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Some airlines are introducing “cashless cabins,” forcing travellers to purchase drinks and meals with a swipe rather than currency.


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Flying with plastic makes a new low

February 25, 2010

Everyone by now knows that many major airlines slap on a surcharge for travellers who pay with their credit card. But now some airlines are introducing “cashless cabins,” forcing travellers to purchase drinks and meals with a swipe rather than currency.

Which may cost a fee.

Purchasing consumables in flight with a credit or debit card is already mandatory with American, United, and Southwest airlines, who are now being joined by Delta, Continental, and Northwest. Cabin crews carry small processing devices and anyone without plastic is also out of luck.

European econo-carrier Ryanair is considering requiring payment for the other facility, as well, although there’s been no decision yet regarding coins or EFTPOS. One hopes they don’t install a slot machine for toilet paper by-the-square.

Perhaps travellers wouldn’t mind being forced to pay for such services with their credit or debit cards if those companies didn’t charge fees for the privileges of international transactions and currency conversions. Note that being aboard a U.S. airline is no different from being on U.S. soil for these transactions, and the cost of a bottle of water could balloon to something astronomical.

Although Australian airlines haven’t yet followed their U.S. counterparts’ example, history suggests it’s most likely when not if.

Increasingly, airlines are narrowing payment options for travellers, passing on credit and even debit card transaction costs as surcharges to guide payment toward lower-cost systems such as direct debit.

A new system of payment called POLi, now utilised by Air New Zealand, Virgin Blue, and Jetstar, allows travellers to pay for bookings through their online banking platform with a debit directly from their accounts. POLi is similar to Paypal in that it carries no fees, is easy to use and convenient, and protects personal and banking data from the transaction counterparty.

Source: http://www.smh.com.au/

Flying with plastic makes a new low
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