Companies from Ticketmaster to Airbnb will be forced to post total prices charged to consumers, including all fees, under a new FTC rule against "junk fees." The Federal Trade Commission announced Tuesday that it has finalized a rule requiring businesses to prominently display the total price for live event tickets or short-term lodging in pricing and advertising, per NBC News. Companies can still add any number of fees to a purchase, but they can no longer conceal these until the last minute. Instead, the total price must be immediately disclosed. The rule was first proposed in October 2023.
"We all know the experience of encountering a hidden fee at the very last stage of checkout," President Biden said in a statement, per Reuters. "These junk fees sneak onto your bill and companies end up making you pay more because they can." The FTC said the practice of posting one price and tacking on mandatory fees later was "deceptive." Republican Commissioner Melissa Holyoak said the new rule "helps protect consumers and competition, while also preserving flexibility for businesses to engage in lawful advertising and pricing practices."
The rule was passed with a 4-1 vote, with President-elect Trump's pick to lead the FTC casting the sole vote in opposition, per Reuters. Republican Andrew Ferguson didn't take issue with the rule itself, which he said was supported by "some evidence." Rather, he claimed Trump's "incoming administration should have the opportunity to decide whether to adopt rules that it, not the Biden-Harris FTC, will be called upon to enforce," per the Intercept. The rule will now go into effect within 120 days, potentially saving consumers up to 53 million hours a year spent searching for total prices, the FTC said. (More FTC stories.)
,
uBlock 
,
and
Ghostery 
)
