Help Our Industry Comment on the Proposed FTC Junk Fee Rule

Today, the Federal Trade Commission officially published its Notice of Proposed Rulemaking (NPRM) to establish a Trade Regulation Rule on Unfair or Deceptive Fees (Docket No. FTC-2023-0064). This broad rule which touches a large swath of the American economy would target so-called “junk fees” in rental housing.  

Formal publication in the Federal Register starts the 60-day comment period. Comments are due no later than Monday, January 8, 2024. While you can expect NAA will file comments on the industry’s behalf, we continue to need help from NAA affiliates and members to ensure our voice is heard in DC! 

What the Notice of Proposed Rulemaking Would Do: 
As previously reported, the FTC is looking to regulate two perceived issues within the American economy writ-large and the proposed rule would:  

• Prohibit “hidden fees” - covered businesses that offer goods and services to consumers would be prohibited from advertising prices that hide or leave out mandatory fees; and 
• Prohibit “misleading fees” - covered businesses would be prohibited from misrepresenting fees and be required to disclose upfront the amount and purpose of the fees and whether they are refundable. 

Additionally, the proposed rule would require all businesses to quote total prices at the outset of the purchasing process, remove false or misleading information about fees from the marketplace, and allow the FTC to secure refunds for harmed consumers and seek monetary penalties against businesses that do not comply with its provisions.  

What Comes Next: 
NAA is actively engaged in amplifying the rental housing industry’s voice on this critical matter. Be on the lookout for a model affiliate comment letter with instructions for timely submission to the FTC as well as a member call-to-action. NAA can only be successful with your help!  

To learn more, please contact Joe Riter, NAA’s Senior Manager, Public Policy.  

Thanks as always for everything you do for the industry.