FTC Releases FAQs on New Rule Targeting Deceptive Fees
2025-05-07
The Federal Trade Commission (FTC) has published FAQs clarifying its new rule on unfair or deceptive fees, effective May 12, 2025. This rule combats practices like bait-and-switch pricing that hide total costs in live event ticketing and short-term lodging. The FAQs detail which businesses are covered, mandatory fees to be included in advertised prices, permissible exclusions, and clear disclosure requirements. The rule aims to increase price transparency and protect consumers without prohibiting specific pricing strategies, focusing instead on upfront honesty about total costs.