FTC prepares to ban some hidden fees for live event tickets, rentals
(CNN) - The Federal Trade Commission’s crackdown on deceptive fees will take effect Monday.
The agency’s new rule on unfair or deceptive fees prohibits tactics used to mislead people about fees in the live event ticketing and short-term lodging industries. An FAQ has been released outlining how it’s going to work.
Total prices will have to be listed more prominently on websites for businesses in those industries than any other price. That means no more clicking through vacation home listings to find out how much the cleaning fee will be, and hotels can’t tack on resort fees not immediately reflected in the total.
Businesses are also instructed to describe exactly what fees are for and avoid phrases like “convenience fees,” “service fees” or “processing fees.” Any such fee that is mandatory must be reflected in the total price.
In addition, credit card fees won’t be allowed to be added into a price later unless the business offers other ways to pay.
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