Paying with a credit card just got a bit more expensive on Air New Zealand. Starting on December 15th, Air New Zealand will charge NZ$2 per person per one-way journey for domestic flights paid for by credit card, $5 for shorthaul flights and $10 for longhaul flights. Round-the-world and circle fares will be treated as return journeys (thereby incurring a $20 surcahrge).
It’s sad to see a legacy carrier like Air New Zealand pull a Ryanair stunt, but with competitors like Virgin Blue and Jetstar levying similar fees, it is tough to blame them.
Thankfully, no U.S. airline–even the notorious Spirit Airlines–has tried to add a credit card fee yet. Let’s hope it stays that way.
(Tip of the hat to Musings of a Global Traveler)
I believe that many US credit card processing agreements prohibit surcharges for credit cards or discounts for cash purchases. That doesn’t mean smaller entities within the US don’t get away with it, but I suspect Visa/MC/Amex would put some heavy pressure on if a national carrier were to do so.
In addition to the merchant agreements, it seems a number of state laws prohibit this practice.
@Dan: I hope you are correct. It would make sense.