FTC Bans Hidden Fees For Live Events and Short-Term Rentals
The U.S. Federal Trade Commission (FTC) has announced a new rule that bans hidden fees for live events, hotels, and short-term rentals, set to take effect on May 12, 2025. This initiative aims to promote pricing transparency, addressing long-standing consumer concerns about deceptive practices in pricing.
Key Points
- The FTC’s new regulation prohibits hidden fees related to live events and short-term rentals.
- Businesses must clearly disclose total prices, including any exclusions such as taxes or optional services.
- Airbnb has already updated its platform to show complete costs upfront in anticipation of the new rule.
- The rule covers various types of businesses, including ticket sellers and lodging providers.
- Fees that can be excluded are limited, and businesses must inform consumers of any excluded charges before payment.
Why should I read this?
If you’ve ever been hit by sneaky extra charges when buying tickets or booking a place to stay, this is a huge win for you! The FTC’s rule brings much-needed transparency to pricing, making it easier for consumers to know exactly what they’ll pay upfront. Stay in the loop about how this affects your next booking – it’s a game changer!