President Joe Biden announced on Wednesday (October 11) a new rule the Federal Trade Commission (FTC) is proposing to ban businesses from charging hidden or misleading fees, known as ‘junk fees’.
The proposed rule would require all ticket sellers, such as Ticketmaster and StubHub, to display every fee and the total price of goods or services upfront. It would allow the FTC to apply financial penalties on those who do not comply.
The topic of junk fees came to the forefront when Ticketmaster and parent company Live Nation received widespread criticism for the Taylor Swift Eras Tour ticket sales.
Biden said, “Unfair fees known as junk fees – those hidden charges that companies sneak into your bill to make you pay more because they can. Simply because they can. Charges that are taking real money out of the pockets of American families. These junk fees can add hundreds of dollars weighing down family budgets, making it harder to pay family bills.”