<![CDATA[Consumerist: Fuel]]> http://cache.gawker.com/assets/base/img/thumbs140x140/consumerist.com.png <![CDATA[Consumerist: Fuel]]> http://consumerist.com/tag/fuel http://consumerist.com/tag/fuel <![CDATA[ Airfares Sinking Due To Lack Of Demand ]]> The crappy economy is taking its toll on airfares. Demand is sinking taking airfares with it, says USAToday.

To assess the fare sales, FareCompare.com on Sunday analyzed airfares for the 25 most-traveled domestic routes in the continental USA.

On more than half the routes, non-stop coach tickets were available for travel on Dec. 10 for less than $220 round trip.

Prices were higher for travel closer to Christmas but still relatively inexpensive. For travel on Dec. 24 and returning five days later, for example, non-stop tickets were available on most routes for less than $270 round trip.

"Those holiday prices would have been double eight to 12 weeks ago," Seaney says.

Ray Neidl, an industry analyst for Calyon Securities, says passenger demand is "down sharply" because of the weak economy.

Just because fares are going down, however, doesn't mean you'll be saving any money. Many fares, while cheaper than they were a few months ago, are still higher than last year — and the new airline fees appear to be here to stay.

A passenger with a $200 ticket may pay up to $80 more round trip for two checked bags — a 40% increase on what they paid a year ago, USAToday points out.

Economic woes push ticket demand down, airfares lower [USAToday]
(Photo: flyingember )

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Consumerist-5099440 Wed, 26 Nov 2008 16:05:02 EST Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5099440&view=rss&microfeed=true
<![CDATA[ United Adds $800 In Fees To $560 Trip, Loses Customer For Life ]]> We have a feeling this is going to happen with increasing frequency as airlines continue to bleed once-loyal customers for extra revenue: Greg Dean, the cartoonist behind Real Life Comics, has had enough of United gouging him. First it was the second checked bag fee, then the first checked bag fee. Then they doubled the pet-in-cabin fee to $175 each way, which works out to more than the cost of a human round-trip ticket.
And let's not forget the exorbitant booking fee for using miles for one of our tickets. The actual FLIGHT was only $280 round trip per ticket, but with the booking fee TO USE THE MILES TO PURCHASE A TICKET, we wound up paying over $500.

When Dean tried to convert the two tickets into travel vouchers, the airline charged him another $300. And that, readers, is when the airline killed off one of their better customer relationships.

For a trip that requires two roundtrip tickets priced at $280 each, or $560 before taxes, United managed to tack on over $800 in additional fees:

1st checked bag*: $30
2nd checked bag 50
pet-in-cabin fee 350
booking fee (estimated) 150
travel voucher conversion fee 300
Total: $880
figures reflect round-trip totals


 

Dean doesn't have a permalink to his post—it's just up on the "News" section of his front page—so we're reprinting it below for posterity:

There seems to be a trend with me lately - it seems that, without fail, if I am on the phone with United Airlines, it's going to end in me cursing them out.

First, let me point something out. I used to be a devotee to United Airlines. For years, when we had trouble flying on American or Delta or *shudder* Southwest, United was always there as our rock - flights were usually smooth, we got decent service, and life was good. We signed up for frequent flier cards, (Even got a free upgrade to First class from L.A. to Chicago once) and I got a credit card that would give me bonus miles with them. I also had sort of a soft spot for them in my heart, given that my Grandfather worked maintenance for them for most of his life in San Francisco. After his memorial, I wound up taking a bunch of his old United memorabilia home with me, and I'm always going to treasure it, no matter what.

But coincidentally, that particular flight was where the love affair started to go south. See, it was around June, and it was when they started adding on fees for the second checked bag - which we didn't know about until we got to the gate, of course. I understood, to a degree - fuel prices were at an all-time high, and the airlines had to make up for the difference somehow. But I do clearly remember mentioning to the gate agent that "Heh... you KNOW those fees aren't going to go away when fuel prices come down again." How right I was.

Now, of course, fuel has dropped to the lowest price it's been in YEARS, and have they removed the fee? HA! They went one step further... because in early October, we booked a flight home so we could spend Christmas with our families. During that phone call, I discovered that not only had they added a fee for the FIRST checked bag (WHO flies without checking at least ONE bag?!) but they had increased the pet-in-cabin price from $85 per direction (It had previously been $75 the year before) to ONE HUNDRED AND SEVENTY-FIVE DOLLARS per direction. Considering we'd be taking Selphie both ways, that adds up to MORE than the price of a ticket - just for the privelege of putting a dog carrier under the seat in front of us. And let's not forget the exorbitant booking fee for using miles for one of our tickets. The actual FLIGHT was only $280 round trip per ticket, but with the booking fee TO USE THE MILES TO PURCHASE A TICKET, we wound up paying over $500. The pet-in-cabin charge would be paid at the gate, of course. And don't forget the roughly $80 extra we would have to pay just to check our bags. This was the first instance where the phone call ended in extreme profanity.

Now, of course, we're MOVING BACK to California. We no longer have need for a flight from Austin to Sacramento. So, I decided to call United and see if it would be possible to convert the tickets into travel vouchers that we could use at another time. Certainly, said the reservations agent! There's only a fee of $150 per ticket to do so.

THREE HUNDRED DOLLARS?! FOR YOU TO PRESS A FEW BUTTONS AND CHANGE SOME INFORMATION IN A COMPUTER?! Needless to say, that phone call did not end in a civil fashion. I don't care if these people aren't personally responsible for these fees. They're representatives of United, and as such, they deserve to hear what I have to say. Take your fees and shove it.

And so, here and now, I officially renounce United Airlines. Call it whatever you want. A denouncement. A boycott. I don't care - the long and the short of it is this - I will never willingly fly United again, and I would urge anyone to whom customer service is important to boycott them as well. And not just United - I pledge, here and now, to never fly on another Star Alliance airline, either - domestically, this means no flying on US Airways. (Not exactly a huge loss) And I'm going to keep this up until United elects to rescind their fees for the first and second bags, and until the silly fees like $175 for a pet-in-cabin go away. But I'm not silly enough to think that the actions of one man are enough to get something done. That's why I'm calling on you guys.

I'm sure I'm not the only one furious with United Airlines for the treatment I've recieved - I'm sure many, many others have had the same experiences. Tomorrow, I will be writing up an actual, paper letter and sending it off to United, and I encourage you to do the same. If you feel so inclined, their mailing address is as follows:

Customer Relations
WHQPW
United Airlines
PO Box 66100
Chicago, IL 60666

Whether the fees go away or not is immaterial. I'm just pissed that United has $500 of my money that I'm never going to see again, and they're holding it hostage unless I pay an ADDITIONAL $300 to make use of it sometime in the next year. And so, I'm going to throw in my one profanity in this entire post - I say this so that people like my mom who don't really care for profanity can stop reading now.

Fuck you, United Airlines. You just lost a devoted customer.

Real Life Comics (Thanks to Arthur!)
(Photo: Getty Images)

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Consumerist-5086868 Fri, 14 Nov 2008 10:13:29 EST Chris Walters http://consumerist.com/index.php?op=postcommentfeed&postId=5086868&view=rss&microfeed=true
<![CDATA[ Gas Prices Have Fallen For 51 Straight Days ]]> AAA says that gas prices have fallen for 51 straight days — and that the current average price is $2.31 per gallon. The current price is the lowest the nation has seen since February of 2007, and is 43.8% lower than the record high of $4.11 set during July of this year.

Despite the lower prices, demand for gasoline continues to drop, according to MasterCard. They said that credit card swipes at gas stations were down 3.9% compared to last year. We can only imagine, with horror, what this slowdown is doing to "meat snack" sales.

Gas prices near $2.30 [CNN]
(Photo: The Joy Of The Mundane )

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Consumerist-5079675 Fri, 07 Nov 2008 13:26:35 EST Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5079675&view=rss&microfeed=true
<![CDATA[ Delta To Add $15 First Checked Bag Fee ]]> The AP says that the new mergeriffic Delta will be adding a $15 fee for the first checked bag and $25 for the second checked bag when traveling domestically, which is consistent with Northwest's existing policies.

From the AP:

Customers who purchased Delta tickets on or before Wednesday, and who are traveling on or after Dec. 5, will be charged $50 for a second bag, but will be permitted to check their first bag without charge based on Delta's previous policy. Customers flying in first or business class, including SkyMiles Medallion members and WorldPerks Elite members, will be able to check up to three bags, up to 70 pounds each, for free, Delta said.

Delta Air Lines adding first bag fee [IHT]
(Photo: Flying Photog )

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Consumerist-5077231 Wed, 05 Nov 2008 11:46:52 EST Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5077231&view=rss&microfeed=true
<![CDATA[ Yes, It's Official: That Stupid "Saved By Zero" Commercial Isn't Working ]]> You, dear consumer, have abruptly stopped purchasing automobiles. GM's sales are down 45%. Ford has sunk by 30% and Toyota, yes, that Toyota is down 23%.

Check this out. It's Auto-Armageddon! From BusinessWeek:

"It was like somebody turned the lights off in October," said GM sales and marketing chief Mark LaNeve. According to GM, October, after adjusting according to sales per capita, was the worst month for sales in the post-World War II era. It was worse even than sales in September and October after the Sept. 11 terrorist attacks against New York and Washington in 2001. "In my 27 years in the business, I've never seen a month like this," said an exasperated LaNeve.

The declines aren't limited to U.S. brands. "The carnage was completely widespread," said GM's LaNeve. Toyota (TM), despite huge ad spending and zero-percent financing, reported a sales drop of 23%. Nissan (NSANY) was off 33%. Hyundai was down 31%. Suzuki was down 44%. Luxury makes weren't spared. Mercedes-Benz (DAI) was down 26% and BMW was off 10%.

We find it just shocking that that annoying-as-hell "Saved By Zero" commercial that Toyota is mercilessly force-feeding hapless football fans isn't working. Don't you?

Auto Sales Worst Since 1983 [BusinessWeek]
Stop Playing Toyota's "Saved By Zero" Commercial [Facebook]
Toyota Won't Stop Saved By Zero Ads Despite Pleas From Thousands Of Facebookers [Jalopnik]

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Consumerist-5075394 Tue, 04 Nov 2008 11:19:05 EST Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5075394&view=rss&microfeed=true
<![CDATA[ Should An Infant With No Seat Have To Pay A $320 Fuel Surcharge? ]]> Here's an interesting situation. When babies fly domestically, they fly for free — but international flights require a ticket and, apparently, a huge fuel surcharge.

From Elliott.org:

The agent asked for our ticket for our son. I will not go into all of the details, but an hour later (and 35 minutes to flight departure), we were forced to pay 332 euros ($423.10) to get my son a ticket so he could return back to the states.

Words cannot describe my outrage at the time, especially the justification of the fees ($320 fuel surcharge - $160 each way??!!). How can they legally charge that much when our ten pound infant does not even have a seat?

Delta responded to this complaint with a form letter explaining that kids need a ticket — which is 10% of the regular fare. The only problem? He'd already paid that fee when he booked the tickets. The $320 was explained to him as a fuel surcharge.

Should passengers who don't even get a seat and weigh 10 lbs be charged this fee? Seems a little silly doesn't it?

Waaaa! Baby gets socked with surprise $320 fuel surcharge on Delta flight [Elliott] (Thanks, Shaula!)
(Photo: So Cal Metro )

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Consumerist-5073497 Sat, 01 Nov 2008 13:59:58 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5073497&view=rss&microfeed=true
<![CDATA[ The price of jet fuel is down, but those ... ]]> The price of jet fuel is down, but those fuel surcharges? Nope. They're up. [USAToday] (Thanks, J!)

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Consumerist-5069934 Tue, 28 Oct 2008 13:13:39 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5069934&view=rss&microfeed=true
<![CDATA[ Firewood Is The New Hotness. Literally. ]]> Heating oil prices got you down? Thinking of burning some wood to stay warm this winter? You're not the only one. In fact, Consumer Reports says that firewood prices are through the roof this fall. It's gotten so bad that people are actually stealing wood.

From Consumer Reports:

Throughout the Northeast, skyrocketing fuel costs have lit a fire under the firewood business. The demand is sparking severe shortages ahead of the home-heating season, says Sarah Smith, forest-industry specialist at the University of New Hampshire cooperative extension. "If I called up 10 folks in the firewood business and asked them for a cord of dry wood, they'd all laugh," she says.

The firewood shortage started this summer, when soaring oil prices motivated more people to consider heating their homes—or supplementing their oil, natural-gas, electric, or propane heat €”with wood. "The loggers and firewood producers who were predicting and processing wood based on their usual demand couldn't accommodate all these people, many of whom hadn't burned wood in the past," says Smith.

CR has some tips for those of you who are wood shopping this fall. Most important? Make sure your chimney is in good condition, but don't get scammed by disreputable chimney liars.

Firewood and wood pellets become a hot commodity [Consumer Reports]
(Photo: saramarie )

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Consumerist-5063305 Tue, 14 Oct 2008 15:04:55 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5063305&view=rss&microfeed=true
<![CDATA[ Consumer Spending Will Shrink For The First Time In Nearly Twenty Years ]]> Consumer spending, the engine that powers our economy, is probably going to shrink for the first time in nearly two decades, says the NYT — a move that will "all but guarantee" that the current economic crisis will deepen.

From the NYT:

In response to the falling value of their homes and high gasoline prices, Americans have become more frugal all year. But in recent weeks, as the financial crisis reverberated from Wall Street to Washington, consumers appear to have cut back sharply. Even with the government beginning a giant bailout of the financial system, their confidence may have been too shaken for them to resume their free-spending ways any time soon.

Recent figures from companies, and interviews across the country, show that automobile sales are plummeting, airline traffic is dropping, restaurant chains are struggling to fill tables, customers are sparse in stores.

When the final tally is in, consumer spending for the quarter just ended will almost certainly shrink, the first quarterly decline in nearly two decades.

The Times says that when the government releases the numbers this month, they are expected to show that consumer spending shrank by 3%, which would be the steepest decline since 1981 and the only decline since 1990.

Consumers are apparently buying more groceries, enjoying fewer meals out, and spending less on clothes, school supplies, and air travel. Nintendo Wiis, however, are still flying off shelves.

“My view is that when consumers get concerned about their nest egg, or their country, they need entertainment,” said Bo Andersen, president and chief executive of the Entertainment Merchants Association, which represents distributors and retailers of home entertainment products.

Full of Doubts, U.S. Shoppers Cut Spending [NYT]
(Photo: robinryan )

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Consumerist-5059531 Mon, 06 Oct 2008 12:59:01 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5059531&view=rss&microfeed=true
<![CDATA[ Hundreds Of Car Dealerships Are Apparently Doomed ]]> After the failure of the nation's largest Chevy dealerships brought the plight of the car dealer to everyone's attention, the bleeding hasn't stopped. The California New Car Dealers Association says dozens of dealerships in CA have also closed.

"I've been doing this for 25 years in some form or another, and I have never seen consolidation like this going on," said Peter Welch, association president.

The National Automobile Dealers Association says that they expect 600 dealerships to close this year, and domestic dealerships are going to be the hardest hit. There are just too many dealerships and not enough market share for domestic cars:

There were just too many GM dealers chasing dwindling market share, he said. GM commanded 40 percent of the market in the 1980s, selling cars through 7,000 dealerships. But while GM's slice of the market tumbled by 40 percent or more, the number of dealers has declined by 1 or 2 percent, Mattia said.

"The dealers will have to suck it up and go away," said Mattia, who now leads Auto Engage, a consulting firm for dealers and manufacturers. "It wouldn't surprise me if we didn't have a nationwide loss of 10 percent of the dealers."


Economy forcing more car dealers to close
[SFGate] (Thanks, Big Keytee!)
(Photo: amanjo )

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Consumerist-5058222 Thu, 02 Oct 2008 14:44:41 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5058222&view=rss&microfeed=true
<![CDATA[ Gas Station Owner Accidentally Sells Gas For $0.35, But Is Glad To Have Made People Happy ]]> Mimi Zidan owns the Lucky Mart in Pekin, IL, where a pricing mistake resulted in a mob of gas thirsty customers, rushing to take advantage of pumps that were dispensing gas for only $0.35 per gallon. You'd think she'd be upset about losing so much money, but she's not.

"We lost about 1,000 gallons of gas and about $3,500," Mimi Zidan, owner of the Lucky Mart on Derby Street, said Wednesday. "But I don't feel too bad because the people looked so happy when they were buying gas. If I can do this for them, that's all right."

The attendant on duty accidentally adjusted the pumps to sell gas for 35 cents instead of $3.50, and during the two hours before they were corrected people called their friends to tell them about the mistake.

The result was that the situation at Derby and South Fifth streets was totally chaotic, with traffic backed up in all directions when Zidan returned to the store.

"I thought it was an accident," Zidan said. "For the first 10 minutes I didn't know what to do. I didn't want to say you must stop, the price is wrong."

But once the police came in and restored some order, she felt better.

Her sister, Amy Habal, who helps run the store, said it would have been nice if someone had told them about the mistake instead of calling their friends.

"But my sister is very kind, she does not think bad about people," Habal said.


Lucky customers pump 35-cent gas
[Peoria J-S] (Thanks, Eyebrows McGee!)
(Photo: spinadelic )

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Consumerist-5058093 Thu, 02 Oct 2008 12:12:08 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5058093&view=rss&microfeed=true
<![CDATA[ Two More Weeks Of Gas Shortages In The South? ]]> The New York Times has quoted an expert from Rice University who thinks that the gas shortages in Georgia, North Carolina and Tennessee could continue for two more weeks.

If I had to put a date on it, I’d say things won’t be normal for two more weeks,” said Kenneth B. Medlock III, an energy expert at Rice University, in Houston.

Meanwhile, consumers are going from being "good sports" about the shortage to getting downright angry about it.

“At first I was a good sport, but this is getting ridiculous,” said Marsha Lewis, 43, an administrative assistant who lives in Dacula, Ga., and commutes to Atlanta. “I drive an hour to work every day, and looking for gasoline has become my entire life.”

The shortage was caused by combination of refinery damage and power outages in Texas, says a spokesperson from the Petroleum Marketers Association of America, but there's also plenty of blame being doled out to panicky consumers.

“You hear stories about tankers pulling into gas stations and people are already waiting — and they have half a tank,” Dr. Medlock said. “It’s akin to hoarding.”

Frustration in the South as a Gasoline Shortage Drags On [NYT]
(AP photo/Jason Bronis)

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Consumerist-5057161 Tue, 30 Sep 2008 18:58:36 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5057161&view=rss&microfeed=true
<![CDATA[ 85% Of Gas Stations In Nashville, TN Are Without Gas Right Now ]]> You know you've got a national infrastructure to be proud of when one of the country's largest cities is pretty much out of gas. From the Tennessean:
East Tennessee and Middle Tennessee both primarily receive fuel supplies through spurs of the Colonial pipeline, which carries refined gasoline from the Texas Gulf Coast to the Northeast. [Hurricane] Ike damaged and knocked out power to many of those refineries, cutting the amount of gasoline fed into the pipeline.

The shortage should be remedied by next week, the paper reports:

The state is scheduled to receive 1.42 million barrels of gasoline over the next week, roughly matching its typical demand of 1.44 million barrels, Heidt said.

"Gas prices remain higher in Middle Tennessee" [The Tennessean] (Thanks to Jessica!)
(Photo: Pat Hawks)

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Consumerist-5052643 Fri, 19 Sep 2008 21:39:29 EDT Chris Walters http://consumerist.com/index.php?op=postcommentfeed&postId=5052643&view=rss&microfeed=true
<![CDATA[ US Airways Saving Money Because Nobody Is Buying Their Drinks? ]]> US Airways says that their decision to start charging for water, coffee and soft drinks is working — because no one is buying them.

The attendants, who initially opposed the program, would "riot" if the airline tried to return to the old system of free nonalcoholic beverages, President Scott Kirby said Thursday at a Calyon Securities conference in New York.

"Logjams in the aisles, significant trash collection, lines at the restrooms — all those things are largely gone on US Airways because fewer people are buying and drinking sodas," he said. "We spend less money, we generate a little revenue, and those problems are largely gone."

The spokesperson for the flight attendants in question thinks Scott Kirby is full of you know what:

"Kirby's comment that we would riot is just his way of telling himself they made the right decision," said Mike Flores, president of the Assn. of Flight Attendants-CWA at US Airways.

"This is the very tip of the iceberg on what they're going to want us to sell," Flores said. "It's going to be everything from pillows and blankets to cellphone chargers."

Fun.


US Airways sees benefits of charging for drinks
[LA Times]
(Photo: Jenna Belle )

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Consumerist-5052428 Fri, 19 Sep 2008 14:20:22 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5052428&view=rss&microfeed=true
<![CDATA[ United Airlines Is Apparently Crappy At Buying Fuel ]]> United Airlines is just super crappy at fuel hedging, says Wired. Now that oil is trading at less then $100 a barrel, it turns out that United is paying more than that — and more than other airlines:

The company has 51-percent of its 2008 fuel hedged at $111. Per-barrel prices closed at under $98 yesterday. Looking forward to 2009, the airline's fuel hedges are based on per-barrel prices of $118.

Hedging is a big roll of the dice, and no one has played it better than Southwest Airlines. It has consistently hedged more fuel than its competitors. As of this summer, Southwest has 70-percent of its 2008 fuel hedged at $51 a barrel. Compare that with American Airlines, which has 34-percent hedged hedged at $82 a barrel.

Industry analysts estimate that since 1998 Southwest has paid $3.5 billion less for fuel than its competitors. That's equal to 83-percent of its profits over the last nine years. It's a big part of the reason the airline continues reporting profits while the rest of the industry bleeds.

They're going to need to sell a lot of snack boxes to make up for that...

Airlines Hurt By Dropping Oil Prices. Huh?!! [Wired]
(Photo: FlyGuy92586 )

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Consumerist-5052417 Fri, 19 Sep 2008 14:08:56 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5052417&view=rss&microfeed=true
<![CDATA[ America's 10 Most Stressful Cities ]]> Forbes magazine has put together a list of America's most stressful cities and as a product of Chicago, the winner of the dubious distinction of being America's most stressful city, I have this to say: "Yeah, so? Shut up and let me eat my hot dog in peace for once, goddamn it. No, I'm not yelling. Why are you always saying that I'm yelling? It's not like you never yell! Pass the sport peppers before this gets ugly."

Without further ado...

America's Most Stressful Cities:

10. Philadelphia, PA

9. Providence, R.I.

8. Salt Lake City, Utah

7. Cleveland, Ohio

6. San Diego, Calif.

5. San Francisco, Calif.

4. Los Angeles, Calif.

3. Detroit, Mich.

2. New York, N.Y.

1. Chicago, Ill.

The magazine considered unemployment rate, expensive gas, high population density and relatively poor air quality as its criteria for what made one city more stressful than another.

Chicago has a 7.3% unemployment rate, the eighth most polluted air in our ranking and in city where everybody drives to get around, a gallon of gas costs a nickel under $4 dollars.

Omitted from the calculations:

America's Most Stressful Cities [Forbes]
(Photos: Meghann Marco & Meghann Marco)

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Consumerist-5051932 Thu, 18 Sep 2008 16:13:47 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5051932&view=rss&microfeed=true
<![CDATA[ United: Did We Say $25 For The Second Bag? How About $50. ]]> United Airlines has decided that $25 was too generous a price to check your second bag with their airline, and have announced that they'll be bumping the fee up to $50.

Starting tomorrow, all tickets purchased for flights after Nov. 10 will be subject to the new fee. Members of the military traveling on orders, "Premier" frequent fliers, and first or business class customers will be exempt from the charge. Reuters says that United expects to increase its revenue from "merchandising efforts" (including baggage fees) by $700 million in 2009.

Meanwhile, airline stocks "mostly rose" as oil prices fell below $96 a barrel, after reaching as high as $147 over the summer, said the AP.

Airline shares rise on falling oil, upgrades [Forbes]
United Airlines doubles second-bag fee to $50 [Yahoo!] (Thanks, Liz!)
(Photo: Zonaphoto )

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Consumerist-5050043 Mon, 15 Sep 2008 12:59:47 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5050043&view=rss&microfeed=true
<![CDATA[ If you're planning to fly with Alitalia, ... ]]> midwestmidwest.jpgIf you're planning to fly with Alitalia, better call ahead before leaving for the airport. "Up to tomorrow (Sunday) we have guaranteed flights," said special administrator Augusto Fantozzi, "but not on Monday because no-one will supply us with kerosene." [AFP]

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Consumerist-5049506 Sat, 13 Sep 2008 17:25:25 EDT Carey http://consumerist.com/index.php?op=postcommentfeed&postId=5049506&view=rss&microfeed=true
<![CDATA[ "King Of Cars" Closes Hummer Dealership, Will Start Selling Smart Cars ]]> The Wall Street Journal's "Deal Journal" blog says that the owner of the car dealership that serves as the backdrop to A&E's "King of Cars" will close his Hummer dealership and begin selling "Smart Cars."

This closing is notable because of where it is taking place and who is pulling the plug. It is, after all, one thing for enviro-friendly people in San Francisco–another city that recently lost a key Hummer dealership–to shun the brand. It is entirely different when Sin City decides the vehicles are too excessive. Towbin said Las Vegas is a custom fit for Hummer. “It’s all about bling and it’s in the desert,” he said.

And Towbin is an uber-Hummer enthusiast. He credits a Hummer with saving his life, and he counts a Hummer as his daily driver. “I feel very aligned with the brand,” he said. “Neither General Motors nor I wanted to go this way.”

One of Nation’s Largest Hummer Stores to Shut Its Doors [WSJ]

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Consumerist-5046859 Mon, 08 Sep 2008 14:52:14 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5046859&view=rss&microfeed=true
<![CDATA[ Backlash: United Drops Plan To Ax Hot Meals On International Flights ]]> United Airlines said it would listen to feedback from customers about its proposed plan to ax hot meals for coach passengers on international flights... and it did. The company has decided not to go ahead with the plan. Reader Jason forwarded us the following email from Graham Atkinson, United's Chief Customer Officer.

Dear Mr. XXXXXXXXXXXXX,

Thank you for your direct, candid feedback on the test we had planned to launch in the fourth quarter for food choices on some of our flights. We heard you and have decided not to move forward with the test of offering customers buy-on-board options in United Economy on certain trans-Atlantic flights. We will continue to offer complimentary hot meals on those flights.

The response from you and many of our corporate customers, even before we launched the test, told us what we would have undoubtedly learned had we proceeded – you value our hot meal service in economy class for international flights.

In this environment, where higher costs driven by volatile fuel prices are now the norm, we must continue to tailor products and services so that we provide you with choices and competitive fares. As such, we will continue to be proactive in testing new ideas.

On October 1, we will proceed with the test of new, complimentary options for United Business customers on three-cabin aircraft used for domestic routes, which represents 16 daily flights. Customers on these flights will receive complimentary fresh sandwiches, salads, breakfast, snack boxes or snacks, depending on the length of flight and time of departure. They will also continue to enjoy complimentary beverages, including beer, wine and cocktails. We will evaluate the results and determine next steps by the end of the year.

It's also important to note that full meals will still be served on our p.s. transcontinental flights.

Thank you again for your feedback. We will continue to listen and make changes that enable us in this environment to provide you with the choices you value.

Sincerely,

Graham Atkinson
Chief Customer Officer

The $9 sandwich plan is still in effect domestically, but at least you won't be starving on a transatlantic flight. If you'd like to let Graham know what you think of this move, here's some contact information for you.

(Photo: SoCalMetro )

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Consumerist-5044470 Tue, 02 Sep 2008 15:07:16 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5044470&view=rss&microfeed=true
<![CDATA[ NY Attorney General: 25% Of Gas Stations "Engage In Deceptive Practices" ]]> New York's Attorney General, Andrew Cuomo, is warning consumers after an undercover investigation found that 25% of gas stations are engaging in "deceptive practices, including wrongfully surcharging credit card customers." The AG says that under New York state law, retailers are not allowed to impose surcharges for using a credit card.

The AG also said that the stations were engaging in false advertising by only listing the lower cash prices on signs, leading to nasty surprises for consumers once they parked at the pump.

“With drivers hitting the road this weekend and gas prices through the roof, the last thing New York City drivers need are gas stations hitting them with exorbitant prices for paying with a credit card,” said Attorney General Cuomo. “Drivers across New York City need to be on the guard for gas stations that engage in deceptive practices to squeeze every last dollar out of their customers. Our investigation revealed that New York City is rife with gas stations that engage in deceptive practices where they display one price as a way to lure customers - and then charge them more at the pump."

Consumers who see gas stations prominently advertising the cash-only price on primary signage and then indicating at the pump that credit card customers will be charged more are urged to contact the Attorney General’s Consumer Helpline at 1-800-996-4630.

For more information about how credit card surcharges work, click here. Remember, your state laws will vary.

ATTORNEY GENERAL CUOMO ISSUES CONSUMER ALERT FOR NYC DRIVERS AFTER INVESTIGATION REVEALS NEARLY 25% OF NYC AREA GAS STATIONS INSPECTED ENGAGED IN DECEPTIVE PRACTICES [NY AG]
(Photo: whatatravisty )

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Consumerist-5043495 Fri, 29 Aug 2008 11:54:54 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5043495&view=rss&microfeed=true
<![CDATA[ The Legroom Party Is Officially Over At Midwest Airlines ]]> Midwest Airlines loyalists, prepare to be upset, the airline is adding 11 seats to its formerly roomy coach section. In addition to converting good seats to less good ones, they're adding a charge for the remaining quality seats.

To the press release:

Midwest Class features 40 of the airline’s extra-wide leather Signature seats in a two-by-two configuration with 35-36 inches of legroom, along with 59 newly designed leather Saver seats in a three-by-two configuration with 32 inches of legroom. The new seating design provides the greatest percentage of enhanced-comfort coach seating of any domestic airline. Passengers in both types of seats will receive the same exceptional service for which the airline is known.

"Our customers have told us they want a choice of seating, and Midwest Class enables us to respond to their needs," said Randall K. Smith, Midwest Airlines’ vice president of sales and distribution. "We will continue to offer fewer overall seats on the Boeing 717s than other airlines, which means more room and comfort for travelers."

Passengers paying select business fares will be assigned a Signature seat, if available. Leisure and sale fares will be assigned a Saver seat, with the option to request Signature seating for a $25-75 fee based on route and availability. Customers can also request Signature seating at the time of check-in, if available. All Midwest Class customers can enjoy Best Care Cuisine, the airline’s buy-onboard meal program that features chef-prepared entrees made fresh daily, and complimentary baked-onboard chocolate chip cookies on flights after 10 a.m.

Before we're too hard on them, the Milwaukee Journal Sentinel says they're down to only 23 planes after grounding 80% of their fleet due to fuel costs.

Next month, the airline will cut its route network and work force by 40 % in hopes of controlling costs and avoiding Chapter 11 bankruptcy reorganization.

The airline’s original plans included seat additions for MD-80 jets, which had made up about one-third of the company’s fleet and have since been grounded because of their poor fuel efficiency.

“They’re on life support,” said Scott Hamilton, a consultant who operates Leeham Co. out of Issaquah, Wash. “When you’re down to 23 planes, you have no reason to exist anymore.”

Smith said the new seating plan will still bring in millions more in sales, though less than the $30 million projected when the plans included more jets.

Good luck, Midwest.

Midwest’s tiered seating plan adds 11 more seats on Boeing 717s
[Milwaukee J-S] (Thanks, Brian!)
Midwest Airlines Introduces Midwest Class Seating Choice (Press Release) [Midwest Airlines]
(Photo: FlyGuy92586 )

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Consumerist-5042368 Wed, 27 Aug 2008 08:56:37 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5042368&view=rss&microfeed=true
<![CDATA[ 10 Cheapest Cars To Drive ]]> Hybrids are all the rage right now but fuel costs aren't the only thing you should be thinking about. After taking into account repairs, maintenance, and financing, these 10 cars offer great deals.

10. Suzuki SX4
9. Kia Rio
8. Toyota Corolla
7. Pontiac Vibe
6. Scion xB
5. Nissan Versa
4. Toyota Yaris
3. Hyundai Accent
2. Chevrolet Aveo
1. Honda Fit

10 Cheapest Cars To Drive [Bankrate] (Photo: yarnzombie)

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Consumerist-5041722 Mon, 25 Aug 2008 21:47:19 EDT Ben Popken http://consumerist.com/index.php?op=postcommentfeed&postId=5041722&view=rss&microfeed=true
<![CDATA[ Air Canada Cuts Inflatable Life Vests In Order To Save Fuel ]]> Airlines are cutting things like entertainment units, snacks and beverages in order to raise revenue and cut fuel costs, but what about those inflatable life vests? Do we need those? Air Canada's regional airline "Jazz" doesn't think so.

From the Nova Scotia News:

The Toronto Star reported Saturday that Jazz, Air Canada’s regional affiliate, plans to reduce fuel consumption by dropping commercial life vests from its flights, which will amount to about 25 kilograms less aboard its Dash-8 planes with 50 seats.

The move will leave passengers holding onto their seats — or at least their floating seat cushions — in the event the plane ditches and they hit the water alive.

Transport Canada regulations allow airlines to use flotation devices, a secondary option for other carriers, instead of life vests as long as the planes remain within 90 kilometres of shore. A Jazz official said a number of its East Coast routes were adjusted so the planes met that requirement, the Star reported.

One former airline CSR interviewed for the report wondered what would happen to infants and people who couldn't grab on to their seat cushions...

"If you have an infant (and) you don’t have a (life vest), you’re hanging on to the cushion," he said. "Are they saying, ‘Hang onto the cushion with one arm and your baby with another?’

"I mean, who comes up with these things?"

What do you think?

Airline ditches life vests to save on fuel [NSN](Thanks, Aaron !)

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Consumerist-5041299 Mon, 25 Aug 2008 10:48:35 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5041299&view=rss&microfeed=true
<![CDATA[ Thieves Snatch Almost $20,000 Worth Of Fuel From Gas Station ]]> Gas thieves have stolen over 5,000 gallons of fuel from the Open Pantry Citgo in Wauwatosa, WI according to WauwatosaNow.com.

The district manager of Open Pantry Citgo, 11216 W. Blue Mound Road, reported that 4,909 gallons of gas, valued at $19,374, was removed from the underground tanks sometime between July 16 and Aug. 13.

He told police the pressure of the tanks, supply and feed lines have been tested with no indication of cracks or seeping, and the petroleum supply company has verified the delivered amounts.

Police in Wauwatosa thing the culprits were customers who prepaid for their gas and then tampered with the pumps in order to "acquire more gas than the pumps should allow." Naturally, they didn't explain the details of this technique.

Gas Thieves Take Nearly 5,000 Gallons [WauwatosaNow] (Thanks, Austin!)
(Photo: northernplateguy )

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Consumerist-5039566 Wed, 20 Aug 2008 15:10:10 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5039566&view=rss&microfeed=true
<![CDATA[ The 11 <em>Least</em> Fuel Efficient Hybrids ]]> A hybrid vehicle might be more fuel efficient than the non-hybrid version of the same car, but some hybrid vehicles can get as few as 19mpg. Check out this list of the least fuel efficient hybrid vehicles before you head out to the dealership.

11 Least Fuel Efficient Hybrid Vehicles

1-2) (tie) Chrysler Aspen Hybrid & Dodge Durango Hybrid 19 MPG

3-5) (tie) Chevy Tahoe Hybrid, Lexus LS 600h L, GMC Yukon Hybrid 21 MPG

6) Lexus GS 450h 23 MPG

7-8) (tie) Lexus RX 400h, Toyota Highlander Hybrid 26 MPG

9-11) (tie) Ford Escape Hybrid, Mercury Mariner Hybrid, Mazda Tribute Hybrid 32 MPG

Hybrid Cars [HybridCars]

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Consumerist-5038449 Mon, 18 Aug 2008 15:35:45 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5038449&view=rss&microfeed=true
<![CDATA[ Pump Gas In The Morning To Save Money? Nah. ]]> Consumer Reports wants you to know that it's OK to sleep in, because you're not going to save money by pumping gas in the early morning. Why not?

The basic facts are correct, but the advice is not. Gasoline does expand and contract a little depending on its temperature. When gasoline rises from 60 to 75 degrees F, for instance, it increases in volume by 1 percent while the energy content remains the same.

But filling stations typically store their gasoline in underground tanks, where the temperature variation during the day is much less than in the air above. The result is that the temperature of the gasoline coming out of the fuel nozzle varies very little, if at all, during any 24-hour stretch at any particular station.

CR did some temperature testing at their auto test facility where they have an underground fuel tank similar to the ones that gas stations use. Here's what they found:

While the air temperature between filling varied by up to 12 degrees, the fuel in our underground tank stayed at a steady 62 degrees F. As a result, we found that after the first few gallons were pumped, the fuel temperature coming out of the nozzle varied very little between morning and afternoon.

Like a hose sitting in the sun, gasoline that was sitting in a pump and not being dispensed tended to warm up— but those few gallons didn't make much of a difference. Ultimately, CR found that there was no reason to pump in the morning.

Even with the temperature swings we saw in the first few gallons pumped at our facility, we didn’t see a big penalty for the consumer. A 15-degree difference, for example, would result in a one-percent gain in volume. Or, just a few cents difference on the first gallons pumped—not enough to change your schedule or routine in chasing costs, especially if it might increase your fuel consumption in the pursuit.

You can get the rest of the details of their testing by clicking here.

Save on gas with morning fill-ups? Don’t bet on it [CR]
(Photo: Listener42 )

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Consumerist-5035956 Tue, 12 Aug 2008 11:25:50 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5035956&view=rss&microfeed=true
<![CDATA[ Sign Of The Times: $100 "Pay At The Pump" Limit ]]> Reader Paul sends in this photo of a sign he saw at a gas station in Texas. First people were upset that gas stations were putting "outrageously high" holds of $100 on their cards when they paid at the pump. Now $100 is just the most you can buy at the pump without going inside and having them swipe your card. Sad.

Here's a Washington Post article about consumers who aren't able to fill their gas tanks for the usual (former?) "pay at the pump" limit of $75.

One expert explains:

The average station makes a profit of $60 at the pump per day, says Jeff Lenard, a spokesman for the National Association of Convenience Stores. "It's not uncommon to lose money selling gas. So the idea of losing $20 or $50 [in charge backs] is too much."
...
Stations "are faced with two bad options — allow the pump to go beyond $75 and risk not getting paid . . . or take a customer from frustrated [with gas prices] to outright anger," Lenard said.

At the Pump And Past The Limit [Washington Post]

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Consumerist-5035428 Mon, 11 Aug 2008 09:59:51 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5035428&view=rss&microfeed=true
<![CDATA[ Exxon Posts The Highest Profit Ever By Any U.S. Company In Any Industry, But It's Not Enough ]]> Exxon made $11.68 billion in the second quarter, says the AP, which is "the biggest profit from operations ever by any U.S. corporation," but that wasn't quite enough to please investors, who were disappointed.

...the results were well short of Wall Street expectations and its shares slumped 3 percent.

Apparently, earnings from competitor Royal Dutch Shell got everyone's hopes up when their profits jumped 33%. Poor Exxon.

Oil Profits Shatter Records [Huffington Post]
(Photo: whatatravisty )

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Consumerist-5031688 Thu, 31 Jul 2008 16:23:03 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5031688&view=rss&microfeed=true
<![CDATA[ Delta Increases 2nd Checked Bag Fee To $50 ]]> Delta announced today that it's doubling the fee for a second checked bag from $25 to $50, effective on new bookings starting July 31st for all travel after August 5th. Got a third, fourth, or fifth bag and a lot of money to burn? Fees for those will rise from $80 per bag to $125 each.

Delta is also raising fees on oversized items and heavy items.

First-class passengers, international travelers and elite members of Delta’s frequent-flier program will still be allowed to check two bags for free. First-class and elite travelers can check up to three bags at no charge on international flights; a third bag will now cost a coach-class passenger traveling overseas an extra $150.

Items that are 62 to 80 inches long, including athletic equipment like surfboards and skis, will cost $175 to check after Tuesday on all flights. They now cost $150.

Delta is also increasing its charges for heavy baggage, regardless of whether it is included in a free baggage allowance. A bag that weighs 51 to 70 pounds will cost the traveler $90 to check in the United States, and $150 on an international trip, up from $80.

A bag weighing from 71 to 100 pounds will cost as much as $300 to check on an international trip, compared with $150.

Although a before-and-after chart of the new fees is supposed to be available at www.delta.com, as of July 29th we couldn't find it (if you do, please post the link in the comments below).

"Delta Raises Fee for a Second Bag " [New York Times] (Thanks to Ken and Mary!)
(Photo: Getty)

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Consumerist-5030717 Tue, 29 Jul 2008 19:29:29 EDT Chris Walters http://consumerist.com/index.php?op=postcommentfeed&postId=5030717&view=rss&microfeed=true
<![CDATA[ Sorry, We Don't Know Why Our Pump Is Overcharging You ]]> Reader Matt says he bought gas from a Sunoco station in New Jersey, but the price advertised didn't match the price he was actually charged. He even "double checked" to make sure there wasn't a separate price for cash vs credit. Matt says he tried to resolve the dispute with an employee, but that the employee "just kept saying he doesn't know why it's happening. So I just snapped a picture and left." What should Matt do?

Gas stations fall under the watchful eye of New Jersey's Office of Weights and Measures, so we think Matt should report this gas station immediately. Unlike more lackadaisical government agencies, the folks at Weights and Measures are usually pretty enthusiastic about their jobs, particularly when the job involves busting shady gas stations for overcharging their customers. If something illegal is going on here, they're the ones to put a stop to it.

Here's an example of how one Consumerist reader brought down the sword of justice on a Wisconsin gas station. Now it's your turn.

New Jersey Office of Weights And Measures Contact Information [New Jersey]

UPDATE: Matt filed a report with the New Jersey Office of Weights And Measures (which he forwarded to the Consumerist), and, independently, Sunoco contacted us to confirm the location of the gas station so that they can conduct their own investigation.

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Consumerist-5027265 Mon, 21 Jul 2008 11:34:32 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5027265&view=rss&microfeed=true
<![CDATA[ What Would You Do For Free Gas? ]]> Reuters has a wrap-up of some of the wackier gas-related stories of recent weeks, including the Nevada Brothel's free-gas-card offer, a church that's holding a weekly $50 gas card drawing during mass, and an Orlando father who pledged to name his baby after local radio hosts in order to collect a $100 gas card. There's also some gas thieves in Mesquite, Texas, who are siphoning from church vehicles, but that's not so much a "wacky stunt" as a type of criminal "preemptive charity." (""All he had to do was come and ask us and we would have bought him a tank of gas," said the pastor of one church.)

This makes us think that Fox is missing out on an awesome summer reality series, where contestants must engage in increasingly stupid/humiliating activities to earn gas points. They could call it "Running on Empty," and each week the loser has to pedal off on a bicycle.

RELATED
"Nevada Brothel Offers $50 Gas Voucher To Customers"
"Can Prayer Lower Gas Prices? These People Think So"

"Sex, blood and baby names: U.S. mad for free gas" [Reuters]
(Photo of street performer: mamamusings)

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Consumerist-5026725 Fri, 18 Jul 2008 13:22:12 EDT Chris Walters http://consumerist.com/index.php?op=postcommentfeed&postId=5026725&view=rss&microfeed=true
<![CDATA[ UPDATE: MyGallons Refunding Membership Fees? ]]> Consumerist commenter doireallyneedausername forwarded us an email he got from MyGallons.com, claiming that his membership fee will be refunded because MyGallons.com cannot find a credit card processor. The email, signed by CEO Steve Verona, says that current members will get a free year of MyGallons.com when (if?) they are ever able to process transactions. Read the email inside.

Dear MyGallons Member,

We developed the MyGallons program because, like you, we wanted to help solve the problems caused by the rising price of gasoline. We are proud of what we created and look forward to providing you with this innovative service in the very near future.

Due to difficulties with a key supplier, we are unable to deliver the service we promised to you at this time. We apologize for the delay. You will be receiving a refund on your credit card for 100% of the membership fees that you have previously paid.

To express our sincere thanks for your loyalty and support, once we secure a new payment network, you will enjoy the benefits of the MyGallons program free of membership charges for your first year.

Rest assured, we are working diligently to secure a relationship with a new national card processing company. We will keep you updated every step of the way as we overcome the challenges we face together.

Sincerely,

Steven Verona
Founder and CEOMyGallons LLC

The whole MyGallons saga began when the media fell all over themselves about the gasoline hedging start-up, prompting the BBB to investigate the company's ability to process transactions at the pump.

The BBB found that MyGallons.com had no contract with a processor, telling Consumerist that USBank, the company that was touted in MyGallons.com's press release, had ultimately declined to participate.

MyGallons.com posted a notice claiming that USBank backed out. The BBB nevertheless issued a poor rating to MyGallons, because despite their lack of contract to process transactions, the company was still collecting membership fees. Later, the BBB met with MyGallons and revised their rating to NR (no rating) after the company agreed to suspend accepting new memberships.

Boy, that was one hell of a press release, wasn't it?

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Consumerist-5025473 Tue, 15 Jul 2008 15:21:55 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5025473&view=rss&microfeed=true
<![CDATA[ Federal Reserve Chairman Thinks High Gas Prices Are Here To Stay ]]> Federal Reserve Chairman Ben Bernanke told congress today that he expects the economy to stay sluggish, and was extremely pessimistic about the price of oil in the future. Despite the the airline industry's open letter to consumers claiming that speculators are driving up the price of oil and causing a commodities bubble, Bernanke doesn't agree.

From the NYT:

Mr. Bernanke was especially pessimistic about any easing of energy prices, dismissing suggestions that they were being driven by speculation in futures markets. Instead, he said high energy costs reflected the markets’ recognition that demand was outstripping supplies.

“Over the past several years, the world economy has expanded at its fastest pace in decades, leading to substantial increases in the demand for oil,” Mr. Bernanke said. “On the supply side, despite sharp increases in prices, the production of oil has risen only slightly in the past few years.”

Before Mr. Bernanke’s remarks, the Labor Department reported that wholesale prices rose 1.8 percent in June, making for the fastest 12-month inflation rate in more than a quarter century.


Economy Will Stay Sluggish, Bernanke Tells Congress
[NYT]
(AP Photo/Susan Walsh)

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Consumerist-5025466 Tue, 15 Jul 2008 14:42:24 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5025466&view=rss&microfeed=true
<![CDATA[ Is This $0.10 Credit/Debit Surcharge On Gasoline Allowed? ]]> Reader Brian wants to know how to tell a "surcharge" applied to a credit/debt card transaction vs a convenience charge?

To that end he sends this above example of a sign he saw at a gas station. Is this type of charge allowed?

Brian writes:

Under the VISA rules, how do you tell a "surcharge" applied to a credit/debt card transaction vs a convienence charge?

My wife recently went to get gas at a local gas station that was historically the highest priced gas in the area. Upon pulling up to the tanks, the actual low price was modified up by .10 a gallon for using any non-cash method of payment. Under MC/Visa rules, this looks to be prohibited, but how can you tell?

She didn't know any better and got gas there anyway, but when she got home I knew it was fishy.

Brian, you were right to think this was fishy. Gas stations are supposed to advertise a "cash discount" rather than a fee for using a credit card. This prevents people who pull over because they saw the posted price from getting an unpleasant surprise when they go to pump their gas. You should report this gas station to your credit card company.

An article from the Houston Chronicle shows that a some gas station owners don't understand their credit card contracts:

Bolduc said his contracts with the credit card companies forbid him from offering a discount for cash.

LeLacheur said some stations have contracts that allow them to offer a cash only discount and those discounts are becoming more common.

Other stations simply defy the credit-card company and let the company sue them, he said.

Visa Inc. and MasterCard Worldwide said in corporate statements that retailers, including gas stations, can offer a cash-only discount.

Visa said the cost of accepting credit cards is set by oil companies, not by Visa.

A "convenience" fee only comes in to play when the business normally doesn't accept credit cards. Clearly, this doesn't apply to gas stations.

For a more in depth explanation of the rule, click here.

Card fees can eat up profits at the pump [Houston Chronicle]

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Consumerist-5025123 Tue, 15 Jul 2008 10:33:13 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5025123&view=rss&microfeed=true
<![CDATA[ BBB Says: "Anything With 'Gas' And 'Deal' Should Set Off Alarm Bells" ]]> The BBB says the consumers should be wary of advertisements claiming to offer cheap gas for visiting a website. Paying $2.49 a gallon just for "clicking" sounds too good to be true— and it probably is.

The Arizona Daily Star explains:

But there is a catch to the radio gas deal — isn't there always? — as visitors to the site are required to provide a load of personal information.

This is followed by a seemingly endless barrage of surveys until finally visitors get the "opportunity" to apply for high-interest credit cards or to purchase book and coffee club memberships or entertainment books.
Essentially, if a person buys one of these products he or she is eligible for a gas card that will cover the difference between the actual cost of gas and $2.49 a gallon for 15 gallons. So, with gas prices hovering at $3.80 a gallon, a person would in theory get a gas card for $20.

So is it a scam?

"We are not saying that radiogasdeal.com is a scam, but we would urge consumers to use extreme caution," a BBB spokesperson said.

Here's a link to the company's BBB report.

She also went on to say consumers should be wary of any combination of the words "deal" and "gas." Good advice.

Gas-card 'deal' on radio may be no deal at all [Daily Star]

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Consumerist-5024314 Fri, 11 Jul 2008 13:29:19 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5024314&view=rss&microfeed=true
<![CDATA[ UPDATE: MyGallons.com Suspends Accepting Membership Fees ]]> After acknowledging that it did not have a contract in place to process transactions, gasoline-hedging service MyGallons.com has suspended accepting membership fees and placed the current fees in a non-interest bearing escrow account, says the BBB. Read the BBB's findings inside.

The BBB says:

The Better Business Bureau challenged the company’s advertising regarding their offer, and the company met with the Better Business Bureau on July 9, 2008 and has modified it claims. The company’s merchant services provider, PowerPay, has assured the Bureau that membership fees processed by them on behalf of MyGallons.com customers have been placed in a non-interest bearing escrow account. As of this date Mygallons.com acknowledges it does not have a contract in place with a vendor who can process transactions with gas stations across the country, and they have suspended accepting membership fees. The Bureau will issue a new report as the company’s evaluation continues.

MyGallons.com had originally claimed to be partnered with US Bank, but an investigation by the BBB revealed that that program had ended and that MyGallons.com was operating without a contract in place. The BBB has amended MyGallons rating from "F" to "NR" or "No Rating."

MyGallons LLC [BBB](Thanks, Teresa!)

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Consumerist-5024279 Fri, 11 Jul 2008 12:28:49 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5024279&view=rss&microfeed=true
<![CDATA[ Northwest Airlines is cutting 2,500 jobs. ... ]]> Northwest Airlines is cutting 2,500 jobs. Passengers may be asked to get out and push to help the plane taxi. [NYT]

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Consumerist-5023738 Thu, 10 Jul 2008 08:37:58 EDT Ben Popken http://consumerist.com/index.php?op=postcommentfeed&postId=5023738&view=rss&microfeed=true
<![CDATA[ See How Soaring Gas Prices Have Impacted Your Community With This Transportation Cost Heat Map ]]> The Center for Neighborhood Technology has an fun (but painfully slow) interactive map that will allow you to see how soaring transportation costs are impacting different metro areas across the US.

We grabbed these images of Chicago as an example. As you can see, the percentage of income that people are dedicating to transportation has grown — especially in more rural areas. The site also has an interactive map of the Housing and Transportation Affordability Index (below)— so you can see where people are dedicating less than 45% (shown in yellow) of their income to housing and transportation. Living in the city never looked so good.

Housing + Transportation Affordability Index [CNT]

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Consumerist-5023479 Wed, 09 Jul 2008 15:11:10 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5023479&view=rss&microfeed=true
<![CDATA[ The WSJ Buzzwatch blog has a list of 50 things ... ]]> The WSJ Buzzwatch blog has a list of 50 things that are being blamed on the high cost of oil. Not all of them are bad, apparently my hometown of Elgin, IL is getting a new wind-turbine parts plant. [WSJ Buzzwatch via Kottke]

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Consumerist-5022732 Mon, 07 Jul 2008 18:29:12 EDT Meg Marco http://consumerist.com/index.php?op=postcommentfeed&postId=5022732&view=rss&microfeed=true