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Why Resort Fees Survived the FTC's Junk-Fee Rule

Hotels now have to show the all-in price more clearly, but mandatory resort fees did not disappear. The reason is that the FTC's rule targets hidden pricing, not the underlying fee itself, leaving hotels free to keep using resort fees as a bundled pricing lever.

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Why Resort Fees Survived the FTC's Junk-Fee Rule

Why it matters

Hotels now have to show the all-in price more clearly, but mandatory resort fees did not disappear. The reason is that the FTC's rule targets hidden pricing, not the underlying fee itself, leaving hotels free to keep using resort fees as a bundled pricing lever.

Resort fees survived the FTC's junk-fee crackdown because the rule was aimed at hidden pricing, not at eliminating the fee itself. Since May 12, 2025, hotels and vacation rentals have had to include mandatory fees in the total advertised price. That makes it harder to surprise travelers late in the booking flow. But it does not stop a hotel from keeping a resort fee as long as the charge is disclosed properly.

That distinction is the center of the story. The FTC's guidance says a required resort fee must be included in the total price and that businesses may still itemize mandatory charges as long as the total remains clear and prominent. In other words, the agency targeted the misleading presentation of the fee, not the hotel's decision to structure part of the stay as a separate mandatory charge.

ExampleWhat is stated publiclyWhat it shows
FTC ruleMandatory resort fees must be included in the total displayed priceThe fee can remain, but it can no longer be hidden outside the real headline price
Caesars Las VegasThe resort fee applies whether guests use the amenities or not, including on comped roomsThe charge functions as a condition of the stay rather than a pay-for-use extra
Resorts World Las VegasA current promotion waives a daily resort fee of $55 per roomThe fee also works as a marketing lever that can be waived selectively
Hilton resort propertiesDaily resort charges are tied to bundles such as Wi-Fi, parking, shuttle access, umbrellas, bikes or classesHotels can package routine amenities into a separate mandatory bundle
Resort fees now have to be shown more clearly, but they are still being used as a flexible pricing tool.

That is why the fee remains useful to hotels even after the disclosure rule changed. A separate mandatory charge still helps protect the advertised room rate, lets the property describe ordinary amenities as a package of added value, and creates a promotion that sounds meaningful when the fee is waived for selected customers. Resorts World's "No Resort Fees" offer illustrates the point neatly: a charge that can be switched off for marketing purposes is operating as more than a narrow reimbursement for towels or Wi-Fi.

Caesars and Hilton property pages show the same logic in a different way. Caesars says the fee applies whether guests use the listed amenities or not, and even on comped rooms. Hilton resort listings describe broad bundles of internet, parking, beach gear, classes, shuttle access or other perks under a daily charge. Those examples help explain why the fee persists. It remains a pricing structure that hotels can defend, merchandise and selectively waive without rewriting the base room rate.

The broader consumer point is that transparency and elimination are not the same thing. The FTC's own examples say a mandatory resort fee must be folded into the total displayed price because consumers reasonably expect hotel facilities to be part of the stay. But once the total is shown properly, the hotel can still keep the charge in place and describe it as a bundled component of the stay.

What it means for travelers

Travelers are in a better position than they were before the rule took effect because the required total should show up earlier and more prominently. But the economic logic behind resort fees is still intact. The practical lesson is not that resort fees disappeared. It is that they moved from hidden add-on to visible line item while remaining part of how many hotels manage price, promotions and perceived value.

Sources & further reading

  1. The Rule on Unfair or Deceptive Fees: Frequently Asked QuestionsFederal Trade Commission
  2. FTC Rule on Unfair or Deceptive Fees to Take Effect on May 12, 2025Federal Trade Commission
  3. FTC Economic Issue Paper Examines the Impact of Disclosing Mandatory Hotel Resort Fees Separately From Room RatesFederal Trade Commission
  4. Las Vegas Hotels - Resort Fee InclusionsCaesars Entertainment
  5. ALL RESORT, NO FEESResorts World Las Vegas
  6. Embassy Suites by Hilton Scottsdale ResortHilton
  7. Seventh Night Free Terms & ConditionsGrand Wailea, A Waldorf Astoria Resort
  8. File:Bellagio Hotel & Casino exterior.jpgWikimedia Commons
  9. File:Bellagio Casino and Hotel at Night.jpgWikimedia Commons