U.S. Postal Service raising rates
Friday, February 13th, 2009The U.S. Postal Service is raising the price of a first-class stamp to 44 cents, effective May 11.
Forever Stamps will continue to be sold for the current 42-cent rate until the increase takes effect. The Forever Stamps will remain valid in the future, regardless of rate hikes.
Postage rates go up annually in May, with the new prices announced in February. The overall change is tied to the rate of inflation in the prior year.
“The Postal Service is not immune to rising costs which are affecting homes and businesses across America today,” Postmaster General John Potter said. “Even with the increases, the Postal Service continues to offer some of the lowest postage prices in the world.”
Although the new 44-cent rate covers the first ounce of first-class mail, the price for each additional ounce will remain unchanged at 17 cents.
The Postal Service lost $2.8 billion last year and is likely to post a larger loss this year.
The post office has been cutting costs and reducing work hours, and has asked Congress to allow mail to be delivered five days a week, instead of six.
Other changes that take effect May 11:
• Postcard stamps increases 1 cent to 27 cents.
• The first ounce of a large envelope increases 5 cents to 88 cents.
• The first ounce of a parcel increases 5 cents to $1.22.
• New international postcard and letter prices are, for one ounce, 75 cents to Canada, 79 cents to Mexico and 98 cents elsewhere.
Most U.S. Postal Service shipping services prices were adjusted in January and will not change in May.
With the current down economy, coupon use is on the rise. In a recent survey, 67% of respondents said they are much more likely to use coupons during a recession. The survey, from ICOM Information & Communications, also states that 58% of consumers see their coupon use increasing if they could download a coupon from the Internet and have it automatically connected to an electronically swiped frequent shopper card. Of that 58%, 35% said they are much more likely to use a paperless coupon.
