It’s 10am on the day when tickets for the long-awaited concert go on sale.
We expect things to sell out quickly, so open multiple tabs on your computer, move from tab to tab, and press the next button. “search” For tickets.
Finally, secure two great seats on the arena’s lower deck and complete your purchase within minutes. Thanks to the additional charge, “Convenience,” “service” and “Order processing” A ticket that I expected to cost about $500 out of my wallet now costs about $600.
A recent survey by Consumer Reports found that most Americans have faced some form of hidden fee in the past few years, and 96% of those who have had to deal with it say the fee is extremely onerous. I understand that you feel that way. The only surprising thing is that it wasn’t unanimous that they were annoyed.
It’s not just concert tickets that are burdened with additional fees. Businesses such as hotels, resorts, airlines, landlords, and cable TV providers use them. Pennsylvania Attorney General Michelle Henry told the U.S. Senate Banking Committee last summer: “Junk fee” It throws obstacles in the way of consumers shopping for the best price.
A report released this week by Pennsylvania Sen. Bob Casey’s office explains this:
“If you search for a coat online, you’ll find Cheap Gear Shop selling it for $50, while Honest Clothes Mart sells the same item for $60. It’s understandable that the mom would want to buy the cheaper option, but after entering all of her billing and shipping information, she discovers that Cheap Gear Shop requires a $7.50 “shipping fee.” Cheap Gear Shop also charges a 4% “credit card processing fee” even though there is no other way to purchase a coat from this online store. There’s also a 5% “online service fee,” but it’s unclear where that money will go.
When buying from Cheap Gear Shop, moms on a budget will pay $62 for the coat instead of the $60 upfront price at Honest Clothing Mart, which has no fees. This type of pricing disadvantages both the seemingly expensive consumer and the honest seller, but benefits the seller who hides information. ”
Many American consumers, especially those living paycheck to paycheck, are burdened by bank overdraft fees, which can add $25 to $40 to the cost of a purchase. It’s estimated that the nation’s largest banks collect $8 billion in overdraft fees each year, and the CEO of one Minnesota bank named his boat after overdraft. It has become a big profit. The Consumer Financial Protection Bureau (CFPB) has proposed rules that would limit overdraft fees that banks can only break even on.
Rohit Chopra, head of the CFPB, said in October: “Americans are willing to pay competitive prices for great products because that’s how a fair economy works.” Part of that fairness should be blunt honesty about the price consumers actually have to pay for what they buy.
