When we featured iPhone hostel booking application Hostel Hero back in 2009, the most obvious complaint was the booking fee applied to each reservation. A newly-updated version of the app drops the direct charge, as well as adding hostel reviews drawn from HostelBookers.
The app covers 20,000 hostels across the world, and allows booking directly from your device. You need to pay a 10% deposit when booking, with the remainder when you arrive. While there's every possibility the quoted rates have built-in provision to cover the scrapped booking fee, if you find a hostel you fancy it's pretty easy to check online against rival providers.
Hostel Hero is a free app for iPhone.