The Federal Trade Commission on Wednesday proposed a rule to ban any hidden and bogus junk fees, which can mask the total cost of concert tickets, hotel rooms and utility bills.
President Joe Biden has made the removal of these fees a priority of his administration. The Democrat’s effort has led to a legislative push and a spate of initiatives aimed at helping consumers. Administration officials have said these additional costs can inflate prices and waste people’s time.
“The proposed rule would prohibit corporations from running up the bills with hidden and bogus fees, requiring honest pricing and spurring firms to compete on honesty rather than deception,” FTC Chair Lina Kahn said on a call with reporters. “Violators will be subject to civil penalties and be required to pay back Americans that they tricked.”
The FTC proposal is being coupled with the Consumer Financial Protection Bureau announcing that it will block large banks from charging junk fees to provide basic customer services.
Hotels often have other fees tacked on, too. Especially in places like Vegas, where 90% of hotels there are also considered “resorts” and have to add a “resort” tax on top of the normal tax.
Most places have specific taxes for hotels. Taxes go to the city/state.
It’s the resort fees that are annoying. The ones that claim go to your pool access and maybe the wifi.
Hotels definitely have hidden fees, plus fees like $40 a night for a parking space. They know you’re traveling, so why not just include that fee in the price of the room? It’s a scam.
I expect business travelers wouldn’t like that, given how few are driving.
Business travellers have everything paid for by their company. It wouldn’t affect them.
I go out of my way to avoid hotels with “resort fees”. That’s one of the reasons we just don’t go to Vegas anymore.
We don’t gamble and we couldn’t care less about shows. We hate the severe overcongestion of the strip. And we’re both way past the age where we have any interest in clubbing. There are tons of great restaurants and bars and touristy things to do far away from the strip. But it seems like just about every hotel in and around the town charges resort fees now, and the ones that don’t are in bad neighborhoods or don’t have much walkable nearby or have some other deficiency. Add to that the rising costs of everything in Vegas, and it’s just not worth the trip anymore.
Vegas used to be a cheap place to go because they made up so much money in gaming. About 15 years ago prices started to creep, but it was okay because Vegas still offered a lot of value for what you were paying. Vegas is now trying to reinvent itself as “a premium destination where people will pay anything because it’s Vegas” rather than “a somewhat expensive destination, but you get a lot for your money”.