GRAND RAPIDS, Mich — Starting today, the Federal Trade Commission (FTC) is banning hidden or “junk fees" associated with live event tickets and short-term lodging. This new rule aims to provide consumers with a clearer understanding of costs during the purchasing process.
The initiative, which stems from efforts by the Biden administration, mandates that any business selling live event tickets or accommodations, such as hotels and vacation rentals, must disclose all mandatory fees before checkout.
Some companies have already begun to adhere to the new regulations. For instance, Ticketmaster and the third-party ticket vendor StubHub both provide a detailed breakdown of ticket prices, ensuring transparency before the final purchase.
Annette Soberats of the FTC stated, "This rule is a major step, but the FTC recognizes that bait and switch pricing remains a problem in other industries, and it will crack down on other hidden fees. There are a lot of complaints about fees in the rental space, for instance, that are not being disclosed properly to consumers, so that is definitely still a problem, and the commission is aware of it."
It’s important to note that while mandatory fees must be disclosed, taxes, shipping charges, and fees for optional goods and services do not have to be included upfront, meaning consumers may still encounter these costs during checkout.
For more information on these changes and how they may affect your next purchase, visit the FTC's official website.
This story was initially reported by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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