UPS Surcharges: The 5 Most Common Fees

Posted in Shipping Refund Info, UPS Guarantee and tagged , on

You might think shipping a box through UPS is as easy as taking it to a local office, paying the cost and letting the system pass it along, but it is not quite that simple. In fact, your box has nearly a dozen surcharges factored into the cost of shipping it. This matters when you consider how much money you should be refunded when UPS makes a shipment error that impacts the guaranteed arrival time of your package. The five most common and frustratingly expensive UPS surcharges drive up the price of shipping.

1. Fuel: These UPS surcharges hit home for most people as the cost of gas continues to rise at an alarming rate. As of July 4th 2011, the surcharge on any package transported over land was 9.5%. Air transport saw a small relief in their fuel charge, going down from 16% to 14.5%. Numerous other hidden fees account for fuel surcharges that make shipping especially costly.

2. Address Correction: UPS does offer address correction, which can help a package make its intended destination, but you could not expect such a service without a fee. UPS charges one dollar for this convenience. It does benefit the shipper, but is a cost that can be avoided by careful double-checking. Address correction makes up a surprisingly high percent of UPS revenue for seeming such a benign charge. Always look twice before putting that box in the mail.

3. Extended-Area Delivery: UPS proudly ships all over the United States and if you need to get a box to small-town Nebraska or Wyoming, it’s not a problem, but there are surcharges for such rural delivery. These charges are the third-largest revenue for UPS, and chances are, if you are mailing your package to a remote area, it will encounter an additional fee. Again, convenience does not come free.

4. Security: Airfreight through UPS has to endure security checks, because of global concerns about terrorism and other hazards. Because of this, UPS adds a surcharge for security.

5. Peak Season Delivery: During Christmas, it is not cheap to ship, and more expensive than the same package would be in say, August. Because of the increased package traffic and increased demand, a small percentage increase is added to compensate for the extra hands and hassle.

With every little jot and tittle accounted for, if UPS makes a shipping error, you may be entitled to sizeable UPS refunds. Using a tracking intermediary like Package Fox to assure proper delivery or compensation is a great way to stay competitive as a shipper.

Are you sending a out bunch of FedEx or UPS shipments every month? Chances are your invoices contain refund opportunities. Let PackageFox help you save some money.

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