American Airlines announced today that they’re raising checked baggage fees by $5, effective February 1st. Your first bag will now cost $25, and your second one will cost $35. If you want to check a third bag, you will have to buy the airplane (cash or certified checks only), and if you want to check a fourth bag, you will have to endure a phone call from AA’s CEO Gerard Arpey, where he will cry at you and say he doesn’t know how to run a company and he’s scared. He only made $8.9 million in total compensation last year, so cut him some slack. [More]
fees
AT&T Announces Proposed Settlement Over ETF Class Action Lawsuit
By 1.15.10
Chris wrote in to us this afternoon, “I found this gem in my AT&T wireless inbox [today]. I received no notification it was there, just happened to notice that I had a new message from AT&T online.” It’s an announcement that AT&T Mobility has arranged a proposed settlement over a class-action lawsuit concerning early termination fees. If it’s approved, there’ll be a settlement fund created from which AT&T customers “may receive monetary or other benefits.” [More]
Google And T-Mobile Will Charge Up To $550 To Break Your Nexus One Contract
By 1.13.10
If you’re interested in the new Google/HTC Nexus One smartphone with a T-Mobile contract and can look past the problematic 3G access and buck-passing technical support, that’s great. Just, before you go through with the purchase, make sure you really, really like the phone and the service. Because, according to the Android fan site Phandroid, T-Mobile and Google have partnered up to charge you as much as $550 in “equipment recovery” and early termination fees. Update: T-Mobile has confirmed that they will be charging their own ETF on top of Google’s fee. [More]
Here's A Possible Way To Avoid Citibank's New Account Fees
By 1.12.10
Next month, Citibank will implement its new $7.50 fee on what were formerly free checking and savings accounts. The only way to avoid the fee is to keep a total of $1500 minimum in your linked accounts. John wrote in to tell us that when he went to his branch and asked about the new fee, they found a way to get around it. It may not work for anyone else, but it’s worth sharing. [More]
Delta Hikes Bag Fees: $23 For 1st, $32 for 2nd
By 1.12.10
Delta has increased its checked baggage fees, effective today. Your first bag now costs $23 and your second, $32, up from $15 and $25, respectively. [More]
Gov To Hit Banks With New Fees
By 1.11.10
The White House could be planning to start charging banks new fees as a way to trim the deficit, get paid back for the bailout, and teach bankers a lesson they hasn’t sunk in yet. What?! A fee on banks? You’re crazy. Only banks are allowed to make up fees. [More]
Buying Things In Puerto Rico Is Apparently "International" Commerce
By 1.11.10
So, Puerto Rico is a self-governing unincorporated territory of the United States. Its head of state is Barack Obama. Its currency is the US Dollar. So why is one of Chris Elliott’s readers being charged an international transaction fee on her Visa? [More]
Why Aren't Cellphones Under Warranty For The Duration Of Your Contract?
By 1.11.10
Adam got a bad iPhone that stopped providing some key functions–he can’t make calls on it, for example–18 months into ownership. He didn’t buy Applecare when he purchased it, which would have covered him during the second year of his contract. But that shouldn’t matter, he argues: “[Why isn’t it] incumbent upon a device maker to guarantee a product’s proper function for–at the very least–the length of the contract required at purchase?” [More]
Sprint Imposes $5 Monthly Fee Because You Might Pay Late
By 1.10.10
If you have a spending limit on your Sprint account because of your credit history, or in order to prevent runaway data bills, as of today you’ll have to pay for that privilege. Sprint has imposed a $4.99 per month surcharge on all mobile phone accounts that have spending limits in place. [More]
Apartment Complex Says "Use This Cable Company Or Pay Us $40 Per Month"
By 1.8.10
The FCC has made it clear that apartment complexes can’t force residents to use a specific cable company, but Amy Davis at KPRC in Houston reports that there’s a sneaky way to get around this restriction. The residents of one Houston apartment complex don’t have to go with the building’s chosen provider, but if they opt out they’ll have to pay an extra $40 per month for trash and water. [More]
Best Buy Bans Visa Contactless Payment Over High Fees
By 1.6.10
If you buy something with your Visa card at Best Buy, you’ll have to go the old fashioned route, comparatively speaking, and swipe it. Visa demands that contactless payments have to be signed, which is more profitable for Visa but not for Best Buy. Visa refused to change their policy, so Best Buy says it will no longer allow customers to pay that way, reports StorefrontBacktalk. Mastercard doesn’t ban PINs on contactless payments and will continue to be an option. [More]
Sign The Slip Or Enter Your PIN? The Difference Is Fees
By 1.5.10
The NYT has an interesting article about what does on behind the scenes when you make a purchase at a retailer with your VISA debit card. You typically have two choices — you can enter your PIN or choose to sign. When you sign the retailer has to pay higher fees to VISA. [More]
BoA Explains Fees With Pretty Lady On Talking Website
By 1.4.10
Bank of America launched a new sub-site to help explain their banking penalties to fee-curious customers. I always feel safer when my website talks to me and pretends to be alive so Bank of America has also included “Janet,” a walking talking video actor to help guide me through the process. I appreciate that she is wearing no belt. It sends the signal, “hey, we’re keeping it cas.” [More]
Banks Ring In 2010 With Exciting New Fees
By 1.2.10
New laws and rules affecting banks and credit card issuers go into effect soon, depriving them of their badly needed profits. Since sudden rate hikes and cascading overdraft fees are soon to be things of the past, bankers are busy formulating creative new fees. Here’s what you have to look forward to in the new year. [More]
Watch Out For Undisclosed Resort Fees When Using Sites Like Priceline
By 12.28.09
Travel consumer advocate Christopher Elliott has a new post about an undisclosed $15/day “resort fee” that Trump International Hotel Las Vegas plans to tack onto a customer’s bill. The surprise is that the customer reserved the room through Priceline, and thought when he made the reservation that Priceline was telling him the final room rate. [More]
FCC Commissioner Says She's Not Happy With Verizon's ETF And Billing Explanations
By 12.24.09
At least one official with the FCC is not impressed by Verizon’s latest explanations of its Early Termination Fees (ETFs) and Mobile Web billing practices. Commissioner Mignon Clyburn released a statement (pdf) last night where she called Verizon’s explanation “unsatisfying” and “troubling,” and she closed with the fighting words, “I look forward to exploring this issue in greater depth with my colleagues in the New Year.” [More]
Verizon Denies It Charges You $2 Each Time You Mistakenly Press A Certain Button On Your Phone
By 12.22.09
Last month, David Pogue at the New York Times published a tip from a self-described Verizon employee. The employee accused Verizon of deliberately rigging its system to trap customers whenever they accidentally press the “Get It Now” or “Mobile Web” buttons on their phones–even if they cancel the operation immediately, they’re charged a fee of $1.99 each time. Both Pogue and the FCC asked Verizon to explain why this happens. Verizon’s response: it doesn’t, and Pogue and the hundreds of people who wrote in to confirm this practice are all crazy. [More]
Beware Secret Surcharges On USPS Mail At UPS Stores
By 12.21.09
UPS lets you send USPS Priority Mail at their walk-in locations, but a New York Times investigation found Manhattan locations charging up to 140% more for the favor. [More]
