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New federal regulations to require upfront pricing for vacation rentals and event tickets

  • New federal rules prohibiting hidden fees for vacation rentals, hotels, and live event tickets will become effective on May 12, 2025, following the release of updated guidelines by the federal agency overseeing consumer protection.
  • The regulations arose from a Biden administration initiative finalized in January 2025 to eliminate so-called 'junk fees' added at checkout that cause consumer frustration.
  • The rule covers short-term lodging providers, live event ticket sellers including concerts and theater, third-party platforms, travel agents, and resellers, forbidding hidden or misleading fees.
  • The FTC requires total prices to include all known fees, display the total amount prominently, and mandates clear disclosure of any excluded charges like taxes or shipping; the FTC stated these practices "can harm consumers and undercut businesses."
  • The FTC anticipates that the new regulation will reduce consumers' time spent trying to find accurate total prices by as much as 53 million hours annually, with the measure receiving approval from four of the five commissioners and one dissenting vote.
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Hypebot broke the news in on Monday, May 5, 2025.
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