In case you needed yet another incentive to cram all your travel items into a carry-on, Delta Airlines just boosted the cost of your first checked bag by 17%. The increase adds $5 to the previous, and not-exactly-insignificant, $30 fee for domestic flights.
Delta is the third major U.S. carrier to hike bag fees in the past several weeks. Its move follows similar increases that American Airlines and United Airlines announced in February, three days apart; those high fees themselves followed fee hikes by smaller carriers Alaska Airlines and JetBlue Airways. Major U.S. carriers often copy one another’s pricing changes, a move that behavior analysts sometimes refer to as herd instinct.
Delta said Tuesday that the first bag checked on a domestic flight will now incur a $35 fee. The charge for a second bag rose from $40 to $45.
Delta last raised bag fees for domestic flights in 2018. The airline said the increase will help it keep up with unspecified rising industry costs. Customers with status perks can still check their first bag for free; those with first class tickets can check two free bags.
Bag fees have become a dependable source of revenue for airlines since American introduced them in 2008, when jet fuel prices were surging. In 2022, the last full year for which statistics are available, U.S. airlines took in $6.8 billion in checked-bag fees, led by American at $1.4 billion and United at $1.1 billion. Delta was in third place with $979.4 million.
With the election behind us, many are wondering what the next four years look like for the US economy. Drew Pettit, from Citi Group joins Cheddar to discuss.
Jeff Ostrowski, Mortgage & Housing Analyst at Bankrate, discusses mortgage rates in America and how the housing market will change under a second Trump term.
The NAACP has entered the VC space with a new fund that will invest in startups and fund managers that are focused on closing gaps facing communities of color.
Can a layoff lead to your next big thing? Issie Lapowsky, contributor for Inc. Magazine and Alphonzo Terrell, co-founder and CEO of Spill join us to discuss.
Meet Scorpion, the latest, Nvidia-powered service robot from Richtech Robotics which crafts personalized cocktails and wine selections based on your mood
Gina Heeb, finance reporter at The Wall Street Journal, joins us to discuss the current state of the real estate market and when things may turn around. Watch!
Managing Editor at Tom's Guide, Kate Kozuch, joins Cheddar to explain how Apple's AirPods now work as hearing aids and what she thinks of Apple Intelligence.
