If you’ve ever paid to check the balance on your bank account or had mysterious, unexp꧒lained fees pop up when you were buy♉ing a plane or concert ticket, those may soon become relics of the past.

The administration of President Joe Biden has proposed a far-reaching crackdown on “junk fees,” or hidden fees that companies tack onto customers’ bills. Sweeping new rules proposed by the Federal Trade Commission (FTC) and the Consumer Financial Protection Bureau (CFPB) Wednesday would ban businesses from advertising prices that didn’t include any mandatory fees, would forbid misrepresenting fees, and require companies to disclose the amount and purpose of any fees charged, and whether or not they are refundable. 

The new set of rules is the latest move in Biden’s ongoing campaign to stop what it calls junk fees, including many charged by financial institutions. CFPB scrutiny of bank overdraft fees since 2021 has already led to two-thirds of large banks voluntarily eliminating 澳洲幸运5官方开奖结果体彩网:non-sufficient fund fees, saving customers an estimated $2 billion a year, the bureau said in a statement Wednesday. 

“All too often, Americans are plagued with unexpected and unnecessary fees they can’t escape. These junk fees now cost Americans tens of billions of dollars per year—money that corporations are extracting from working families just because they can,” FTC Chair Lina M. Khan said in a statement. “By hiding the total price, these junk fees make it harder for consumers to shop for the best product or service and punish businesses who are honest upfront.”

The FTC rule dictates how businesses communicate their fees, rather than outright banning them. The text of the rule itself provides some idea, however, of the kinds of fees that inspired the rule.

Customers Are Fed Up Of Junk Fees

In a document filed with the Federal Register, the FTC showed examples of the 12,000 comments it received during its rulemaking pro♚cess. 

One customer complained of subscription services required to use items installed on vehicles. Another said they were charged a $299.11 processi🦂ng fee for ordering a year’s worth of contact lenses. Another said they were charged a $20 per person per day service fee for a cruise, amounting to 17% of the totaꦗl cost. 

“I despise being duped with advertised pricing only to be alarmingly surprised at checkout that there are ancillary fees, convenience charges, special handling charges, resort fees, extended warranty charges, restocking fees, waste disposal fees, entry fees, exit fees, toll charges, health mandate fees, CRV fees, upgrade fees, downgrade fees, overweight baggage fees, extra baggage fees, additional BBQ sauce fees, monthly service fees if your balance falls below $XXX, overdraft fees, mystery gasoline tax for winter blends and/or summer blends, to-go bag and container fees, delivery fees, etc,” one customer quoted by the FTC wrote. 

The FTC also singled out fees charged for rental housing, saying that customers had complained that landlords often don’t disclose the purpose of fees, or charge unavoidable fees without disclosing them.

The National Apartment Association, a trade group representing landlords, pushed back against the proposed rules.

“Layering additional regulations will heavily impact housing operations and harm the affordability and availability of rental housing, ultimately hurting the very individuals they seek to protect,” Bob Pinnegar, president of the association, said in a written statement.

The FTC rule has yet to be finalized, and could go into effect after a 60-day comment period.

The CFPB advisory opinion bans large banks and credit unions from charging to access account information including account balances, the amount needed to pay off a loan, or for copies or images of checks. Some banks charge customers if they c𓆉all to check their account balance or to see if a check has cleared.

Consumer advocacy groups have generally supported Bideꦯn’s anti-fee crusad🍃e, while business groups have opposed it. 

The U.S. Chamber of Commerce, a trade group representing businesses, accused the Biden administration of "micromanaging" the economy.

“It is baffling that the administration believes it is going to help consumers by regulating how businesses price all of those transactions," Neil Bradley, chief policy officer at the chamber, said in a statement. "The reality is this attempt at price controls will only stifle the innovation that leads to more choices and lower prices for consumers."

Update, Oct. 11, 2023— This article was updated to include a comment from the U.S. Chamber of Commerce.