The Federal Trade Commission at its meeting Thursday voted to publish an advance notice of proposed rulemaking (ANPR) on “junk fees.”
FTC Chair Lina Khan and Commissioners Alvaro Bedoya and Rebecca Slaughter voted in favor of publishing the ANPR, and Commissioner Christine Wilson voted against it. GOP Commissioner Noah Phillips stepped down from the FTC this month, according to a news release.
The item considered at the FTC’s open meeting states it will “initiate a rulemaking proceeding addressing junk fees that are charged for goods or services that have little or no added value to the consumer. The ANPR seeks comment on the prevalence of junk fees and the consumer harms arising from junk fee practices, among other questions.”
The FTC will seek comments on:
Unnecessary charges for “worthless, free, or fake products or services.”
Unavoidable charges “imposed on captive consumers.”
Surprise charges that secretly push up the purchase price.
In June, the FTC proposed a rule to ban “junk fees and bait-and-switch advertising tactics” in auto sales, according to a news release. It is still in the proposed rule stage, and comments were due Sept. 12, according to a notice from the Federal Register.