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Sleazy Business Practice #1,523,047 -- XM Radio

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Dec. 20th, 2009 | 02:33 pm

As I was about to renew an satellite radio subscription, I went through the list of fees and found the prices unchanged.  But, as I click through to checkout there's a new line:

U.S. Music Royalty Fee      $21.79.


I cannot buy the satellite radio subscription without this "fee". 

So, how do they get away with claiming one price and then adding in a "fee" later. 
Maybe the subscription should be $0 and then there's a $100 satellite operation "fee", a $25 on-air talent fee, a $30 "cost recovery" fee, ...


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Comments {2}

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from: abqdan
date: Dec. 21st, 2009 02:15 am (UTC)

Same as cellphone companies, and landlines - all these extra fees. Some of which exist, some are only in the imagination of the marketing dept.

This one happens to be a result of legislation passed by Congress a while back, so in that sense, it's legitimate; but I prefer them to keep all that to themselves, and just quote the bottom line fee.

In the UK, store owners are required to display the price, including all fees/taxes. I've seen a couple of stores locally starting to do that here - they advertise "never any sales tax" when in fact they are simply backing out the sales tax from the price they charge. Going in, you know exactly what you are going to pay. Although you are still paying the tax, it's good to know exactly what the cost is up front.

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