have made.
Airlines use various tactics on their websites, including forms of manipulation and deception.
In 2022, the U.S. Department of Transportation received 113 consumer complaints regarding “misleading and inaccurate advertising on airline websites, social media, emails, and text messages.”
While the database does not specifically track complaints related to the design of airline websites, the Biden administration has proposed rules that would require full up-front price disclosure, including all associated costs.
The Department of Transportation is expected to issue a final rule in March 2024 on increasing transparency of airline support service fees.
Customers are routinely promised a total amount, but discover that the actual cost is much more expensive when they take into account the price of luggage, seat selection and insurance – which often costs much more than the flight itself
There is little consistency between airlines, with baggage costs varying enormously
This summer it became known how Spirit Airlines has the highest hidden fees of any U.S. airline — making trips 736 percent more expensive than their basic airfare, a new study shows.
The budget airline adds an average of $161.12 to a fare of just $21.89, according to analysis from the discount code website NetVoucherCodesthe highest increase of any airline in the world.
According to the study, Volaris, a Mexican discount carrier, has the second highest hidden costs. The hidden fees amount to 626 percent of the original flight price, with customers having to pay $82.20 on top of a $13.13 flight.
Frontier had the third-highest hidden costs, as it adds an average of $109 to a $29 basic airfare, making the trip 376 percent more expensive.
Spirit Airlines has the highest hidden fees of any US airline – making flights 736 percent more expensive, a new study shows
Sun Country Airlines, an ultra-low-cost airline that offers flights throughout the U.S., Mexico, Central America and the Caribbean, came in fourth.
The airline added $98.48 to a $49 flight — a 201 percent increase.
Sun Country Airlines said when customers book a trip, they will receive pricing for additional services.
‘As a budget airline, we have customers who simply choose to purchase their flight and travel light, without any extras. Other customers like the ability to make choices about what is important to them on flights,” a spokesperson said.
Delta Air Lines, meanwhile, came in fifth, with fares that increased its fare by 158 percent – including a $30 seat selection fee.
United Airlines added an average of $67 in hidden fees, increasing the total price by 122 percent, while American Airlines added $52 in hidden fees, increasing the total by 95 percent, according to analysis from the discount code website NetVoucherCodes.
Booking over the phone, having your boarding pass printed and checking in online are among the most mundane tasks that companies charge customers for.
On its website, Frontier says it will charge passengers $5 just to check in online.
And it will give customers a $35 fee for those who book through the chat agent booking service.
Meanwhile, Spirit Airlines is asking customers to pay $25 if they need to have their boarding pass printed during an in-person check-in.
JetBlue passengers can expect to pay $25 just to make a reservation over the phone or via live chat. The company says this can be avoided by booking online.