President Biden Went to battle hotel resort fees and other consumer charges occurred this fall. He directed federal agencies to find ways to crack down on or ban them.
But now CFPB ready to limit credit card late fees to $8 But for the remaining junk fees the president has criticized, agencies are only continuing to “prioritize them,” instead calling Congress to act. There are also possibilities that are better for the president.
There are (4) categories of fees the President is calling for.
- Online ticket price: Service charges for purchasing event tickets. This makes the cost higher compared to ticket headline prices. Raising the total cost of tickets and compensating ticket brokers on the back end means more transparent pricing instead of lower prices.
- Family seat price: It suggests that parents don’t have to pay more to sit with their kids on flights.Dot Plans to require more explicit disclosure of such seat selection costs That’s less than 0.5 percent of DOT consumer complaints (if families are separated, it’s usually during irregular operations, which we don’t cover here).
- Early cancellation fee Television, telephone and internet service. This can limit the availability of pre-discounted plans due to high consumer churn. It doesn’t make sense for a company to invest heavily in customer acquisition if the customer’s initial value is low.
- Resort Fees and Destination Fees: These should be included in the advertised cost of the room and of course these are not optional so they are really part of the price. Not including them is fraudulent and deceptive. Additionally, resort fees make it difficult to compare shops. These aren’t usually seen when shopping for rates. Each property you may consider will be listed at a price lower than the list price (often not even the same amount).
At the very least, governments can start by removing incentives to encourage resort fees from the start (discriminatory treatment of hotel room rates and surcharge taxes at the state and local level).
Over the past several years, many major policy decisions have been made through the direct actions of federal agencies. President Obama 10 years ago Declared “I’ve got a pen and a phone.” Congress nearly stopped legislation (although it continued to divert it to some extent), and the president acted alone, expanding the meaning of the body that authorizes statutes, sometimes supreme. It violated the court’s “principal problem principle”.
But President Biden didn’t follow the path that led to employer-mandated vaccines, the CDC’s eviction moratorium, or student loan forgiveness. He chose not to call on parliament act, it’s different acting.
- He prefers this as a middle-class voter issue, not as a policy that actually happens
- With a very thin majority in the Republican-dominated House of Representatives and the Senate, which often requires 60 votes, it will be very difficult to pass the policies the president wants.
- By “calling for legislation,” Biden effectively said, “I am voicing my support, but nothing will happen. This is good,” he says.
- Taking the issue to Congress opens a corporate checkbook to fund the campaign, but affected industries are lobbying against the action.
By calling Congress to action, Biden is declaring no action. Campaign funds are raised in Congress and the president’s party can stand up on the issue.and they haven’t touched The most fraudulent fare in travel.
(HT: @cracker)
