Remember that sinking feeling when your $99 hotel room suddenly costs $150 at checkout? Those days are numbered, thanks to the FTC's new junk fee rule. Here's what this game-changing regulation means for your next Expedia booking — and how it's already making travel planning way less stressful.
The Federal Trade Commission finalized its Rule on Unfair or Deceptive Fees in December 2024. It's a real win for anyone who's tired of pricing surprises. Before you start planning your next getaway, check out Groupon's Expedia discount codes for extra savings on top of this new transparency.
Here's the quick version:
- All mandatory hotel and vacation rental fees must be shown upfront.
- The rule applies to U.S. short-term lodging and event ticketing.
- Optional services and government taxes are not included.
- Expedia already complies, showing all-in pricing on listings.
What the FTC's Junk Fee Rule Actually Does
Think of this rule as the end of travel site hide-and-seek with your money. The FTC now requires businesses to show you the total price upfront — including all those mandatory fees that used to pop up at the last second. No more discovering that "resort fee" or "cleaning charge" when you're already mentally checked into your vacation.
The "Bait-and-Switch" Problem It Solves
You know the drill: you search for hotels under $100, find the perfect spot, then watch the price climb as fees pile on. The new rule puts an end to this frustrating game. It makes the total price the most prominent number you see. It's like finally getting the real story upfront instead of the fine print version.
Which Travel Fees Must Now Be Shown Upfront
The rule covers short-term lodging, which includes hotels and vacation rentals. Any mandatory fees — think resort fees, cleaning fees, service charges, or facility fees — must be baked into that headline price. If you can't book the room without paying it, it has to be included from the start.
How This Changes What You See on Expedia
Here's where Expedia actually gets to take a victory lap. The company has been advocating for price transparency for years. They already started showing all-in pricing to comply with California's similar law that kicked in during summer 2024.
Expedia's Head Start on Transparent Pricing
Expedia publicly supports the FTC rule, and for good reason — they've been moving in this direction anyway. The platform has made showing taxes and fees upfront a standard practice. You're less likely to see dramatic price jumps during checkout. Plus, their Member Prices program offers instant savings that you can see clearly from the start. If you're curious about maximizing those member benefits, the Expedia rewards program can help you stack even more value on your bookings.
What "Total Includes Taxes and Fees" Really Means
When you see this phrase on Expedia now, you can actually trust it. The displayed price should include all those pesky mandatory charges that used to hide until checkout. It's refreshing to know that the $120 hotel room actually costs $120, not $120 plus a surprise $30 in fees.
Fees That Still Might Surprise You
Expedia has supported transparent pricing for years. The company began showing all-in prices in 2024 to meet California law and now applies that standard nationwide. With taxes and fees displayed upfront, price jumps at checkout are far less common.
Optional Charges That Don't Count
The rule only covers mandatory fees. Optional services like room service, parking, spa treatments, or Wi-Fi upgrades can still appear as add-ons. These make sense to keep separate since you actually have a choice about whether to pay them. Just read the fine print to know what's truly optional versus what you'll be charged no matter what.
Government Taxes vs. Junk Fees
Government-imposed taxes are also exempt from the upfront pricing requirement. Many sites (including Expedia) often include them anyway for simplicity. The rule specifically targets those sneaky business fees that felt more like gotcha moments than legitimate charges.
Note: The FTC rule takes effect in 2025, and businesses have several months to fully implement it. You may see changes roll out gradually across travel sites.
Your Action Plan for Smarter Travel Booking
Even with the new rule in place, staying sharp about travel pricing will help you get the best deals. You'll avoid any remaining surprises too.
Red Flags to Watch For on Any Travel Site
Keep an eye out for these warning signs when booking:
- Prices that seem too good to be true compared to similar properties
- Vague language about "additional fees may apply"
- Multiple price displays without clear labeling of what's included
- Properties that don't clearly state whether parking or Wi-Fi are included
Questions to Ask Before You Book
A few quick questions can save you headaches later:
- Does this price include all mandatory fees and taxes?
- What optional services cost extra, and how much?
- Are there any seasonal or event-related surcharges?
- What's the cancellation policy if unexpected fees appear?
FAQs
How will the new junk fee rule change prices on Expedia?
You'll see higher upfront prices that actually reflect what you'll pay. No more low teaser prices that jump up at checkout. The total cost stays the same — you're just seeing the real number from the start.
What are the most common junk fees on travel sites?
Resort fees, cleaning fees, service charges, and facility fees are the big culprits. These mandatory charges used to hide until the final booking step. Now they must be included in the advertised price.
Does the new rule apply to flights as well as hotels?
No, this specific rule only covers short-term lodging (hotels and vacation rentals) and live-event ticketing. Flight pricing follows different regulations, though airlines have their own transparency requirements.
What should I do if I still see hidden fees after booking?
Document everything and contact the booking site's customer service immediately. If you're dealing with an Expedia reservation, their Expedia refund process can help you resolve billing disputes. You can also file a complaint with the FTC if a site isn't following the new rules.
Quick Reference: Before vs. After the Rule
| Before the Rule |
After the Rule |
Hotel: $99/night + Resort fee: $25 + Service fee: $10 Total: $134 |
Hotel: $134/night (includes all mandatory fees) Total: $134 |
Vacation rental: $80/night + Cleaning fee: $50 + Service fee: $15 Total: $145 |
Vacation rental: $145/night (includes all mandatory fees) Total: $145 |
Start Planning Your Next Trip
The FTC's junk fee rule makes travel planning more straightforward. Smart shoppers know there's always room to save a little more. Before you check out at Expedia, explore Groupon's latest Expedia discount codes. It's an easy way to stretch your travel budget without any extra effort — and with transparent pricing, you'll know exactly what you're saving.
- Federal Trade Commission Announces Bipartisan Rule Banning Junk Ticket, Hotel Fees — Federal Trade Commission
- The Rule on Unfair or Deceptive Fees: Frequently Asked Questions — Federal Trade Commission
- Transparency in Travel Pricing: A Win for Consumers and a Standard at Expedia — Expedia