Airline Passengers Face Multitude Of Fees

Airlines are being squeezed. Between high fuel costs and demand for low airfares, airlines are turning to fees to make extra money. Most are charging for checked bags, soft drinks and even pillows and blankets.

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And I'm Renee Montagne.

Airlines say they're getting squeezed tighter than a passenger in a middle seat. They're pinched by high fuel costs on the one hand, and demand for low air fares on the other, and that's why they're charging fees of all kinds to make an extra buck.

NPR's Yuki Noguchi reports on how they make you pay after you've paid for your ticket.

YUKI NOGUCHI: This pretty much says it all. Last week, U.S. Airways started charging $2 for soft drinks.

Ms. ANA ROBLEY(ph) (Airline Customer): My uncle, he's all like here, take all this food with you so you didn't have to pay for it onboard, because then it's ridiculous how much they charge you.

NOGUCHI: Ana Robley said it's getting harder to travel on a budget. Charges for everything are going up: changing a ticket, redeeming frequent-flyer miles. All those fees increased.

Northwest broke new ground when it started charging up to $35 extra for coach seats with a little extra leg room. And of course, there's the new checked-bag fees. American, Northwest, United and U.S. Air all either charge or plan to charge $15 for the first checked bag.

On Delta, your first bag is free, but the second will cost you $50. JetBlue said this week it will charge $7 for pillows and blankets. You do get to keep them. All that pocket change must add up, right? Sure, to the tune of several hundred million dollars annually. But actually, it all goes toward fuel, says Airline Business magazine editor David Field.

Mr. DAVID FIELD (Editor, Airline Business Magazine): If you look at the estimates each airline makes of how much the fees will bring in, it's not that much, and it's not enough to get the airlines out of the very deep hole that they're in now.

NOGUCHI: Now there are still deals. Alaska Air lets you check three bags, free, if you happen to be traveling within that state. Southwest Airlines is the lone holdout among large carriers without such a fee for bags. Southwest isn't shy about playing up this fact. In this ad, a man boards a plane, only to find he needs to feed coin slots to use the overhead compartment, to lean back in his seat and lower his tray table.

(Soundbite of television advertisement)

(Soundbite of music)

Unidentified Announcer: Tired of being nickeled and dimed by other airlines?

Unidentified Person: Is this your first flight?

Ms. ASHLEY ROGERS (Spokeswoman, Southwest Airlines): We're not going to charge you for things that we already offer for free.

NOGUCHI: Southwest spokeswoman Ashley Rogers. They still give kids coloring books for free, she says. Her definition of in-flight entertainment is a bit of a stretch.

Ms. ROGERS: We think our flight attendants offer their own entertainment to the customers.

NOGUCHI: Oh, and Midwest Airlines still bakes cookies in the air - for free.

Unidentified Man (Midwest Airlines): You get two. Everyone gets two.

NOGUCHI: Can you get three?

(Soundbite of laughter)

Unidentified Man: Well, we try to frown upon that, but if people ask, and if there's some sort of compelling reason, I'm sure that we'd probably relent.

NOGUCHI: So that's the deal. You may be paying extra elsewhere, but if you're lucky, you get a free cookie. Yuki Noguchi, NPR News, Washington.

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Your Flight Plan: How To Find Cheaper Airfares

Air travel isn't getting any easier. Fare and fee increases, overbookings and long delays are taking a toll on the traveling public. Sticker shock has many consumers planning ahead — researching and purchasing tickets further in advance to find the best discounts.

Increases in fares to popular destinations can mean that travelers pay almost two times what they paid a year ago. For example, the cost of a round-trip ticket from Chicago to New York on United on Aug. 1 was $258, according to FareCompare.com. A year ago the cost was $138.

But one sign of relief occurred this week: Airlines began their fall sales, which typically last just a few days for booking travel through mid-November.

Here, a look at what travel experts say consumers can expect to find in the terminals and on the runways this fall, along with tips for finding the best fares online.

What To Expect

Fare Increases

"The average fare has been up this summer as much as 15 percent year over year," says Amy Ziff, the editor at large for Travelocity.com. Ziff says airfare hikes for the autumn may be less dramatic: The average fare for the fall is up about 8 percent compared with where it was last year, she says — a $342 average domestic airfare for September through Nov. 15, compared with $300 for the same period last year.

Fewer Flights

Marisa Thompson, an equity analyst for Morningstar, says airlines are reducing capacity — which means that in the fall and winter, consumers will start to see reduced flight availability and therefore fewer travel options. Smaller regional markets will be hardest hit, she says.

A Delta spokeswoman said the airline's domestic capacity in the third quarter will be reduced by 11-13 percent, compared with the same period last year. By contrast, she says Delta's international capacity will increase by 16-18 percent.

Getting Bumped

According to the Department of Transportation, 15,049 passengers were involuntarily bumped from flights for the second quarter of 2008 (April through June); that's down from the 18,389 bumped during the same period last year. An involuntary bump occurs when a passenger does not accept an airline's compensation. If a passenger accepts any compensation — whether it's a round-trip ticket or some amount of money — then it becomes voluntary.

"The reason that airlines overbook flights is that people don't show up," says David Castelveter, a spokesman for the Air Transport Association. He says airlines engage in this practice because the "product is perishable."

Even so, this summer the load factor — or the number of people airlines book on a flight — was "outrageous," says Tom Parsons, editor of BestFares.com. He expects this to taper off in the fall.

Meanwhile, passenger rights advocate Kate Hanni, founder of the Coalition for an Airline Passengers' Bill of Rights, says a trend has emerged whereby passengers are getting bumped without any compensation. She says airlines are overselling seats and lengthening the amount of time that passengers need to be at the airport prior to a flight: "If you're one minute late, you're not only denied access to the plane but also denied boarding compensation."

To top it off, Hanni says, her coalition has received many complaints from passengers whose bags were sent ahead of them. She says these incidents started happening in May, when many airlines started charging fees for checked baggage and the Department of Transportation issued a new rule that doubled bumping compensation for travelers.

Tips For Finding Better Fares

With fuel costs soaring, airlines will have to raise fares to keep pace, says industry spokesman Castelveter. But you can take steps to help minimize the impact on your pocketbook:

Sign Up For Fare Alerts

These services help you keep on top of fare changes before you buy.Travelocity.com allows you to pick up to 10 destinations to track. Members can be notified when airfares go up or down by $25, or they can customize the dollar amount.

Explore Bundles

Sometimes it's possible to get a lower airfare by purchasing it in conjunction with hotels and a rental car. That's because travel Web sites can get negotiated wholesale prices for airfare, hotels and rental cars. Parsons of BestFares.com advises consumers to do the math — sometimes it might be worth it to bundle, even if you don't use the hotel or rental car.

Research The Best Time To Fly

Expedia.com's trend tracker displays the least expensive time to travel to a given destination and tracks average airfares for a given route over the past three years. Expedia also offers a calendar service that displays the lowest fares available in a monthly calendar format.

Compare Flights To Nearby Airports

BestFares.com lets you compare flights to alternative airports near your destination. Taking public transportation, such as a bus or train, from that airport, or renting a car and driving, could save you money.

Book Early

Travelocity.com's Ziff says people are booking flights on average four days earlier for the fall season than they did last year. She suggests people book earlier than 21 days in advance to find the best prices.

Be Flexible With Travel Dates

Most travel Web sites allow you to check pricing on alternative dates once you've plugged in your itinerary. If you're flexible with your dates of departure and return, you might find a better deal.

Buy When Tickets Go On Sale

Despite the reduction in flights expected this fall, Parsons thinks there is "plenty of wiggle room for the airlines to cut fares compared to what we've seen in the summer." But he cautions consumers to hold off purchasing until the right time: "You should not be buying unless you know there's a sale."

To understand whether there's a real sale going on, he suggests you price the dates that you want to fly, then look up the price for the same itinerary for a date that is five months later. (The time frame for airline sales is typically three to four months.)

Parsons says some airlines typically begin their sales late on Tuesdays, but savvy shoppers allow other airlines to react. So that may mean waiting until Wednesday or Thursday to make a purchase.

Comparison Shop

Passenger rights advocate Hanni recommends that people consult more than one Web site before purchasing fares online.

Don't Forget Your Frequent-Flier Miles

Check to make sure your miles won't expire anytime soon. Many people rack up additional miles by taking flights with more connections, says Hanni.

Understand The Fees

Kayak.com has an airline fees table that shows additional costs travelers may face, including checked-baggage fees.

Take Steps To Avoid Getting Bumped

When you purchase a ticket, make sure it comes with a seat assignment. Always print boarding passes all the way through — including all connecting flights. If you don't have a seat assignment printed on your ticket, you are "the most likely candidate to be bumped, to not get on that flight — but your baggage will," Hanni says.

Make sure you arrive at the airport early. Add at least a half-hour of buffer time.

If you don't have a seat assignment, be wary of curbside check-in because your bags may depart without you.

As an additional protection, pay with a credit card. Hanni says credit card companies will "fight for you if you're bumped and you don't get your bumping compensation."

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