CITYWIDE — MAYOR ZOHRAN MAMDANI and the New York City Department of Consumer and Worker Protection on Friday announced new rules targeting junk fees and subscription traps. The proposed “Junk Fees” rule requires businesses to advertise the full price of goods and services, including all mandatory and hidden charges. A public hearing on this proposed rule will take place Aug. 7.
The final “Click-to-Cancel” rule, effective Oct. 1, mandates a simple and straightforward subscription cancellation process, and is expected to save New Yorkers up to $162.5 million annually. Businesses that violate the rule will be subject to restitution and civil penalties, beginning at $525 per violation.
“If you can sign up with one click, you can cancel with one click,” Mamdani said in a release.
Junk fees and subscription traps cost families an average of $3,200 per year, according to state Sen. Kristen Gonzalez, who represents northwest Brooklyn and parts of Queens and Manhattan.
✰✰✰
