Hike service

US Postal Service plans to raise prices for first-class mail

A US Postal Service (USPS) logo is pictured on a mailbox in the Manhattan borough of New York, New York, U.S., August 21, 2020. REUTERS/Carlo Allegri/File Photo

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April 6 (Reuters) – The United States Postal Service (USPS) on Wednesday filed a price change notice with the Postal Regulatory Commission that includes a two-cent increase in the price of a first-class mail stamp forever from 58 cents to 60 cents.

The proposed price hike comes ahead of President Joe Biden’s announcement of roughly $50 billion in financial relief over a decade to the USPS.

The proposal would raise prices for first-class mail, an affordable way to send envelopes and lightweight packages, by about 6.5%, USPS said. (https://prn.to/3x6pHWX)

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If the price hike materializes, the price of an additional ounce of the one-piece letter would rise to 24 cents, the price of an ounce of metered mail would rise to 57 cents, and the price of a card stamp postage would increase to 44 cents. A one-ounce letter sent to other countries would drop to $1.40.

Forever stamps can be used to mail a one ounce letter no matter when the stamps are purchased or used and no matter how prices may change in the future.

Struggling with declining mail volumes despite delivering to an increasing number of addresses, USPS has recorded net losses of more than $90 billion since 2007. In February, it recorded a quarterly net loss of 1.5 billion dollars.

The new prices, if they are reviewed favourably, will come into effect from July 10.

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Reporting by Kannaki Deka in Bangalore; Editing by Shailesh Kuber

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