markis10
Veteran Member
- Joined
- Nov 25, 2004
- Posts
- 30,392
They are not shown upfront because no one is forced into them, they are avoidable by paying cash. The best comparison is to the hotel front desk: when checking in you will always present your CC for the deposit, and when checking out they all have the little sign on the counter "Please note CC fees of 1% to 2.5% blah blah", these fees are never added to the room rate upfront as you can choose your payment method when checking out.
The Admin Fee (at Hertz and at Avis, and all the others) is not avoidable, therefore included in the upfront price. Just 2 different ways of presenting it to the customer, who in 99.9% of cases will not take notice at all.
The ability to avoid the fees is irrelevant though when it comes to action under the TPA, it must be clearly stated that the estimate if for cash only and payment by credit card will result in a different price, I refer to the ACCCs info on fair trading in the rental car market:
Just like KMs, a CC charge is avoidable, but as per the above it must be stated in a clear fashion, as someone who rents 60 times a year, your example of the hotel rings true, I always see the sign when checking in, but never when collecting a hertz car nor is the charge verbally noted!What happens if you cannot calculate all the charges at the time of the representation?
Where the final price will be a mixture of quantifiable and non-quantifiable charges, you must state the single figure and indicate that it does not include all components of the price.
For example, if you have a surcharge based on the number of kilometres the customer drives, you should add that to the daily rate. Obviously this cannot be quantified at the time of advertising because you do not know how many kilometres the customer will drive. In this example, you would state:
• the single total price, which includes all fees and charges the customer must pay
• in a clear fashion, that a surcharge will be added to the price after calculation and indicate how that calculation will be performed.
http://www.accc.gov.au/content/item...&fn=Fair trading in the rental car sector.pdf