Are Consumers Paying More To Send Mail At U.P.S. Stores?

As the Christmas holiday approaches many consumers are avoiding long lines at their U.S. post offices by mailing their holiday cards and gifts at their local United Parcel Service (“UPS”) store.  At your local UPS store, consumers can send their mail by U.S. mail as well as through UPS.  But according to a New York Times article, UPS clerks do not always tell customers that they may be paying a hidden surcharge when they send mail by U.S. mail.

The New York Times sent reporters posing as customers to several UPS stores.  These “customers” wanted to mail items by U.S. Postal Priority Mail.  In nearly every instance, they were quoted prices well above the U.S. postal rate and, most importantly, only one reporter was actually told that the he or she was paying a premium for using a UPS store.

For example, one UPS store said it would cost $21 to send an 8 lb. package by U.S. Priority Mail.  As such, the UPS clerk suggested using UPS Ground instead for $19.90.  In fact, the same package shipped from a U.S. post office costs $8.80, and would arrive at the same time as the more expensive UPS Ground shipment.  And the only notice that The New York Times’ reporters found at the UPS stores was a notation on the receipt – which a customer receives after the purchase – that reads, “U.S. Postal Rates Are Subject to Surcharge.”  There is, however, no notice of the amount of the surcharge or how it is computed.

“I think there’s a natural assumption on the part of the consumer that if you’re sending something through the U.S. Postal Service, even when it’s from another store, you’re not paying more, and if you are paying more, it’s just a pittance,” said Tod Marks, a senior editor at Consumer Reports.  Moreover, consumers should be given notice prior to paying that they are being charged a surcharge.

If you shipped mail from a UPS store by opting to use and pay for U.S. Postal service, and were charged a surcharge as a result, please contact us to discuss your legal options.