Frequent Flyer Miles to be Worthless?
#31




Join Date: Nov 2007
Programs: Marriott Bonvoy Platinum, Hilton Honors Diamond, Delta Gold
Posts: 6,662
Thanks for this info. I will do my homework when booking award tickets and try to book through airports with lower fees. Also, I noticed that the taxes and fees shown on expedia.com are totally different than those shown or charged when booking directly with the airline - besides for their $5 fee; the fees directly with the airline could be significantly less than just $5. I recently had this experience when booking a CO flight for both my husband and myself. I used onepass miles for one and paid $33 in fees and TYP (which buys their tickets from expedia) for the other and paid over $75 in fees - identical classes, intineraries, and flights; I didn't gripe about the expedia fees since it was still A LOT less than paying full price!
#33
FlyerTalk Evangelist


Join Date: Jul 2003
Location: Florida
Posts: 30,343
Thanks for this info. I will do my homework when booking award tickets and try to book through airports with lower fees. Also, I noticed that the taxes and fees shown on expedia.com are totally different than those shown or charged when booking directly with the airline - besides for their $5 fee; the fees directly with the airline could be significantly less than just $5. I recently had this experience when booking a CO flight for both my husband and myself. I used onepass miles for one and paid $33 in fees and TYP (which buys their tickets from expedia) for the other and paid over $75 in fees - identical classes, intineraries, and flights; I didn't gripe about the expedia fees since it was still A LOT less than paying full price!
US Airlines include the Federal Excise Tax in the price you see. Therefore the add-on tax and fee are lower than what Expedia shows.
Award tickets, as well as tickets bought by travel vouchers, are not subject to Federal Excise Tax.
Such variances have been discussed multiple times in the Other Credit Card forum. Do a search there you will find lots of actual calculation examples to illustrate the issue.
Of course, that Expedia price does not include Federal Excise Tax, means that when one redeem TYP ticket, one has to pay a higher tax & fee, than one would if purchase directly from airline.
#35
FlyerTalk Evangelist




Join Date: Jan 2005
Location: home = LAX
Posts: 26,113
These "consolidator" fares may, in turn, have lower fees simply because they were bought in bulk weeks or months earlier, when the fees might have been lower.

