Hotels Warned by FTC About Misleading Drip Pricing

Were you tempted by a bargain on a hotel room, only to end up paying more? You are not alone.

Now the Federal Trade Commission (FTC) has taken note of the problem and warned 22 hotel reservation sites about using misleading "drip pricing" techniques on their websites to lure customers.

The FTC says it issued warning letters to the offenders asking them to review the content on their websites and to make sure there is no misrepresentation about the prices. Using what is known as drip pricing, the websites quote low rates to lure customers into buying a “bargain” hotel room only to have other charges revealed later – like at check in.

According to the FTC, consumers who thought they got a deal on a room were often surprised by mandatory fees—sometimes called “resort fees”—that the hotels charge for items such as newspapers, use of onsite exercise or pool facilities, or Internet access. These fees can be as much as $30 per night, an amount which could have an impact on the customer’s buying decision.

If you or a loved one has been wronged by consumer fraud, contact Sokolove Law today for a free legal consultation and to find out if a consumer fraud lawyer may be able to help you.

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