Minnesota Senate passes bill banning hidden junk fees
ST. PAUL, Minn. — A push to ban so-called "junk fees" is moving ahead at the Minnesota State Capitol.
Consumer Reports found that hidden fees cost a typical family nearly $3,300 every year. That includes those extra charges that get tacked on to everything from car rentals to hotel rooms, or when dining out or buying tickets online.
Critics say businesses use the fees to conceal the true price from customers.
The Minnesota Senate passed a bill that would outlaw junk fees Wednesday with a 41-24 vote.
The bill would require businesses to disclose the full price of a product or service at the beginning of a transaction. Additionally, convenience or service fees that "do not align with an additional product or service" would be banned.
Supporters say it will drive down costs and level the playing field for honest businesses.
"By passing this anti-junk fee legislation, we are standing up for Minnesotans who expect honesty and transparency in their economy," said Sen. Lindsey Port, DFL - Burnsville. "Junk fees that inflate costs for consumers without providing real benefits are deceptive and anti-competitive — and they won't be allowed in Minnesota for much longer."
The House passed a similar bill last month. The two sides will get together now to hammer out a compromise.
The legislative session ends in less than three weeks.
