Sneaky fees: How restaurants, gift cards and tourist attractions are costing you more (Marketplace)
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- Опубликовано: 9 фев 2023
- Ever notice an additional fee on your restaurant bill? Or a lower balance on your gift card? A CBC Marketplace hidden camera investigation tackles three sneaky fees that make your bill cost more. We look at who benefits from the tourism fees in Niagara Falls, how some gift cards lose value over time and why a chain restaurant charge isn’t sitting well with some diners.
Read more: www.cbc.ca/1.6739759
#Restaurants #Investigation #CBCMarketplace
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The businesses that DON'T charge the extra fees should put signs in their windows to the effect "NO tourist tax charged here."
That would be an effective ad!
This is a good idea
Its funny how rest of the world are not changing tourist taxes
I'd be willing to bet that they just build a fee right into the price.
@@chocolatefaerie Oh but they are. Las Vegas is one of the worst for it. The "Resort Fee" can be more than the room price itself. There are only a handful of places in Vegas that don't charge the fee. For example, The Four Queens actually use "no fees" in their marketing to great effect.
I liked how the mayor blamed the tourist for being scammed. And yet they wonder why Niagara Falls is struggling.
It’s always someone else’s fault. Effin politicians… 🤬
Niagara Falls is disgusting. I've never been anywhere nearly as humid and I live at the edge of an actual freaking rainforest. And it's so boring and commercialized! I could visit the same stores in West Ed Mall and never have to feel so wet with sweat like I'd just had a shower.
Small business owner, who happen to get elected.
I live in N.F. We hate the mayor
classic blaming the tourists
Kudos to all of the workers who were honest about what the tax was
They are just tired of getting asked what this additional charge is. Most ppl are already paying a lot in inflation and exorbitant tips asking.
Most workers only know what the boss tells them. Blame the CEOs not the minimum wage service workers.
It's not that they weren't being honest, they just recited what was told to them...
I am a citizen of the United States,
I learn more from Marketplace than I do from any other show in my country.
Thank you Marketplace!
Market Place is perhaps the one unbiased news from CBC (the propaganda arm of the liberal party of Canada)
Get angry, Sue, and tell your senator or congressperson to lean on the U.S. media industry to give you programs like this one (why doesn't PBS have a show like this?)
Same here, Sue. I am now going to look closer at the gift cards I give my Father for Christmas and other holidays. I hope these fees did not harm him like they did with the consumer in the video.
I subscribed to this channel for that very reason !
Sadly, all the crazy taxes Canada is charging right now is what we learn from the US 😢
The worst part of this is the owners telling their employees to lie to people knowing full well the employees are gonna be the ones dealing with the lie.
The mayor obviously supports the added fees.
The reason is quite obv the residents don't really go to those tourist trap areas and as such, they don't care in fact it benefits them indirectly as the extra money tourists pay of it goes to the city via taxes. So only tourists are really losing and those people don't vote for the Niagara Falls City Council...
Because, anything to do with "tax" is revenue which goes towards his office/department.
@@charlolel the residents do. But they will wave the fee if they show ID. Done it at TGIF
He’s corrupt!
@@Labi_woof wow I didnt know that
Went to Niagara falls years ago and saw extra fees/taxes charged from two restaurants we went to. We already knew something was going on when the name of the extra fee and the amount was different from restaurant to restaurant. When we go home, we looked up the fees and found out they were not mandatory. Even though Niagara falls is driving distance, we just never went back.
Maybe the US side has less extortion fees. At least they tell you the fees before you book in the US. I've always seen the resort fees before I booked.
@@dannydaw59, the U.S. side doesn't have this tourist trap area designed to take your money.
Just take it out of the tips you otherwise would have been given and tell the staff that is why their tips are so low or absent. Eventually no one will want to work at restaurants there and it'll force the business' hand.
I suggest you go back but only visit businesses that don't charge those fees.
@@sunflash101 When we went to Niagara falls a few years ago that's what we did and we are never going back to that massive tourist trap lmao. We travelled a lot and I have never seen such a massive tourist trap it adds up quite fast the prices are already higher because its a tourist area and it's like a tax on top of the tax.
Kudos to all the hotel / restaurant workers who spoke up about how unfair these tourist taxes are.
They can speak up all they want, it's not going to change anything... They still work for these awful companies that charge ridiculous fees. Maybe if everyone quit, THEN they would be forced to do something...
Truly we live in parody world. 13% tax, 10% maintenance fee 15% tip, that's 43% if they compound each other. We should just ban all additional fees, the price is what the price is, any background fees or taxes or costs the employer can handle and justify the price as such.
Well why doesn’t the opposition in government proclaim to end is if they get voted into government?
@@paulsz6194 because they won't. PCs are only for the rich corporations
As these are not legislated 'taxes', you can legally refuse to pay them. I live in a city that thrives on tourism, and do it all the time. Just refuse; you'll usually get an 'okay then' and it gets taken off the bill. Nothing but a cash grab from the unknowing.
This makes me not want to travel anywhere. These companies are greedy! Can you talk about prepaid cell phone minutes and how Telus rips off their customers?
CBC now investigates city mayor for possible tax kickbacks.
Was in Australia earlier this year and for the most part you pay what's listed on the catalog/websites of the company. No additional taxes, GST, PST, TF, MST, etc etc. That way as a consumer I can decide if i wanna go ahead with that purchase of product or service. Here in Canada even when we buy one product and pay 3 different taxes. Federal and or provincial authorities need to wake up and fix this madness.
You do pay our GST, but it is within the price. Many receipts will show what part of a given payment was GST though.
So if you buy a big packet of corn chip for $5, the GST is already added to that $5 cost. So the chips actually cost $4.55 and $0.45 GST, for a total of $5
Staple items (Milk, fruit, veggies as examples) are GST free. So that kilo of Bannanas for 2.99 is, $2.99 and $0.00 GST
@@Knightyme thats precisely the pricing model we want here. Include all xST to the final price published on the catalog and display shelves.
They are awake, counting all the ripped off money 😂
I was born and raised in NF and my family has been there since the 1700’s but it has become nothing less than a center of greed preying on tourists. The only time I’ll move back is for my funeral. It is depressing to see the changes that have taken place destroying the fabric of a once wonderful community.
Where do you live now, Tim?
I agree
This is not going to change until people stop spending money
Do you spend money? Or does someone else spend it for you ?
Stop spending money at the places that extort tourists.
@@dannydaw59 all places do this in one way or another. So no more travelling then?
Stop going to Niagara Falls. Once they see tourism is down, they may change.
@TechFollower, the thing to do is _not to go to Niagara Falls_ anymore.
I would just say I'm not paying and tell them they can sue me. It's not disclosed until after the bill is due.
The reason I see these fees as a prolem is that it makes a bad problem worse. Taxes are already charged after the ticket price, which obfuscates the cost of products. Having multiple fees and taxes charged after consumption of a meal is, from my perspective, a nickel and dime entrapment facilitated by the local government to enrich their political allies.
Exactly. Would make much more sense to mandate pricing to be all inclusive (of taxes and fees). It’s done like that in most of the world. Much more transparent.
totally agree. that same mayor who was talking in the video is benefiting from that personally. Also when he mentioned that he has a business. dude you are mayor that should be your only business, he is corrupt obviously. I would say we gotta be careful and pay more attention to receipts . If we see something weird ask to pay it back or… Im calling John Wick , guns, more guns)
Do one on outrageous and ridiculous tipping trend in Canada and how as a country, we can shift away from this practice like rest of the world.
Obviously the city could pass a bylaw if they wanted to, banning these bs fees.
They won't as the tourism operators have been in city hall's back pocket for half a century.
I ate at a restaurant they charged $23.65 because there were six of us. We are a very low matience group. We had a $50 dollar tip. We left a $25 tip. The other half was on the bill already. Hate those xtra charges
That's the thing with these extra charges, many people just take it off the tip they were going to give ending up as a way for the buisiness to cyphon tip money from the servers that are already paid less than the minimum and live by the tips, actually insane.
I appreciate your program on gift cards. I, too, received a Visa gift card for my 80th birthday three years ago and when I went to use a while later it there was no money left on it! Talk about stealing!!
5:48 & 19:45 - If owners and businesses want to be honest call it the "Greed Fee." Can't get any more transparent than this.
It’s fascinating there is no lawsuit against those businesses, simply speechless. City and provincial government just stand there and watch the robbery under sunlight😂
That's what you get under a neocon government like the one we have, again.
Needs more class action groups.
They charge because they can. Niagara Falls is just a tourist trap - one we avoid whenever we are in Niagara.
Those business fees and taxes should be disclosed on menu's, at the very least.
This seems like the potential for a massive class action lawsuit against the city, and any business charging fees that weren't clearly listed before making purchases.
We should just not tip and say your tip is in the fee. Then let's see what the employees will do? They will ask for more money and the owners will either pay them more or find new employees.
I have this exact same line of thinking too, but people tell me to go eff myself and I'm a horrible person for not wanting to subsidize labor at owner expense. Did people not know that if tipped employees don't make state/federal minimum wage between the tiny wage that the place pays an hour plus the tips, the owner has to pay for the difference to make certain that the employee makes the minimum wage? I thumbs up your comment in agreement.
It's All Called: STF = "Screw the Tourist Fee"
Thank you for exposing these tactics..
One additional ploy for staying in Niagara Falls is the offer to customers of the Best Western for money off the cost of a meal at a local restaurant. A few years ago when I visited the Falls, I fell for the offer of $75 off that cost. Naturally we went to that restaurant for dinner. The $75 would not even cover the price of the lowest price meat dish. Added to that was that this was for the meat only. Vegetables were separate and so were potatoes … apparently not considered a vegetable. If my mind hasn’t failed me, the vegetables were $18. Having lived in several cities and having travelled to a number of countries I have never encountered such prices or practices. I was accompanied by an American visitor to Canada and I was embarrassed and ashamed.
No need to be embarrassed by your country… do you think Americans don’t have scummy, tourist-trap, borderline-scam fees?
By the way, Best Western is an American company… Again, silly reason to be ashamed.
Sorry, but if you haven’t encountered this in your travels, you were either incredibly lucky or had greater foresight to do your research before falling for the scam. This is extremely common in almost every area of the world.
75 dollar as is about 4 restruant meals for 2 in south africa, fairly fancy restruants even. 18 dollars for veg is more than the price of 300g fillet + 2 sides at our fancy restruants in sandton city. WTF
Ruth Chris Steakhouse. I remember that "deal" fondly. Such a scam.
Sigh 😔. This is happening everywhere, sadly not just at Niagra Falls. Tourists beware.
We (our lunch group of 8) will NEVER go back to a Chuck's. We asked about fee, waitress had no clue what it was for..we paid it and have never darkened their doorsteps again. The Cesar salad had no dressing, ribs were burnt, the ladies washroom was so disgusting we just couldn't/wouldn't use it.
Explained to manager and said he wasn't prepared to help or compensate at all. Very disappointing.
Thanks to you, I'll never take my family, friends or business associates to Chuck's. See how that works Chuck's? Word of mouth you clowns, word of mouth. Thanks Lisa.
At 21:11 behind the reporter right above the doorway they're getting you inside the restaurant with low prices but you're really not paying that much with the fees. It's sleazy and deceptive. Everyone should boycott the places that do that.
I can tell you that I WON'T be going back for a visit ever again as long as this "tax" grab is going on... same with Vegas and their "resort" fees
Noticed the extra fee at the hotel in Niagara falls last time we were there. Thought it was a scam and never went back after that. I also thought with this extra fee, Niagara falls still looks run down so it's obvious the owners are pocketing.
I don't go to Niagara Falls, and won't ever again. Stop paying, stop supporting, go somewhere else. Its the only way this type of thing will ever end.
If a place charges some hidden fees, I'll ask the server if they can remove it. They usually do when I say it's cutting into their tip. Also, I don't buy gift cards, I give cash and so far have had no complaints.
and chinatown supermarket 1.50 fee charge under 20$ for debt card and visa or master card under 35$ it 2$ fee at toronto
People need to stand up against fraudulent fees, especially in restaurants. I am sure that the wait staff would fight back to the owners if people would not tip if the fee is on the bill.
This has been around for years. I remember refusing to pay the extra fee a few times lol.
Just bring cash ( a hand full of coins as well ) and tell them you only have enough to pay the price on the menu, and if they don’t like it, they can call the cops!
I just went to vagas and im never going back , its a joke how expensive it is
These fees are mostly at the biggest tourist places where they know tons of people will go no matter what. So they throw these fees on, and know most will simply pay up. Its only going to get worse until people can change their mind sets and habits
Most San Francisco restaurants charges customers the health tax that the owners supposed to pay. I found out the hard way and immediately gave the restaurant a bad review on google and explained why in the review.
Either they’re going to stop doing this or other places outside of Ontario will start. It’s a really awful way to do business and it’s obviously not hurting them enough to want to change it so I’d expect for these fees to be everywhere in the next few years.
Too late; it's being done in most major cities now across the country.
Should be included in the price of hotel room! Don’t add it after !!
It’s a “I’m greedy” fee!
Yeah, it's insane the amount we have to pay even as citizens of the place these restaurants and attractions reside.
Mandatory fees should just be part of the main list price. Literally waste of ink on paper the current way.
The last time I went to Niagara Falls I had a huge fight with Sheraton due to this tax...this was like 5 years ago...since then I never went back to Niagara Falls because I refuse to pay these unlawful fees
It's called the "You already came here and ate and can't undo it so we can extort you fee".
Indeed. The privileged/elite will continue to dine-out because they can afford to. They have no issue with this, future bs fees, and frivolous/excessive tipping of 25+ percent for even mediocre service.
Sneaky practice? No, straight-up SCAM!
The hotel part is not always true, not in my case. My reservation receipt didnt show the extra tax as I am aware of it and make sure it wasnt there. But after the trip, the final bill charged to my card WITH the tax added. I also complained and emailed but still not addressed
Do a charge back with your bank. That's fraud
It would be interesting to know; Do those organizations pay taxes on the fees and do they report those extra fees to the government 🤨❓❓❓❓Maybe that's why they separate them out from the cost of goods and services. Otherwise, why not just increase your prices... for example, instead of charging $200 for the hotel room charge $205 or the hotel room.
Hotels at the falls are 350 for the same chain that's 150 elsewhere.
It’s reasons like this that I don’t tip anymore at restaurants because of “service fees” but then it’s unfair to the restaurant workers so I just end up cooking myself or picking up food if I really want something.
We have one legal tax in Ontario and that's HST @13%. Whatever additional taxes/fees these tourists traps want to add simply just refuse to pay it. SIMPLE
It's too late once you've had the meal or stayed in the hotel. They say it's mandatory in the video.
@@dannydaw59 it's not mandatory tho lol
@@yuhyuh5674, you *_can't_* refuse to pay these taxes; if you don't pay them, you can be (most likely) arrested by the police for not paying your bill in full. If neither you or Jordan don't want to pay these taxes, simply *_don't visit Niagara Falls_* anymore (also, spread the word to others that you know to watch this episode of _Marketplace_ so that they will be informed enough not to visit Niagara Falls.)
@@Neville60001 That's the point Einstein. They need to inform customers beforehand that these fees are going to be charged.
I would simply refuse to pay the fee and let them call the cops. They are the one's not honoring their duty and charging more than what is mentioned on the menu.
@@shahz121, it's _you_ who's going to get arrested, not them. Best thing to do is not go to Niagara Falls to do anything but see the Falls, then if you do plan to get something to eat, _don't go to the tourist area_ to do so.
In Quebec, it's no longer "buyer beware". That's a form of victim-blaming. They now say "seller beware". It's the business that has the responsibility of being honest and legitimate. Those businesses sound like a bunch of legalized crooks.
I'm impressed they all knew the abbreviations and what the fees are used for.
Boycott going to Niagara Falls until all fees are dropped!
Hate going to Niagara Falls for this reason, should make it mandatory to add these fees to the listed price instead of surprising you at the end
I stayed at a hotel in Florida long time ago and I had to pay extra $25 when I checked out , I asked what the fee was and the guy at the desk told me it was a resort fee . All I did was slept in the bed and took a shower in the morning and checked out. never used pool or anything else there.
never going to Niagara Falls. It's not about few extra dollars, it's just that I don't like being taken advantage of
The only reason those businesses exist is because of the tourism and yet they're deterring and punishing tourists. Why not just inflate the menu prices without sneaky fees if the goal isn't to deceive?
I would prefer just tell me the price, even if the price goes up.....and dump ALL these added surprise fees. Just charge what you want to charge.....and quit adding these added surprise fees!
Surprise fees are unfair and I deduct them from any tip/gratuity if I am not told about the fee before purchase.
Businesses should raise prices if they need to charge more to be profitable; not say their price is one thing and add an arbitrary fee to the cost that is displayed as though it is a tax they have no control over.
The one thing I didn't find mentioned in the gift card segment was gift cards that are provided in USD. If they're used in Canada, you only find out about the exchange rate (which itself changes every day) a few days after the purchase, and if you're in the red by more than $5 USD, they send collections after you (I only know because I asked).
Honestly, the amount of scamming that happens here and in any developed nation is alarming. Living in the middle of nowhere is looking more and more appealing.
Thanks for the enlightenment on these fees. We periodically go to Niagara Falls. We know now to eat before and after and will certainly never book a room there.
If you leave the tourist area, the prices are normal. That's what I usually do when I visit Niagara Falls. I also travel by GO train using the $10 Weekend Day Pass, which is pretty cheap.
@@raymondyang9745, can anybody visit the Falls by using GO Transit during the week? I've forgotten about that.
@@Neville60001 During the week, one train runs to Niagara Falls in the evening rush hour. You can also take the regular Lakeshore West line to Burlington, then take the hourly route 12 bus to Niagara Falls.
I've been planning to visit Niagara Falls but unless they are willing to pay the new SGU fee than I m not interested!
SGU Stop Gouging Us
I love your program. I was GM at a great hotel but I stayed away from rip off my guests.
Can the Mayor just admit this guy WILL be back in a few years to find the 6%, 10%, 12% tourist taxes become 9%, 14%, 16% and there will be less transparency than either of his previous visits? It'd be refreshing to see a politician be legitimately honest.
Why don't they called it like it is ? ROBBERY!!!🤬
Way to rip off people's money
End stage capitalism
Thank goodness we can trust the CBC to be totally honest and transparent. Any updates on Brian Fox in Ottawa a year ago? That was a real issue but have you forgotten?
I think you need to look at the land owners. Iv been told the whole city is owned by the same two people since years. Iv also been told its impossible to open certain business like arcades and attraction in NF because of land owners
Hopefully it ain’t as bad as that one shop in the Czech republic where they charge you more for not speaking Czech, like for example, a pack of cigarettes would’ve costed 750 Koruna if you spoke english, but that same pack of cigarettes at the same shop would decrease to 500 Koruna because you spoke Czech to the cashier.
Quebec taking notes.
Discrimination based on nationality.... gross.
I've been to Prague before, but I don't remember it being like that then
This is why I stopped eating out. This is also happening in America as well.
The lowest hanging fix to business fees would be requiring that any additional fees are posted publicly and prominently in person, and included on any reservations, confirmations, or publicly advertised price. It would be better to ban them entirely, but people like the Niagara Falls mayor would never go against business. Funding the private hotel association with the legitimate municipal lodging tax is quite literally funding and growing one of the industry cartels that fuels political corruption and the proliferation/coordination of fees. Places like Flagstaff near the Grand Canyon have tourist targeted BBB sales taxes (bed, board, & booze) run by the city with proceeds going to beautification, arts, urban trails, open space etc. In other words, public benefits rather than private ones.
Or lobby your provincial government to ban these fees. These fees cannot be added in the province of Quebec, the law there says the advertised price must include everything except sales tax.
I hate hidden fees! Here in BC, they charge you a few extra cents every time you buy a canned/bottled beverage including milk! They also have a hidden fee anytime you buy an appliance, which is in dollars. Basically, these businesses should disclose the additional costs involved on the sales tags.
That's the basis for a case against these establishments - "misrepresentation", and that the local government should impose a law requiring establishments to not misrepresent their prices. If establishments misrepresent, they will face penalties that they should pay to the government or ultimately, have their business permit/licenses revoked.
Those extra fees are technically fraud I wouldn't pay any of them
Would shopping outside of the tourist area be any better? I hope all the small businesses who don't charge these extra fees will attract all the customers to them.
Why did that mayor not talk to his province BEFORE this? He's definitely part of the problem.
I wonder what would the accountants do seeing these on their bills.
I agree with you on the tourist fees but while the gift cards are not good value, they do provide a service, albeit a mostly useless one... They do incur costs and there are non-fraud reasons to use one of these cards (mostly for kids who don't want to tell their parents they're buying video games or in-game content). Either don't buy them if you don't agree with the charge, or use it up as soon as you get it. I don't see how someone should have trouble spending these. Use it when you go grocery shopping or whatever. Otherwise, I think it's a planning issue.
So has anyone tried to not pay these additional tourist fees? Like refuse to pay the tourist fee when you get the bill at the restaurant and show them this CBC Marketplace clip where the Niagara Falls Mayor says we don't need to pay it if the business is not upfront about it
Making those charges not part of the price or clearly called out by an establishment prior to service is just a scam. If they want to charge more for being a tourist location, just have it be part of the price.
The other fee that is commonplace, at least around here in Alberta is at automotive shops. They charge a 2% 'shop supplies' fee on top of whatever service you get. It's not itemized and it's not clearly laid out that it'll be charged in advance.
These fees are just a way to falsely advertise a lower price. In Las Vegas, the "resort fee" is sometimes higher than the room rate.
For any fee that isn't disclosed in advance or required by law, deduct it and pay with cash so they can't charge you later. Carry enough change for any exact amount. Maybe you can dispute it with a credit card, but I wouldn't count on it.
I once heard that the Niagara Falls tour industry have the highest taxes in Canada if not also North America. I do not know for sure if this is true or not but it is what I have heard.
Junk fees are more common now. Boycott any business charging them. If businesses want to charge this junk tax, why not just increase your pricing?
How is this any different than fraud ? Or false advertising / deceptive price ?
They're tacking on extra profits at the end of the transaction and acting like that money does not go into their pockets.
Insane.
As a server in Niagara Falls, Canada. I can agree that the fees are not mandatory but all the servers have to tip out certain percentage in restaurants and if somebody asks for NDFD to be taken off the bill, we as servers have to cover that so basically we have to pay out of our own pocket.
If I found that tax on my bill, and it was not disclosed beforehand, I would refuse to pay it, or if it wasn’t removed, it would be taken out of the tip. While I recognize that it is not the servers fault, it is unethical and just pure greed. If enough people objected as customers or staff complained, maybe something would be done
I live in NYC and we get charged a tourist fee at restaurants, bars, coffee shops, and some attractions too. It stinks because I live here and I have to pay a tourist fee...yet I am not a tourist!
No such fees here in Australia. Probably only fees is credit card fees when paying with Mastercard, Visa or AMEX etc...
Visa gift card fee such as monthly maintenance fee sounds like condo fees
The city and / or province should pass laws that make it criminal to represent hotel/restaurant fees as a government tax or government fee.
I'd counter it with "yeah, well, it cost $1.16 in gas to drive here so let's call it even and cancel this bullsh!t charge, eh?".
Be grateful people are making it into the business. Keep this up and you'll get less customers. This nonsense was noticed last year in Las Vegas. Random surcharges were tacked onto the total of every bill from hotels, motels, and many restaurants. Pubs where people could grab a pizza slice and drink were safe from it.
Hmm how about a debit card surcharge$1 for taxi ? 🤔
I really wish there was an actionable link attached to these videos, say a petition or a template for an email etc...
wow this cbc marketplace is great journalism, I feel like it doesn't get enough credit.
Lol that gift card is something I'll give to someone I hate but I have to be polite 🤣
In Las Vegas there's $25 resort per night at hotels and Casinos not restaurants.
That mayor looks so shady....