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The Wall Street Publication > Blog > World > Resorts are actually required to show ‘misleading charges’ upfront to prospects
World

Resorts are actually required to show ‘misleading charges’ upfront to prospects

Editorial Board Published May 14, 2025
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Resorts are actually required to show ‘misleading charges’ upfront to prospects
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The Federal Commerce Fee (FTC) has introduced a brand new rule that may assist defend vacationers from all these undesirable add-on charges. 

The rule tackles “Unfair or Deceptive Fees.”

These are generally utilized to short-term lodging as “resort” or “destination” charges when prospects use lodge facilities similar to swimming pools or gyms.

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Quick-term lodging consists of lodges, motels, trip leases and companies like Airbnb.

About 6% of lodges cost resort charges, in line with the American Resort and Lodging Affiliation.

Resorts are actually required to show ‘misleading charges’ upfront to prospects

New FTC regulation mandates lodges disclose all charges upfront, eliminating hidden resort expenses (iStock)

“The rule prohibits bait-and-switch pricing and other tactics used to hide total prices and mislead people about fees in the live-event ticketing and short-term lodging industries,” in line with the FTC’s press launch.

Taxes or different authorities charges are excluded from the rule.

Quick-term lodging and live-event companies should embody the pricing data of their adverts and provides the whole worth “upfront.”

“The total price includes all charges or fees the business knows about and can calculate upfront, including charges or fees for mandatory goods or services people have to buy as part of the same transaction,” says the FTC’s web site.

The brand new rule impacts short-term lodging and live-event pricing. (iStock)

“We were the first hospitality company to ensure non-government fees charged by hotels are upfront and included in the total price displayed to customers,” the spokesperson mentioned. 

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“This enhanced display has been in place for two years, so guests are unlikely to notice a difference from what they see today,” Marriott additionally mentioned. 

“Consistent, upfront pricing will bring much-needed clarity to the marketplace.”

Earlier this 12 months, the group’s president and CEO, Rosanna Maietta, mentioned in a press release that it had “led the charge in establishing a federal standard to provide travelers with consistent, upfront pricing that will bring much-needed clarity to the marketplace.”

She added, “We strongly believe that all consumers deserve transparency in the booking process, no matter where they choose to book their stays.”

About 6% of lodges cost resort charges, in line with the American Resort and Lodging Affiliation. (iStock)

There are a couple of methods vacationers can keep away from paying resort charges, in line with Nerdwallet.

“When you book rooms on points, some resorts still tack on resort fees, which you must pay in cash on top of the points rate,” reads the web site.

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Vacationers who’ve lodge elite standing are generally exempt.

Nerdwallet suggests utilizing lodge factors to keep away from the payment.

TAGGED:customersdeceptivedisplayfeesHotelsrequiredupfront
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