(WTNH) – Consumers could soon have a better idea of what certain goods and services cost before they have to pay for them. We are Stretching Your Dollar with what a “junk fee ban” would mean for you.
President Biden wants to ban the surprise charges that often pop up at checkout which are known as junk fees.
“We’re making clear these fees are now illegal,” President Biden said.
The new rules would require companies, from event tickets to hotels to car rentals, to disclose all of their fees upfront or face fines themselves.
The president said hidden fees currently make it harder for consumers to shop around for the best deal.
“Can add up to hundreds of dollars, weighing down family budgets and making it harder to pay family bills,” President Biden said.
President Biden argues the fees are also bad for business.
“It makes it harder for honest businesses who are trying to do the right thing to compete with dishonest companies who trick customers into thinking their prices are lower when they in fact are not.”
However, some business groups are skeptical that the proposed rules would actually save people money.
The U.S. Chamber of Commerce has said federal regulations like this deplete choices and competition.
“If we had a free market and a competitive environment, you would see those fees coming down.”
The bottom line for you while this is debated is to keep a close eye on your transactions. Sometimes you think you’re getting a good deal and then the total is much different than expected.