AusBN – Airlines Jetstar and Virgin have been found guilty of deceiving customers over the price of booking airfares over the internet.
The Australian Competition and Consumer Commission (ACCC) took the airlines to court last year for “drip pricing” – where the true cost of an airfare is only revealed at the last stage of booking.
ACCC chairman Rod Sims said the airlines’ hidden booking and service fees were substantial when added on to the low airfares advertised.
“The billing fee was right towards the end of the process and the judge found that was false and misleading conduct,” he said.
Up to $8.50 was added to Jetstar orders, and up to $7.70 to Virgin orders.
Jetstar responded by saying it had made changes to make it clear at every stage of the booking process what fees might be added on.
Virgin said it was reviewing the judgement and “considering its position on this aspect”.