Airlines and hotels have built huge businesses on America’s uncapped card fees, but rarely talk about what makes them possible.
The 2% fee refers to the additional charge added by airlines and hotels that is often linked to credit card processing costs.
Uncapped card fees can lead to higher prices for travelers as businesses pass on the costs associated with card transactions.
Airlines and hotels may avoid discussing these fees to prevent backlash from consumers and to maintain their profit margins.
The fee has allowed airlines and hotels to build substantial revenue streams, contributing to the overall growth of the American travel industry.