Federal Standards for Price Disclosure

I honestly can’t remember the last time a hotel price matched the headline. Finally, there’s a federal standard. The FTC’s “Rule on Unfair or Deceptive Fees” says hotels, motels, and vacation rentals have to show all mandatory fees up front. Like, the price you see before you click “book,” not after.

Previously, fees popped up after “confirm and proceed.” Now, that’s supposed to be illegal. Civil penalties can hit $50,120 per violation. The FTC says “total price” must be obvious—big font, clear placement. My friend in compliance said her team had to rewrite all their marketing copy just to pass muster.

But loopholes? Still there. Optional charges can stay hidden, apparently. Legal bait-and-switches are supposed to be gone, but I saw Marriott’s homepage pushing the limits last week. So… progress? Kind of.

Biden Administration’s Push for Compliance

You’d think hotels would panic with the White House watching. Biden actually called junk fees an “unfair burden on American families.” Not just a soundbite, either. The administration has been pushing the FTC to toughen and enforce these rules, even dragging travelers burned by hidden fees onto TV for press conferences—awkward, but I guess it works.

In 2024, agencies like the CFPB started floating guidelines for disclosure consistency, since travel platforms were just barely following the rules. Biden’s economic advisers claimed Americans overpay by $3 billion a year on undisclosed travel fees. If I had that, I might finally get a “free” breakfast. But honestly, will any of this mean we actually see a real “total price” on booking sites? I’m not holding my breath.

The Junk Fees Rule: What It Means for Consumers

Ever stare at your travel bill and wonder why there’s a “hospitality impact surcharge” on your all-inclusive vacation? People don’t notice until checkout, and then—surprise!—the new FCC junk fees rule swoops in, and suddenly hotels can’t just sneak random charges onto your booking like bonus tracks on a CD you never bought.

Scope of the Junk Fees Rule

So, the FTC’s new rule: businesses have to show you the total price up front. No more hiding fees at checkout. They specifically targeted “bait-and-switch” pricing after years of people losing it over “energy recovery,” “concierge postage,” or “resort utility enhancement” fees. I saw one hotel charging $29 for “wellness replenishment”—my chiropractor doesn’t even know what that is.

FTC Chair Lina Khan literally said in their December 2024 announcement, “People deserve to know up-front what they’re being asked to pay.” Retailers can’t play hide-and-seek with required fees—they have to include mandatory costs in any advertised price. So, if you book hotels, rentals, or tickets online, you should see the real number, not a math puzzle.

Not every fee disappears, though. The FTC focuses on mandatory fees tied to the main service: room, seat, admission. Optional stuff, like breakfast or parking, doesn’t have to be in the base price. That line gets fuzzy, honestly—like untangling Christmas lights.

Coverage of Hotels, Rentals, and Event Tickets

So, who actually follows these new rules? Hotels (especially the ones sneaky with resort fees), vacation rentals, and ticket sellers now have to show the total price, including all non-optional charges. If your Airbnb’s cleaning fee is unavoidable, it’s right there in the first price—no more tacking it on at the last second.

This all started with concert and sports tickets (markups hit 27% on event tickets, according to a 2023 TravelPulse analysis), but hotel and rental “destination” fees were even shadier. My friends got hit with $45 daily “amenity” bills that didn’t even get them good coffee. Hotels and booking sites have to update their booking engines or risk FCC fines, especially now that states like California, New York, and Minnesota are piling on.

Travelers still have to watch their backs. I’ve seen hotels shrink the font or use confusing language to skirt the rules while technically “complying.” It’s like reading terms of service on your phone without glasses—technically visible, but good luck figuring it out.

Potential Industry Responses

Alright, here’s where things get weird. The big property and ticketing companies? Yeah, they’re not just giving up those extra bucks without a fight—why would they? I’ve seen them quietly mash old “fees” right into the base price, so now the sticker shock hits you up front. I actually talked to a couple revenue managers (over drinks, not that it matters) who straight-up told me they just relabel pet cleaning fees as “optional” on their reports. Optional for who? Their accountants? It’s a game of whack-a-mole—one listing’s $240 a night looks steep, but then you realize the others are just hiding all their nonsense in the checkout screen.

People keep griping about loyalty perks getting watered down, too—stuff that used to be free, like early check-in, now comes with a cutesy “priority access pass” and an extra charge. Vegas and Miami Beach? Forget it, those resorts are basically fee laboratories, always fiddling with what counts as “mandatory.” I know someone whose hotel chain now has legal review every single fee statement, every month. That’s a job? Yikes.

End result? All these business models built on junk fees—especially in events and hotels—are getting dragged out into the open. I’ve seen consultants warn about “transparency backlash” (their words, not mine, but check those Q3 earnings call transcripts if you’re bored) and say it could push more people to book direct, if they trust the brand isn’t playing hide-the-fee. Otherwise, third-party sites are already screaming “no hidden fees” in giant banners, which, maybe, just maybe, means those nightmare receipts at checkout are finally on the way out. Or not. I’m not holding my breath.