FTC Proposes New Rule to Ban Hidden Fees

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FTC Proposes New Rule to Ban Hidden Fees
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The Trade Commission announced a new rule proposal that would require all companies to show real prices, including fees upfront

Federal Trade Commission Chair Lina Khan speaks during a discussion on antitrust reforms at the Brookings Institution October 4, 2023 in Washington, DC. Khan assumed the role of FTC chair in June 2021 after being appointed by U.S. President Joe Biden and confirmed by the Senate.

“This is a win for consumers in my view, and proof that our crackdown on junk fees has real momentum,” Biden said at the time.The FTC said in its proposal announcement that the rule would ban both hidden fees and “bogus fees” that mislead consumers about what the fee actually is intended to cover. The FTC said the rule would require companies to disclose both the fee itself and the fee’s purpose.

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FTC proposes new rule to ban junk fees, potentially saving consumers billionsFTC proposes new rule to ban junk fees, potentially saving consumers billionsThe Federal Trade Commission is proposing a new rule that seeks to eliminate junk fees -- hidden costs that can unexpectedly push up prices consumers pay at checkout.
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