All UPS wants for Christmas is a little more cash.

United Parcel Service Inc. (UPS) - Get Report announced it's increasing shipping rates by 4.9% later this year and adding a peak season surcharge next year.

The increased shipping rate will go into effect Dec. 24, just after the world's largest package delivery company gets through the bulk of its busy holiday season. Rates for UPS Ground, UPS Air and international services within and between the U.S., Canada and Puerto Rico will jump 4.9%, the company said in a statement.

"Rate increases support ongoing expansion and capabilities enhancements, while UPS maintains the high service levels customers expect," the company said.

The company also plans to increase peak season surcharges for most residential shipments in time for the 2018 holiday season. The company said those rates will only increase a few cents. For example, the surcharge for a UPS Nest Day Air package this year is 81 cents. Next year, it will rise to 84 cents in peak season.

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The company's move to raise rates and surcharges comes after rival FedEx Corp. (FDX) - Get Report last month announced it's increasing rates for its FedEx Express unit by 4.9%, effective Jan. 1.

UPS stock finished trading lower 0.96% to $118.55 Wednesday, Oct. 25.

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