Raise your hand if you can relate: You’re researching places to stay on your next trip. You find a gem of a vacation rental—and <gasp> at a reasonable price. You click through the site to book, only to find yourself pausing when you see the total amount. How did your reasonably priced accommodations suddenly skyrocket to way—way—outside your budget? Answer: junk fees.
From accommodations to airfare to experiences, travelers are often charged these extra fees—turning a once-appealing travel deal into a dealbreaker.
Not sure what junk fees are, where they crop up, or how to avoid them? Let’s take a look at all of the above to help you save on your next trip.
What are junk fees?
Junk fees are unexpected or sometimes hidden fees that inflate the final cost of what you thought you were paying for a product or service. These fees are often tacked on at the end of the purchasing process, resulting in a significantly higher amount than what was advertised up front.
Junk fees are prevalent in a wide variety of industries, including banking (think ATM or overdraft fees); credit card (e.g., late payment fees); entertainment (like surcharges for concert tickets); and travel (think resort fees).
What are common junk fees travelers should look out for?
You might keep a close eye on added fees when it comes to everyday expenses, but when you’re traveling, there are plenty of opportunities for hidden fees to add up.
Travelers should look out for junk fees when:
- Booking airfare: Many airlines charge passengers for “extras,” such as advanced seat assignment, checking a bag, or baggage that exceeds the weight limit. Some carriers also charge for printing boarding passes, carry-on luggage, and in-flight amenities (such as food and drink).
- Booking accommodations: Junk fees are often included in the final price of accommodations—but not always in the upfront price tag. For example, hotels sometimes charge guests a daily resort fee (made known upon check-in). Likewise, vacation rentals might tack on extra charges, like cleaning fees or service charges, that drive the original price of your stay skyward.
- Purchasing tickets to experiences/events: Traveling for an event such as a concert or game? You might see extra fees tacked on to the original cost of your ticket.
- Spending with a credit card: If you’re using a credit card that charges for foreign transactions, you’ll get hit with a fee every time you swipe or tap while on an international trip.
- Withdrawing cash: Your bank might charge you a fee to make withdrawals with your debit card when you’re outside your home country. (They could charge you for using your debit card to pay for things, too.)
Related reading: How to Save Money on Travel With TripIt
How to spot—and avoid—junk fees on your next trip
Now that you know how junk fees can eat away at your travel budget, here are five tips for avoiding them on your next trip.
1. Always read the fine print before booking
When it comes to avoiding junk fees, your first line of defense is your attention to detail. For example, if you're booking a vacation rental, be sure to read all of the booking details, including the cancellation policy (e.g., you could get charged for canceling outside of a certain window), pet policy (again, more fees), party policy, and so on. This will help you not only calculate the total cost, but also avoid a guest snafu (that comes at a price).
2. Compare costs across competitors
Another way to avoid surprise fees, especially when it comes to airfare, is to compare costs across providers. For example, if there are several airlines that fly to your intended destination, it’s worth going through the booking process to see how much the total cost would be for each of your options.
While the low-cost airline might seem more attractive initially—with their inexpensive base fare—you might find another airline’s total cost to be more economical once you account for checked bags and booking your seats in advance (all things a low-cost airline might charge you extra for).
3. Book with providers that show upfront pricing
Event companies like Live Nation (parent company of Ticketmaster) and SeatGeek have committed to showing all-in pricing upfront so that consumers purchasing tickets to shows, concerts, sporting events, and more will know exactly what they’re paying from the get-go. Likewise, some travel companies (such as Airbnb) have also changed their policies to show travelers total costs upfront
While these changes haven't eliminated the existence of junk fees, they will help travelers be aware of their total bill ahead of booking.
4. Choose a credit card that waives foreign transaction fees
There are many travel credit cards available that offer no foreign transaction fees. Yes, many come with an annual fee. So, shop around. Find a travel credit card that suits your travel budget and style. That way, you'll know what you’re paying up front (annual fee) and won't be surprised by any extra dollar signs on your credit card bill come month end.
5. Find the best deal on local currency
Hint: It’s not at the airport.
It might mean ordering your destination’s currency in advance at your home bank. It might mean withdrawing from a partner bank in your destination. Either way, shop around to find the best deal on local currency, so you can avoid losing money in a last-minute exchange.
