UNITED IS AT IT AGAIN

Just read the latest ploy by UAL to increase their bottom line. They have announced that they will “transfer credit card merchant fees to selected travel agencies,” effective date July 20. The  World Travel Agents Associations Alliance (WTAAA) is shocked and perplexed. It seems that card merchant fee agreements prohibit a merchant from passing along any fees to the consumer for using a credit card. So how can they do this??

PASS IT ON TO THE TRAVEL AGENCIES

UAL is saying that these “selected travel agencies” will have to use their OWN merchant card agreements to issue tickets…which means that those fees will be passed along to the customer. So, it looks to me like UAL is thinking “better the travel agent take the heat than the airline.” Who thinks up these ideas? And what part of the universe did they come from?

WTAAA chair Mike Hatton commented:

“It will be interesting to see if any other airline will follow United’s lead and incur both distribution system and consumer wrath” Hatton continued, “ and it will also be interesting to see what action credit card companies take in the face of this attempt to circumvent the terms of their merchant agreements and penalize their individual card holders”.

WHAT DOES THE CUSTOMER DO?

Hatton added:

“Consumers too will make an individual decision as to whether they are prepared to pay an additional fee for the privilege of purchasing a United Airlines ticket using their personal credit card.” The WTAAA also urged United Airlines to reconsider its’ position in relation to their announcement concerning this matter.

The flying public is taking it on the chin these days. There seems to be no end to the ways in which airlines are tacking on extra fees. It’s really misleading to read an advertised fare (say, $300 round-trip to London) only to learn that the fees and taxes are close to $400.

When clients would call me at the travel agency for a price, they got the TOTAL price. The airlines gradually weaned people away from agencies so they would book directly on the Internet. (A HUGE cost savings to them.) I feel sorry for consumers who can’t understand the whole pricing system today. The airlines should be ashamed of themselves.