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Youngkin Approves Legislation to Address Junk Fees

Virginia Consumers to Benefit from New Fee Disclosure Legislation

RICHMOND—Starting in July, Virginia consumers will experience greater transparency regarding hidden fees thanks to recent legislation signed by Governor Glenn Youngkin. On May 2, the governor approved two bills—Senate Bill 1212 and House Bill 2515)—that amend the Virginia Consumer Protection Act, mandating businesses to disclose the total price of certain services and products before purchase.

The legislation addresses the common practice of hidden fees and surcharges, which often appear at the final stages of a transaction, leading to unexpected costs for consumers. The updated guidelines will ensure that advertised prices reflect all charges, eliminating ambiguity.

These bills encountered a delay in the governor’s office after passing the General Assembly. Youngkin requested additional provisions, including a 2026 reenactment clause and exemptions for health clubs from mandatory disclosures, but lawmakers ultimately rejected these amendments.

The need for such transparency is underscored by a 2024 White House report indicating that the average U.S. household spends about $650 annually on junk fees across several industries, including banking, airlines, and food delivery. Advocates argue that these fees do not provide any additional benefits but merely inflate profits for companies.

Senator Stella Pekarsky, who introduced the legislation, emphasized the importance of clear communication regarding costs. "This new version is modeled after legislation successfully enacted in other states," she stated. Ryan O’Toole, co-executive director of Freedom Virginia, highlighted that such measures are essential for reducing living costs for working families amidst economic challenges.

Rhena Hicks, also an executive director at Freedom Virginia, echoed the sentiment, noting that transparency in pricing builds consumer trust. "Virginians deserve honesty and truth in pricing," she remarked.

With the new legislation, consumers can expect a fairer shopping experience moving forward.

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