The Federal Trade Commission (FTC) announced it is extending the public comment period for its advanced notice of proposed rulemaking regarding junk fees.
On Oct. 22, 2022, the FTC announced that it was seeking public comments on whether it should explore a rule regarding the harms caused by junk fees and the unfair and deceptive tactics companies use to impose them.
“Junk fees are unnecessary, unavoidable, or surprise charges that inflate costs while adding little to no value for consumers,” the FTC stated.
“It’s beyond frustrating to end up spending more than you budgeted because of random, arbitrary fees,” FTC Chair Lina Khan said in the press release accompanying the Oct. 22 announcement. “No one has ever felt that a ‘convenience fee’ was convenient. Companies should compete to provide the best quality at the best price, not to see who can squeeze the most added expenses out of consumers. That’s especially true at a time when families are struggling with the effects of inflation.”
Responses to the announcement already exceed 1,000, and include comments from the Consumer Federation of America, the National Association of Mutual Insurance Companies, and hundreds of individuals.
The commission, upon the request of interested persons, has voted 4-0 to extend the public comment period until Feb. 8.