Understanding Hidden Fees and Consumer Protection

The video discusses the prevalence and impact of hidden fees in various industries, explaining the concept of drip pricing and its effectiveness in increasing consumer spending. It highlights the challenges consumers face in avoiding these fees and offers practical strategies to combat them, such as reviewing statements, asking for fee waivers, and supporting ethical sellers. The video concludes with a call to action for consumers to fight against hidden fees and support regulatory changes.

What percentage of Americans encountered hidden fees between 2017 and 2019?

• 65%

• 75%

• 85%

• 95%

What is the term used by economists to describe the gradual reveal of hidden fees?

• Sneak Pricing

• Layered Pricing

• Drip Pricing

• Hidden Pricing

In the StubHub experiment, how much more did people spend when fees were shown at the end?

• 20% more

• 15% more

• 25% more

• 10% more

Which industry made nearly $3 billion in fees in 2018?

• Airline Industry

• Hotel Industry

• Banking Industry

• Automobile Industry

What is one way consumers can protect themselves from hidden fees?

• Ignore monthly statements

• Use auto-pay for all bills

• Avoid using credit cards

• Review statements periodically

What should you do if you spot a hidden fee?

• Ask for it to be waived

• Switch to another service

• Ignore it

• Pay it without question

How can loyalty programs help in avoiding hidden fees?

• They waive fees for members

• They increase the number of hidden fees

• They provide free services

• They offer discounts on all purchases

What is a potential risk of signing up for a credit card to avoid fees?

• Increased spending

• Higher interest rates

• All of the above

• Lack of self-control

What can consumers do to fight against hidden fees?

• Support ethical sellers

• Write a review online

• File a complaint

• All of the above

What is the only federal ban related to drip pricing?

• Airline industry

• Hotel fees

• Automobile industry

• Banking fees