NASHVILLE, Tenn. (WTVF) — I'm sure this has happened to you. You're online, find something you like and the price isn't bad either. But when you go to check out, suddenly the price is much higher. Maddening, right?
Those junk fees as they're known have become a costly part of everyday life. You see them on hotel bookings, food orders, payment apps and more. But now, a new federal rule targets some of the worst offenders. However, some of these hidden fees are still legal.
Travel agent Shay Martin recently told her social media followers about the 600-dollar resort fee that caught her by surprise on her honeymoon a few years ago.
“I just wanted to share that and let people know that it's something to look out for. And I did call out that it has started to change,” said Martin.
That change is thanks to a new FTC rule now in effect.
It requires full price transparency for hotels, short-term lodging and live-event tickets - so you’ll know the total price before booking – making it easier for consumers to avoid surprises.
“Americans are sick and tired of getting hit with hidden fees that jack up prices and take a big bite out of their wallets," said Consumer Reports' Chuck Bell. "This is a big step in the right direction, but much more needs to be done.”
That’s because the FTC rule only addresses a small piece of a much bigger problem. Hidden fees are still everywhere. Consumer Reports estimates the average family of four spends about 3,200-dollars a year on junk fees!
“These added costs hit hardest for families already struggling to get by, especially in low-income communities,” said Bell.
Consumer Reports has some tips to stay a step ahead of some of these sneaky fees.
Take flights, for example. You can sometimes avoid extra charges by booking directly through the airline or a trusted travel agent and using the airline’s app to check in.
Renting a car? You might be able to bring your own toll transponder to avoid extra charges. Just check that it works in your destination and that your state allows you to use it in a rental.
Food delivery apps are another place where hidden fees sneak in. To potentially avoid them, order directly from the restaurant, pick it up yourself, and pay in cash.
Some restaurants add a two to three percent fee when you pay with a credit card. And when banking, switching to a low-fee or online bank and using in-network ATMs can save you from unnecessary charges.
Smart moves to keep more money in your wallet.
With more consumers paying bills automatically, those extra charges can go unnoticed. That’s why it’s important to check your statements regularly.
Do you have more information about this story? You can email me at jennifer.kraus@newschannel5.com.
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