Ever picked out a hotel room for $89 a night, only to see $140 at checkout after they tacked on a “resort fee” and a “destination charge” you never saw coming? Or bought concert tickets and watched the price balloon by 40% in fees right before you hit confirm? That’s called junk fees — and as of May 12, 2025, the FTC has a rule that makes it illegal.
The FTC’s Rule on Unfair or Deceptive Fees covers two specific industries: live-event ticketing (think concerts, sports games, theater) and short-term lodging (hotels, motels, vacation rentals). Under the rule, any business in those categories that advertises or displays a price has to show you the real total price — all mandatory fees included — right from the start. Not at checkout. Not in tiny print. Upfront.
This doesn’t mean fees are banned. Hotels can still charge a resort fee if they want to. Ticket platforms can still add service charges. What they can’t do anymore is hide those fees until the last step to trick you into thinking you’re getting a better deal than you are. The whole price has to be visible from the moment they show you any price at all.
So what does this actually mean for you? If you’re booking a hotel room or buying tickets and a mandatory fee shows up late in the process — one that wasn’t part of the total shown earlier — that business is likely violating federal rules. That’s not a gray area. According to the FTC, sellers are required to tell the truth about fees from the very beginning of the transaction.
If it happens to you, here’s what to do. First, push back directly with the business — mention the FTC rule by name. A lot of times, front-line customer service reps will waive a fee just to avoid a complaint. If that doesn’t work, file a report at ReportFraud.ftc.gov. The FTC uses those reports to go after companies, and enough complaints about the same business can trigger real enforcement action.
You can also try disputing charges with your credit card company if you already paid. Credit card chargebacks exist for situations where you were charged something that wasn’t clearly agreed to upfront — and a fee that violated federal disclosure rules may be worth raising with your card issuer, though each company has its own dispute process and outcome isn’t guaranteed.
This rule is genuinely new, so some businesses are still figuring out compliance — or hoping you don’t know your rights. You do now.