Airline debit card fees up 600%

The cost of using a debit or credit card to book flights with some airlines has gone up by over 600 per cent in the past 18 months, according to new research from Which? Holiday.

Ryanair is one of the worst offenders, charging 614 per cent more than it did 18 months ago for debit card transactions, increasing fees from 70p to £5 per person each way, while using a credit card has gone from £2 to £5 per person each way.

It now costs 471 per cent more to use a debit card to pay for a flight with Wizz compared to 18 months ago. In February 2007 the fee levied for using a debit card was 70p per person each way, but the airline now charges £4 per person each way.

Thomas Cook UK now charges £10 per booking for using a debit card and First Choice customers pay £2.50, when 18 months ago neither airline levied a charge.

However, Which? Holiday found that it’s not all bad news for consumers. There is now no charge levied for debit card payment by bmiBaby, whereas 18 months ago it was a one per cent charge.

And Virgin Atlantic has changed its policy to charge 1.3 per cent of the total booking for credit card payments, instead of £3 per person.

“We understand that there is a charge to airlines for taking payment for flights with debit or credit cards and that this cost will be passed on to consumers,” commented Lorna Cowan, editor or Which? Holiday.

“But how can some of these airlines justify charging over 600 per cent more than they did 18 months ago?

“The amount charged by the airlines should be reflective of the costs incurred by them.

“This does not appear to be the case with current charges, and we are concerned that airlines may be using them as a way of boosting profits.”

A spokesperson for Ryanair said customers can avoid paying card fees by using a Visa Electron card, and 20 million passengers did so each year.

"It is all about personal choice. Passengers can avoid fees by using Visa Electron or not booking.

"Passengers are not kept up at night worrying about credit card fees."

He added Ryanair's higher fees covered the overheads of creating a secure website and other overheads.

"BA says it doesn't charge fees, but it is all factored into the fare, the same with the coffee and newspapers they offer," he said.

He added the airline in the business of selling seats, and people can travel for a €5 seat if they pay with a Visa Electron and take no luggage for the hold.

First Choice, easyjet, Flybe, Jet2, Monarch, Ryanair and Thomson Airways do not charge for using Visa Electron. BA doesn’t charge for using a debit card to pay for flights.

travelbite.co.uk staff