Tag: ftc-rules

  • Why Your Hotel’s Resort Fee Might Finally Show Up Before You Book in 2026

    You find a hotel room for $129 a night. Great price, you think.

    Then you check in. The final bill says $164.

    That extra $35 is a resort fee. It was sitting in the fine print the whole time, waiting for the one moment you couldn’t easily back out.

    Millions of Americans know this exact feeling. A federal rule now in effect is supposed to change it. Since 2025, more hotels have to show the real price, resort fee included, before you ever hit book. Here is what is actually happening, and what it means for your next trip.

    What a Resort Fee Really Is

    A resort fee is a mandatory daily charge added on top of your room rate. Hotels call it different things. Destination fee. Amenity fee. Facility fee. The name changes. The math does not.

    You get charged whether you use the pool, the gym, or the WiFi it supposedly covers. Skip all three, and you still pay the resort fee.

    These charges are not small pocket change. According to travel research from Upgraded Points, resort fees typically run from under $10 a night to more than $50 a night, and at some high-end properties, like Dorado Beach in Puerto Rico, the daily fee tops $100. Even a well-known spot like the Algonquin Hotel in New York City adds a $30-a-day destination fee.

    Stack that over a five-night trip, and a cheap-looking room stops being cheap at all.

    Las Vegas is the clearest example of this. The average resort fee on the Strip runs $45 to $51 a night, and top-tier properties charge even more. That is exactly why a $59 room on a booking app can turn into more than $100 a night once you actually check in. This has been standard practice there for over a decade, long before any federal rule tried to catch up with it.

    Elegant hotel lobby with front desk where guests check in

    The New Rule Changes the Timing, Not the Fee

    Here is the part a lot of travelers get wrong. The FTC’s rule on unfair or deceptive fees, which took effect on May 12, 2025, does not ban resort fees. It never promised to.

    What it actually does is force hotels and event-ticket sellers to show the full price, mandatory fees included, the first time a price appears on screen. Not at checkout. Not after you have already mentally committed to the trip.

    So the resort fee itself is still completely legal. What changed is where it shows up. It now has to appear early, in plain numbers, instead of hiding until you are already checked in.

    State regulators have not slowed down either. Attorneys general in multiple states are still actively enforcing pricing-transparency cases against hotels and ticket sellers well into 2026, which is exactly why this rule still matters months after it first took effect.

    A Quick Look at What Resort Fees Actually Cost

    Hotel TypeTypical Daily Resort FeeAdded Cost Over 5 Nights
    Budget or Midscale Hotel$10 to $25$50 to $125
    Major Resort or Casino Hotel$25 to $45$125 to $225
    Luxury Resort$45 to $100+$225 to $500+
    Hand holding a smartphone open to a hotel booking app screen

    Why This Still Catches People Off Guard

    Even with the rule in place, plenty of travelers still get surprised. Some booking sites operating outside US jurisdiction move slower to comply. Some hotels list the resort fee upfront, but bury it in small gray text under a bigger, bolder room price. Technically legal. Still easy to miss when you are booking on your phone at 11 p.m.

    That is the real lesson here. The law gives you the right to see the number. It does not force you to actually read it.

    That first hotel bill shock is a specific kind of annoying, the fine-print kind, not the something-actually-went-wrong kind. Once you know to check the total price first, that particular annoyance mostly disappears for good.

    How to Actually Protect Yourself When You Book

    Look at the total price, not the nightly rate, before you enter any payment information. Most booking sites now show an estimated total that includes the resort fee if you scroll past the big headline number.

    Call the hotel directly and ask one plain question: what is my total nightly cost, including all mandatory fees? Getting a straight answer before you book is still the simplest way to avoid a surprise at checkout, no matter how you end up reserving the room.

    Some stores hide their own version of a surprise charge at checkout too, and the habit of double-checking the final number before you commit is worth carrying into every purchase, not just hotel bookings.

    Read this next: Why Do So Many Stores Charge You to Return Something Now?

    Check whether the property calls it a resort fee, amenity fee, or destination fee. The label changes. Your total cost math should not.

    Third-party booking apps are usually where this fee hides the longest, since some of them still show only the room rate on the search results page and add the resort fee one screen later. Booking directly through the hotel’s own website often shows the full price sooner, right at the point you pick a room type.

    Guest handing a credit card to a hotel receptionist at checkout

    If you already got charged a resort fee that was never disclosed clearly before you booked, you have real options. Contact the hotel first and ask for it to be waived or refunded, citing the FTC disclosure rule directly. Travel advocates also say it is worth escalating to a complaint with your state attorney general, or a dispute with your credit card company, if the hotel will not budge. Neither route guarantees a refund, but both have worked for other travelers who tried.

    Hidden costs also love to show up in pairs outside of travel.

    Worth a look before your next lease: Security Deposit Alternatives Sound Free. They’re Not, and Here’s the Real Math.

    A resort fee is not going away in 2026. What is changing is your ability to see it coming, if you know to look for it before you type in your card number.

    Have you ever gotten to the front desk and found a bigger bill waiting for you than you expected?

    Disclaimer: This article is for general information only and is not financial or legal advice. Fee rules, hotel policies, and enforcement can change, so always confirm the total price directly with the hotel or booking platform before you pay.

  • Canceling Your Gym Membership Shouldn’t Be This Hard, and a Court Just Made It Worse

    Canceling Your Gym Membership Shouldn’t Be This Hard, and a Court Just Made It Worse

    Canceling your gym membership sounds like it should take five minutes. For a lot of people it still means driving back to the location that signed them up in the first place, standing in line, or mailing a certified letter and hoping it actually gets processed. A recent court decision means that frustration is not going away as fast as regulators promised it would.

    In 2024 the Federal Trade Commission finalized a rule known as Click-to-Cancel, requiring that ending a subscription or membership be at least as easy as signing up for one. If a gym let people join online, the rule said, it had to let them cancel online too. That rule sounded like the fix millions of frustrated gym members had been waiting for, and then in July 2025 the Eighth Circuit Court of Appeals vacated it entirely, striking down the rule on procedural grounds before it ever took full effect nationwide.

    A frustrated woman on the phone while looking at a gym membership cancellation page on her laptop

    That does not mean gyms are now free to make canceling as hard as they want. The FTC still enforces the Restore Online Shoppers Confidence Act, a law that requires clear disclosure of cancellation terms and, critically, a simple mechanism to stop future charges. The agency has already used it against real gyms. In a case still active in California federal court, the FTC alleges LA Fitness only let members cancel by showing up in person during limited hours or mailing a certified letter, despite offering full online enrollment. A judge’s tentative ruling in an April 2026 hearing leaned toward the FTC’s argument, and the agency also opened a new rulemaking process in January 2026 aimed at bringing a version of Click-to-Cancel back.

    Worth knowing:
    The Average American Wastes $205 a Year on Subscriptions They Don’t Even Use. I Found Mine Hiding in My Bank Statement.

    None of this friction is accidental in most cases. Gyms know that a member who signed up in January with real intentions is far more profitable once the motivation fades and the monthly charge keeps landing anyway. Industry analysts have long referred to unused, still-paying memberships as a normal and expected part of gym revenue, not a failure of the business model, which helps explain why the sign-up process gets streamlined into one click while cancellation stays stuck in 2005.

    The money at stake is bigger than most people realize until they actually add it up. An estimated 67% of gym members rarely or never use the membership they are paying for, and one widely cited estimate puts the total wasted on unused gym memberships at roughly $1.3 billion a year across the US, though that figure comes from a single source and the exact number varies depending on how it is calculated. The average US gym membership ran about $69 a month in 2024, up from $65 the year before, while the median fee sat closer to $38. When canceling your gym membership takes multiple attempts or a trip nobody wants to make, that monthly charge just keeps quietly renewing.

    A gym membership contract with paperwork and a pen sitting on a desk next to a phone
    Gym TypeTypical Monthly Cost
    Budget gym$10 to $30
    Mid-tier gym$40 to $70
    Boutique studio$50 to $150
    Premium club$150 to $300+
    US average (2024)$69

    Think about:
    Why Do So Many Stores Charge You to Return Something Now?

    A few real habits make canceling your gym membership less painful even with the federal rule in limbo. Read the cancellation terms before signing, not after, since many gyms still require written notice or a specific number of days ahead of the billing date. The FTC’s own consumer guidance on free trials and auto-renewals recommends marking the renewal date on a calendar the same day you sign up, since that is the easiest moment to forget. Many states also have separate health club contract laws on top of federal rules, often including a short right to cancel within the first few days of signing, so it is worth checking state-specific consumer protection pages before assuming federal rules are the only ones that apply.

    An empty gym equipment room with rows of unused treadmills and weight machines

    Some gyms also offer a pause option that stops the monthly charge for a set period without a full cancellation, and it is worth asking about before assuming the only choices are paying in full or going through a drawn-out cancellation process. A short pause during a busy month or an injury can quietly save the membership fee without triggering whatever cancellation hurdles the gym has built in, and it keeps the account active in case the plan is to come back later anyway.

    I paid for a gym membership once, went a handful of times, and stopped showing up after about a month, and the charge kept quietly leaving my account long after I had stopped caring. Losing that money still bothers me more than almost any other purchase I have made, mostly because I know exactly how avoidable it was.

    Same principle applies:
    My Bank Account Fees Are Eating My Paycheck

    None of this means every gym is acting in bad faith, and plenty of members genuinely do use what they pay for. The honest takeaway is narrower than that. The rule that was supposed to make canceling your gym membership as easy as joining one got struck down before it ever fully applied, the FTC is still willing to sue over cancellation practices that look designed to frustrate people, and a new rule attempt is already underway for 2026. Until any of that settles, the fastest fix is still the boring one, reading the contract before signing it.

    Have you ever tried to cancel a gym membership and hit a wall you didn’t expect, like an in-person visit or a mailed letter?

    Disclaimer: MoneyWisePro is not a lawyer or consumer protection attorney. This article is for general information only and is not legal advice. Check your specific gym contract and your state’s consumer protection laws for guidance on your situation.