My disappointment is immeasurable when I do the math in my head “$150 x 2 will be $300” then I see the actual total.

I’m generally a “free market” guy. Companies competing based on price and quality is a win for the consumer. But underlying that term “free market” there is an assumption of a “well regulated” free market. With NO regulations, the free market could look like Game of Thrones with Khaleesi laying waste to her competitors with a fire-breathing dragon.

We’re seeing the rise of a ton of these “junk fees”. You see an advertised price, go to buy, then SURPRISE, random additional fees you’re required to pay at checkout. Some of my least favorite junk fees are the mandatory “resort fee” at hotels, the “staff fee” at restaurants, and the bevy of unavoidable up charges tacked on my many airlines. WHY ISN’T THAT STUFF BAKED INTO THE ADVERTISED PRICE?

So while I’m a “free market” guy, I think these junk fees are in need of some “well regulation” or else the market is at risk of slipping into a race to be the most deceptive to consumers.

CONVENIENTLY, our current federal government is working on this! The Biden administration along with the FTC is proposing a ban on these hidden junk fees. I personally would LOVE to live in a world where when looking for a hotel or vacation home, the advertised nightly rate fits this equation:

NIGHTLY RATE = TOTAL AMOUNT YOU PAY / NUMBER OF NIGHTS YOU STAY THERE

That makes way more sense to me than advertising a single unknown portion of some percent of the underlying nightly cost. HOW SILLY.

Anyway, demand better from your businesses! @airbnb, I think showing anything other than the formula above is a total disservice to your customers and generally companies that are dicks to their customers don’t tend to fare so well over time.

As always, reminding you to build wealth by following the two PFC rules: 1.) Live below your means and 2.) Invest early and often.

-Jeremy

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By: Gabriela Gonzalez
Title: Airbnb and their hidden junk fees
Sourced From: www.personalfinanceclub.com/airbnb-and-their-hidden-junk-fees/
Published Date: Tue, 04 Jun 2024 17:38:52 +0000

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