The government is cracking down on junk fees imposed by cable TV companies.
CNN Business reported that the Federal Communications Commission (FCC) introduced new rules regarding cable TV junk fees during an open meeting on March 14.
Under these new regulations, cable and satellite TV providers must disclose the ‘all-in’ fee, which encompasses additional charges like sports programming or local broadcast channels, on bills and promotional materials sent to consumers.
The FCC’s objective is to ensure transparency in pricing, with the aim of helping consumers understand the total cost of their service, including any extras.
Consumer advocacy groups have highlighted that such fees typically make up a significant portion, ranging from 24 to 33 percent, of consumers’ bills.
According to the FCC, these rules will simplify the process of comparison shopping across providers, aligning with findings from Consumer Reports that note companies advertise attractive base rates to attract customers.
FCC Commissioner Jessica Rosenworcel emphasized the importance of transparency, stating, “No one likes to be surprised by a bill.” She stressed that the advertised price should match what consumers actually pay, without any unexpected additional charges.
The cable industry has expressed opposition to the new regulations, arguing that the current practice of itemizing charges provides greater transparency.
The NCTA, representing internet and cable television companies, asserts that their members already ensure transparency by clearly disclosing fees and the total service cost.
BY NAKI PARK, HOONSIK WOO [park.naki@koreadaily.com]
