Ryanair is adding a 2% charge to credit card bookings on top of its £6 ‘admin’ fee from 30 November.
Passengers using a debit card will not have to pay the 2%, but from 30 November everyone apart from customers in Germany, Ireland and Spain using the Cash Passport will have to pay a £6 (or €6) each-way admin fee.
Ryanair said it was introducing the fee to comply with the agreement it reached with the Office of Fair Trading (OFT) following Which?’s super complaint on debit and credit card surcharges.
Debit and credit card fees
The OFT ruling said any charges for debit cards should be included in the headline price, and any credit card surcharges should be made clear from the start of the booking process rather than added later. The OFT took action following a Which? campaign to ban excessive card surcharges.
Which? executive director Richard Lloyd said: ‘The Office of Fair Trading should keep a close eye on all airlines to make sure they stick to their agreement to include all unavoidable charges in the headline price and make credit card surcharges clear from the start of the booking process, so that consumers can easily compare prices. We expect the OFT to take swift action if Ryanair, or any airline, is found to be breaching this agreement.
‘More than 50,000 people supported our campaign to end rip-off surcharges. The Government must now meet its promise to ban excessive surcharges, and make sure any charges are a genuine reflection of the cost of processing a payment. Once the ban is in place, we want to see a tough enforcement regime to hold firms to account.”
Transparent card fees
A spokesman for the OFT said its agreement with the airlines does not require any airline to introduce new payment charges, increase their credit card charges or scrap any discounts.
‘We took action to make sure debit card charges are included in the headline price and credit card charges are transparent, and not sprung on shoppers towards the end of the booking process.’
Ryanair’s changes mean that people using its Cash Passport will no longer be able to avoid the admin fee, which the airline says is to cover costs associated with its website. Customers in Germany and Ireland using the Cash Passport will have to pay the admin fee from February 2013 and those in Spain from March 2013.
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