California Enacts Law Banning Hidden Fees and Junk Charges

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Source: Business Insider
California Enacts Law Banning Hidden Fees and Junk Charges
Photo: Business Insider
TL;DR Summary

California Governor Gavin Newsom has signed a new bill into law that prohibits hidden junk fees, ensuring that consumers are not surprised by undisclosed charges when purchasing tickets or booking accommodations. The legislation, which will take effect on July 1, 2024, aims to combat deceptive business practices and provide transparency to Californians. The Consumer Financial Protection Bureau estimates that Americans spend at least $29 billion annually on junk fees. President Joe Biden has also prioritized addressing junk fees as part of his administration's consumer protection efforts.

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