Big bags mean big bucks for the airlines
According to The LA Times, American carriers made more than $1 billion last year from additional fees on checked baggage. That was more than double from the year before. Airlines are so hip to this that they’re hiking the fees up even more. So, plan ahead and pack light.
United Airlines, the first major carrier to begin charging for checked bags that otherwise was included in the airfare, said this week that it was raising the bag by $5 to up to $20 for the first bag and $30 for the second.
Travelers can keep paying the current price if they prepay online. The fee increase takes affect for domestic flights beginning June 10 and applies to economy tickets bought on or after May 14.
More Fees Please!
This concept is catching on as United’s hike follows US Airways, which is increasing the bag fees by $5 for those who don’t prepay on its website. As if that’s not enough, in July, Delta Air Lines, the world’s largest carrier will begin charging international passengers a $50 fee to check a second bag. The fee is the first on overseas flights by a major U.S. airline.
The extra revenues from the new bag fees have helped soften the blow of losing billions of dollars in the aftermath of high fuel prices last summer and the recent economic downturn in travel that began last fall.
With more airlines adding or hiking bag fees, revenues could exceed $3.5 billion this year, according to Airline Information LLC, a Miami-based management consulting firm.
Source: LA Times
Karen
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