When Reese Alutto booked a flight from an American Airlines ticket counter a few days ago, she expected the price she was quoted would be the price she paid.
But a few days later, she noticed an unexpected $30 charge from the airline on her credit card. There was no explanation. What kind of games was American playing?
Alutto emailed me for help. I wondered: Did she book by phone? Did anyone warn her about the extra fee? Was AA testing a new fee at that airport?
The answers in a moment.
Here are the details of Alutto’s fee encounter:
I missed a flight from San Francisco to Washington this past Friday — the Friday after Thanksgiving.
I immediately looked at a travel site on my Blackberry, and learned that the only remaining flight that would get me from San Francisco to DC that day was leaving in about an hour, in another terminal. Since getting to DC that day was a must, my fiance (who had resigned himself to being stranded overnight at SFO) quickly paid for WiFi, while I tried to reserve the flight on my laptop.
I was able to “hold” the flight, but not purchase it. After clicking through a confirmation email, I learned that I couldn’t purchase it anywhere but a ticket counter, because it was less than two hours before the flight. I rushed to the new terminal, arriving at the American Airlines counter less than an hour before the flight. The very helpful gate agent completed my purchase, printed my boarding pass, and rushing me through security. I was so thrilled with him that I planned to write to American Airlinse to thank them for saving my trip.
And then I got my credit card bill. There were three charges…one for the flight, one for some in-flight snacks, and another $30 charge that I couldn’t place. I went and looked at the receipts that I was provided at the ticket counter, and found two: one for my ticket, and one for an “Airport Service Fee.”
Since I didn’t check a bag, I have no idea what this fee was for. Was for the privilege of walking up to the counter to buy my ticket (which I was given no choice but to do)? Could it have been for use of the “priority rewards” security checkpoint? I have no idea. I know it isn’t a huge fee — and if I had been told at the ticket counter that it was necessary to get me on that plane, I surely would have paid it. But the lack of disclosure has me feeling a bit duped.
I contacted American Airlines and asked about the “Airport Service Fee.” Its answer?
There is a fee for booking with an agent at the airport. This should have been explained to the customer, but it sounds as though it wasn’t.
I would encourage the customer to write in the Customer Relations.
She did. Here’s American Airlines’ reply:
We understand your objection to the service charge that applies to tickets issued through our reservations offices and airport locations. These types of service charges are common in many industries and are becoming increasingly so in the airline business. We collect this service charge so that we can continue to offer full services and remain competitive.
We offer a no service charge alternative on AA.com. If, however, you prefer to rely on the more specialized services offered by our reservations and airport personnel, then we hope you will continue to find value in purchasing your tickets in that manner.
Thank you again for taking the time to comment on this issue. Your business is very much appreciated.
I have to confess that I’m as surprised as Alutto by this fee. I thought American charged for phone bookings, but not in person. Wrong.
What does she think of American’s answer?
I understand that there are fees for not booking online. My point was three-fold:
1) I attempted to book online, but was not permitted to do so, because the flight was less than two hours away.I simply received an email saying the tickets were being held, and was told to proceed to the ticket counter. So, I was given no choice but to buy my ticket that way.
2) While AA is certainly within its rights to charge a fee for purchasing at the counter (even if I have no choice), this should have been disclosed to me in the email confirming the tickets were being held. There apparently was no way that this $30 was NOT going to be charged: I couldn’t pay anywhere except at the ticket counter, and $30 is charged for tickets purchased at the ticket counter. As such, failing to disclose this fee to me in the confirmation email was a bit deceptive.
3) At the very least, I should have been told orally at the ticket counter. While I understand that the ticket agent was rushing me through my purchase (for which I am thankful), and he did provide me with a receipt, I had every reason to believe that I would only be charged the $418 that was listed as the one-way ticket price (including taxes and fees), in the confirmation email I had received only 15 minutes earlier.
These are all perfectly valid points. American should refund her $30. And incidents like these should encourage Senators to vote for the Clear Airfares Act of 2009, which would require airlines to disclose all fees and taxes up-front.
(Photo: riacale/Flickr Creative Commons)
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{ 26 comments… read them below or add one }
Frontier does not charge a ticketing fee if flights cannot be booked online, within 2 hours of departure, or if paying by cash. I believe the purpose of this fee is to encourage people to book online, however, most airlines don’t make exceptions if you cannot book online.
I agree with all the points but I can see the wiggle room in the first two. However the third point, where she received a receipt that did NOT reflect the charge…that is ridiculous! Otherwise, what is the point of a receipt except to accurately reflect the purchase made? What if Target was like oh, yeah we charged tax later, or something? That is just inexcusable.
American Airlines has been charging a ticket counter fee for tickets issued for many years!! I have even been charged that fee when making use of a travel voucher which I received from them for having taken a bump off of a flight, or having been bumped (I can’t recall). That in and of itself AMAZED me as I again was already either being kind in taking the bump so another traveler could travel or was inconvenienced at the time so why would they then charge me a $30 fee to make use of a voucher they gave me. Their answer to me at the ticket counter was that I could have mailed it in to make use of it??? UGH. Why would I take the chance of losing it via the USPS which is notorious for mail getting misplaced or paying $$$ to overnight it to them etc. It’s just another sign of the times that you need to be internet savvy and don’t plan on making last minute decisions when it comes to traveling these days. Hmmm, maybe driving has something to be said for it. I realize in the above instance the distance precluded the traveler from making that choice and all in all it was the traveler who missed the flight and rushed the agent so getting the $30 additional charge shouldn’t seem to outrageous to her. Next time, slow it down, make your flight or take the time before you sign for anything to ask the question is that the total charge that I will see on my credit card??? Did they make her sign for the $30?? I believe that they normally do which then signifies she should have known about it.
If AA doesn’t refund it, I say dispute it with the Credit Card company and make AA provide a signed reciept agreeing to the charges…
No signature for the $30…dispute the charge. The charge for using a DBC or other inconvenience voucher? More reason not to accept them and, if there is a serious service issue, go to Small Claims Court and demand reimbursement via cheque.
I agree with Kevin’s idea. On one hand, $30 isn’t that much money, but on the other it definitely should have been disclosed to her when she was paying and shown on her receipt.
I think Mr Elliott already said it all “American should refund her $30. And incidents like these should encourage Senators to vote for the Clear Airfares Act of 2009, which would require airlines to disclose all fees and taxes up-front.”
There is no excuse for not disclosing this fee, and when the airline offers you no other choice but to use their walk up counter, the fee should be waived. Heck, she was already paying probably double what everyone else on the flight paid simply because she was a walk up… Why did the airline feel the need to dip into her pocketbook even further? there must be a tax advantage for the airline to charge these fees to customers who walk up for tickets at the last minute or they would just build the fees into the ticket price. its not like someone who walks up to the counter for a flight 2 hours later is going to do a whole lot of shopping around.
Looks like we have an – OPPS – forgot to charge you situation. If thats the case then A A should eat the mistake. The bottom line is this charge should have been included in the final price.
Dispute the charge with your credit card co. No vender should be allowed to institute a charge without your signature – Let them prove you agreed to the charge.
The receipt that you both agreed to was $418.00 So be it!
SHAME on AA and ANY OTHER airline that practices ANY deception, or creates a situation which forces a customer to pay for a basic service which is part of day-to-day operations, such as purchasing a ticket at the airport. How long will our politicians allow this fleecing to continue? How long will we, the customers, allow this?
There is some misinformation in the OPs letter
1. When you make a purchase at an American ticket counter, they generally have you sign a credit card receipt for each separate item. One for the flight, one for any upgrades you need, etc. I am going to assume that the ticket fee was signed for but the OP probably didn’tnotice in the haste and confusion.
2. For domestic flights, many of the in-person fees can be avoided by using the automated Kiosks. So the OP could probably have still avoided the charge by purchasing at a Kiosk.
Although this fee is poorly presented, it’s one of the most justifiable fees. An electronic books costs less than a live booking. Therefore, the person who is willing to foregoe dealing with a live human should pay less than someone who uses more resources.
Absolutely dispute the charge if AA refuses to refund. Make AA prove where the fee is clearly disclosed and where she signed an agreement to be charged for it. At the very least it should have been on the receipt.
Is the airline industry is the ONLY industry that makes you PAY for the privilege of giving them business?? If I look online for an item at retail store, then go to an actual store location to pay for it, the store does not charge me a fee to use their cashiers. If I choose a cashier over a self-service kiosk at a grocery, I don’t get a “cashier” fee on my grocery tab.
And, “waiving” fees for frequent flyers like me does not make me think any better of the airlines. Talk about discouraging people from flying more…nickel and dime passengers to death, then cry to the government for more handouts because your business model is terrible.
Is there NO airline executive out there who is willing to fix this nonsense?
I, too, once had a similar experience with AA. They charged me a $50 fee, after issuing me a receipt, did not disclose the charge to me, and I had no idea until I received my credit card statement. I called customer service and worked my way up the chain of command, but to no avail.
Next, I disputed the charge with my credit card company, which ruled in my favor. Apparently AA didn’t like that, they sent the matter to a collection agency.
Good luck!
I’m hoping (praying?) to use AA miles for an ‘open jaw’ trip in 2010. The AA web site informed me it could not book the itinerary I wanted and I would have to go to phone contact. Then, of course, they charged me for agent service.
What’s wrong with this picture?
I will say that even though the fee doesn’t bother me, I think that’s its inappropriate to charge a fee if the transaction cannot be performed online through no fault of the customer.
I think they should not charge the fee if it is too late to buy the ticket online.
At the very least, they should have disclosed it.
This is why I only fly Southwest Airlines.
@Greg N – excellent illustration of how inane this $30 fee is!
I operate under the assumption that American Airlines, United Airlines, Delta Airlines, and USAirlines doesn’t want my business. As such, they don’t get it. Even if I have to fly to an airport and drive a rental the rest of the way because Southwest doesn’t go to my final destination.
What’s sad is how SIMPLE it would be for any of those legacy carriers to get my business back! Stop charging for booking a ticket with a human being, stop charging me for checking luggage (especially when I don’t get a refund when the airline LOSES said luggage), don’t charge me $9.00 for a sandwich in-flight ($3.50 might be reasonable), and give the flight attendants and TSA an attitude adjustment. (What other industry pre-supposes that all of its customers are terrorists?)
I’ve said this before, and I’ll say it again: the first airline to break out and start offering (i) real genuine customer service; (ii) a pleasant inflight experience with ample leg room and free onboard food/drink; (iii) transparent fares; and (iv) a demonstrable understanding of the fundamental point that their customers’ business is what keeps them flying, will get my business — even if their tickets cost twice what other airlines charge.
Some online stores selling tangible items such as…gasp…diet tea drinks also do that. I called one store one time to order via phone when my ‘Net wasn’t working, and was told there’s an extra fee for that.
Thanked the agent and declined.
Par for the course when you’re dealing with them.
What will keep them competitive is to be understanding and to provide maximum customer service. Ya think that would do it???
@EricR
Alas, the traveling public has proven you completely wrong. The traveling public has made it loud and clear that despite their protestations, tickets are purchased primarily on price. This was proven once again when customers didn’t reward American for adding 3 inches of legroom (increasing from 31 to 34 inches). American was forced to removed those inches later to remain competitive
We complain and moan, but at the end of the day, we click on whichever fare comes up cheapest.
@Carver – I don’t consider 3 more inches of leg room enough justification for spending more money on American Airlines. The public is savvy enough to know that, even with that extra leg room, flying on American Airlines will still suck, so that doesn’t change consumers’ spending habits.
But give me Disney/Amazon.com-like customer service, as few nonsensical security hassles as possible, no fees for anything at all, and those 3 inches of leg room, and that might do it. Add to that mix some planes that appear less like inner-city buses, with real widescreen flat-panel overhead TVs for the movies, and the return of complimentary pillows/blankets, and you’ve got a winner.
I do realize that MAXJet Airlines went bankrupt attempting to provide an all-business class product, but I’m not talking about that level of luxury in coach. I just want to complete a flight and walk off the plane with a smile on my face instead of 12 hours of pent up rage! If an airline could provide that, I’d pay for it!
If anything, EricR, it depends what the “public” can afford, and what airlines can afford to give to meet that. Whatever public is being referred to, anyway.
“Welcome to McDonald’s. Your burger is $4.18. The service charge to sell you the burger is another 30 cents.”
Sound ridiculous?
I might buy a burger that is $4.48 but if McDonald’s asked me to pay 30 cents for the privilege of buying their food, I’d suggest where they could shove their burger. Are you listening, American?
If the agent at the airport told you there would be an aiddional $30. ticketing fee, or for that matter had the fee been disclosed in the on line booking that held the tiekcet and seat for you, would you have bought the ticket and flown anyway?
I read somewhere that in some states, if the merchant loses a credit card dispute, it is violating its credit card agreement if it sends the matter to collections.
EricR
I respectfully disagree. Having traveled on many airlines, I much prefer American Airlines. Three inches doesn’t sound like much, but when you consider that the distance between the seat edge and the back of the seat in front of you averages 6 inches, another 3 inches is like adding 50 percent more leg room. The addition was greated with rave reviews.
While you would pay for the additions that you mentioned, the public has proven that it won’t
A similar situation happened to us a few years ago on AA. My husband wanted to purchase a bereavement fare to attend his counsin’s funeral in Richmond, VA. This couldn’t be done on the internet…it had to be done over the phone. AA happily charged us a fee (don’t remember what it was back then) for booking over the phone. I was furious. It wasn’t that I was too lazy to do it myself on the internet. They didn’t provide me the opportunity to do it myself! How dare they charge me to do something that I would have gladly done myself if they had only allowed me to! I argued the case with the reservations agent, but my words fell on deaf ears. Again, it was a small amount…less the the $30 charged the OP. But it’s a matter of principal. And to take advantage of people at a time when people are grieving the loss of a relative is totally insensitive.