service
Rack rate
The rack rate is the highest published price a hotel charges for a room, historically printed on a card kept in a literal rack behind the reception desk. Today, almost nobody actually pays the rack rate; it's more of a reference number. Hotels show steep discounts off rack rate ("50% off!") to make the price you actually pay feel like a deal. The real working price is the BAR (Best Available Rate), usually 30-60% below rack rate. As a traveler: ignore the rack rate, focus on what you'll actually pay. New regulations in the EU (Omnibus Directive 2022) and US (FTC pricing rules 2026) crack down on fake discounts based on rarely-used rack rates, so this practice is becoming more transparent.