British people pay over £400 in hidden charges and booking fees every year, study finds
Insurance companies appear to be the worst offenders, with people on average spending £37.81 a year on unexpected costs
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Your support makes all the difference.Britons will pay an average of £416 each year in hidden charges and booking fees, a study has found.
Researchers polled 2,000 adults in the UK and found they spend around £35 a month on added charges when making travel bookings, purchasing gig tickets, and making transactions abroad as well as part of other expenses.
Insurance companies appear to be the worst offenders, with people on average spending £37.81 a year on unexpected charges.
The study also found people pay out around £12 a year in transaction fees for making online purchases.
The study was conducted by online boiler company BOXT.
Alan Dickinson, the sales and marketing director, said: “We all pay out plenty of money each month to keep our lives rolling on.
“So it’s frustrating to think you’ve got all your money sorted out, only to find that there’s a hidden charge or a fee you hadn’t realised was incoming.
“From mortgage payments or rent through to buying groceries and clothing, our bank balances are always in a battle to stay above the red line.
“Consumers increasingly want more convenience and clarity for what they are buying.
“Our research shows that simple and honest pricing is the only way businesses can get ahead in a world where your brand can be hurt on social media in an instant.”
The research also found that British people spend more than £22 a year on top of the basic price on extra fees for gig or event tickets.
Hotel bookings are liable to cost more than £30 more than first advertised, once all extra charges are added on.
The study found that one in three have made a complaint over a hidden charge or additional fee and four in 10 have cancelled a payment or booking because of them.
A further 37 per cent have considered complaining to their vendor, but haven’t gone through with it, with 23 per cent saying they were too busy to express their frustration.
Eight in 10 of those polled admit to being frustrated by hidden charges and 67 per cent believe they shouldn’t be added late on in a payment process.
Just under one in 10 have complained through social media about hidden fees.
One in 20 respondents have been hit with extra charges between £81-£100 on a single transaction.
The study revealed that the vast majority of people would prefer a service or product where all costs were announced upfront – even if this put the price up.
Three-quarters of respondents said they are less likely to buy a product or service again if they incur hidden costs or additional charges.
Breakdown of a year of extra payments
Late fees: £9.96
Transaction fees online: £11.23
Transaction fees abroad: £10.42
Booking a suitcase on a flight: £12.64
Paying for extra weight on a suitcase: £7.91
Paying for a seat on a flight: £14.97
Paying to change names on a flight: £7.75
Paying to change flight dates/destination: £8.64
TV subscriptions: £27.42
Broadband: £35.81
Event/gig tickets: £22.32
Hotel bookings: £30.23
Hotel costs on arrival such as minibar: £10.43
Car hire: £13.48
Insurance: £37.81
Credit or debit card fees: £15.49
Overnight/fast delivery fees: £10.74
General delivery fees: £17.54
Booking fees: £14.51
Overdraft fees: £14.18
Running over data fees: £10.63
Customer service call charges: £11.67
Fee to ensure your hand luggage doesn’t go in the hold on a flight: £8.25
Compulsory tipping/service charge: £16.17
Call out fees for contractors like plumbers, electricians etc: £13.92
Emergency fee for contractors: £11.13
Fees for additional work not quoted for when using contractors: £11.37
Total: £416.62
SWNS
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