You’ve probably gotten used to checking your bank statement for surprise charges. If you haven’t, our guide on how to avoid bank fees covers overdraft charges and monthly maintenance fees. This article is about a different kind of surprise: the fee that shows up on a concert ticket, a hotel bill, or a food delivery order right before you pay.
Since May 12, 2025, a federal rule has required a lot of those businesses to show you the full price upfront, not just a teaser number that grows at checkout. And 2026 is the year the FTC actually started enforcing it. Here’s what the rule covers, what it doesn’t, and seven ways to protect yourself either way.
What the FTC’s Junk Fees Rule Actually Requires
The Federal Trade Commission’s Rule on Unfair or Deceptive Fees is narrower than most people assume. It applies to two industries: live-event ticketing (concerts, sports, theater) and short-term lodging (hotels, vacation rentals, home-sharing stays). Inside those two categories, businesses must display the total price, including any mandatory fees, as prominently as the starting price, and they have to do it the first time a price is shown to you, not buried three screens into checkout.
That’s it. It’s not a general ban on fees. It’s a ban on hiding the true total until you’re already committed to buying.
Why 2026 Is the Year of Enforcement
On April 9, 2026, the FTC announced a settlement requiring StubHub to pay $10 million in restitution to customers over pricing practices tied to the rule’s first weeks in effect back in May 2025. The agency has also been sending warning letters this year to event promoters and short-term rental platforms it believes are still displaying incomplete prices. A 2026 review from law firm Troutman Pepper notes that state attorneys general are pursuing their own junk fee cases in parallel, so this isn’t only a federal story.
Penalties for violating the rule can run up to roughly $50,000 per violation as of mid-2026 (the exact cap adjusts for inflation), which is a real incentive for companies to fix their checkout flows. It’s also a reason to expect more settlements like StubHub’s, not fewer.
1. Know What the Rule Covers, and What It Leaves Out
Because the rule is limited to tickets and lodging, a lot of fees that feel just as sneaky simply aren’t covered yet. A resort fee tacked onto your hotel folio? Covered. A “convenience fee” from a ticket seller? Covered. A delivery or service fee from a food app? Not covered by this rule, though some states are looking at it. Here’s a quick reference.
| Common fee | Where you’ll see it | Covered by the FTC rule? |
|---|---|---|
| Resort fee | Hotels | Yes |
| Service or convenience fee | Ticket sellers, box offices | Yes |
| Delivery or service fee | Food delivery apps | No |
| Checked bag fee | Airlines | No (handled separately by the DOT) |
| Admin or amenity fee | Apartment rentals | Partially, mostly through state laws |
Knowing which column a fee falls into changes what leverage you actually have. A hidden resort fee is a federal rule violation you can report. A hidden delivery fee is more of a “read the fine print and pick a different app next time” situation, at least for now. If you want to catch fee creep on the payment side too, our rundown of common payment app mistakes is worth a look.
2. Always Compare the All-In Price, Not the Teaser Price
When you’re shopping around, add the likely mandatory fees in your head, or use a total-price toggle if the site offers one. A $40 ticket that becomes $58 with fees isn’t a $40 ticket, it’s a $58 ticket with confusing marketing. Compare final totals across a couple of sites before you commit, since the “cheapest” listed price and the cheapest actual price aren’t always the same thing.
3. Learn the Aliases Junk Fees Hide Behind
Businesses almost never call it a junk fee. Watch for words like convenience fee, processing fee, service fee, facility fee, and administrative fee. None of these are illegal on their own. The problem is when they show up for the first time at checkout with no clear service attached to them. If you can’t tell what you’re actually paying for, that’s usually the tell.
4. Screenshot Your Checkout Before You Pay
If a site shows you one price on the search or landing page and a noticeably higher total at checkout, take a screenshot with the date and time visible before you finish the purchase. Save it alongside your confirmation email. If you ever need to dispute the charge or file a complaint, that screenshot does most of the work for you, since it shows exactly what you were promised versus what you were charged.
5. Check Whether Your State Goes Further Than the Federal Rule
Some states already ban hidden fees more broadly than the FTC rule does. California’s SB 478 is the widest example: it requires all-in pricing across nearly every advertised consumer transaction in the state, not just tickets and hotels. Depending on where you live or where the business is based, you may have protection the federal rule simply doesn’t offer yet. Your state attorney general’s consumer protection page is the place to check, since these laws vary and keep changing.
6. Know How to Report a Violation
If you think a company hid a mandatory fee in violation of the FTC rule, you can file a report at ReportFraud.ftc.gov. It’s also worth contacting your state attorney general’s consumer protection office directly. Neither one guarantees you a personal refund, but reports like these are what build the pattern regulators act on, and they did exactly that with StubHub in 2026. If your complaint is really about how a payment or account was mishandled rather than the fee disclosure itself, our guide on filing a CFPB complaint walks through that separate process.
7. Dispute an Undisclosed Fee on Your Card
If you were charged a fee that wasn’t disclosed before you paid, you can dispute it with your card issuer the same way you’d dispute any other billing error. Keep your screenshot, confirmation email, and the exact amount charged handy before you call. Our full walkthrough on how to dispute a credit card charge covers the steps, typical timelines, and what issuers usually ask for.
Quick Takeaways
- The FTC’s Rule on Unfair or Deceptive Fees only covers live-event tickets and short-term lodging, not every fee with a confusing name.
- Compare the final total, not the number in bold at the top of the page.
- Screenshots taken before you pay are your strongest evidence if a fee wasn’t disclosed.
- Check your state’s own law too. Some, like California’s, go further than the federal rule.
- You can report violations to ReportFraud.ftc.gov and to your state attorney general.
- An undisclosed fee can often be disputed with your card issuer after the fact.
This article is for general information and isn’t legal or financial advice. Fee rules, state laws, and enforcement priorities may change, so check FTC.gov and your state attorney general’s office for the most current guidance.
Frequently Asked Questions
Are hidden fees illegal in the US?
It depends on the fee and where it’s charged. The federal FTC rule specifically bans hidden mandatory fees for live-event tickets and short-term lodging, and it’s been in effect since May 2025. Outside those two categories, whether a hidden fee is illegal usually comes down to state consumer protection law, since not every kind of junk fee is banned federally yet.
What are examples of junk fees?
Common ones include resort fees, ticket service and convenience fees, mandatory facility charges, some delivery and processing fees, and administrative or amenity charges added to rent. Not all of these are covered by the federal rule, which is exactly why it helps to know which ones are.
What is the FTC’s junk fees rule, exactly?
Officially called the Rule on Unfair or Deceptive Fees, it requires businesses selling live-event tickets and short-term lodging to show the total price, including all mandatory fees, as prominently as any other price, from the first time a price is shown. It took effect on May 12, 2025.
Does the FTC rule cover delivery app fees or airline baggage fees?
No. Delivery and service fees charged by food delivery apps aren’t currently covered by the federal junk fees rule, and airline baggage fees fall under separate Department of Transportation rules rather than the FTC’s.
How do I report a company for hiding fees?
You can file a report at ReportFraud.ftc.gov and separately contact your state attorney general’s consumer protection division. Include screenshots showing the price you were originally shown and the final checkout total if you have them.
Can I get my money back if I already paid a hidden fee?
Maybe. Start by disputing the charge with your card issuer if the fee wasn’t disclosed before you paid, and file a report with the FTC and your state attorney general. A refund isn’t guaranteed, but disputes and complaints are the paths available to you, and enforcement actions like the 2026 StubHub settlement show the FTC does sometimes secure restitution for consumers.
