FCC clamps down on confusing ‘hidden fees’ in your cable TV bill

The ruling aims to marque it easier to accurately comparison subscription prices against different providers. | Illustration by Hugo Herrera / The Verge

Cable and outer TV providers volition request to guarantee they amusement the full terms of subscription plans arsenic a “prominent azygous enactment item” — including costs described arsenic other fees — nether a regularisation adopted by the Federal Communications Commission (FCC) connected Thursday. The FCC says the new regularisation (pdf) for “all-in” pricing volition marque it easier for customers to comparison prices against competing providers and streaming services by eliminating the “misleading signifier of describing video programming costs arsenic a tax, fee, oregon surcharge.”

“No 1 likes surprises connected their bill,” said FCC Chairwoman Jessica Rosenworcel successful a separate connection (pdf). “The advertised terms for a work should beryllium the terms you wage erstwhile your measure arrives. It shouldn’t see a clump of unexpected junk fees that are abstracted from the top-line terms you were told erstwhile you signed up.”

The caller rules for transparent pricing connected video programming volition use to some subscribers’ bills and promotional materials. The FCC says that companies often obscure definite costs and fees, which “causes important and costly disorder for consumers.” The Commission has besides projected eliminating aboriginal termination fees issued by cablegram and outer TV providers.

Image: Comcast Xfinity Bills similar this example from Comcast volition beryllium required to intelligibly show the full price, including the other fees and charges.

Forcing companies to show their subscription prices much intelligibly mightiness beryllium a alleviation to consumers who are sick of being amazed by unexpected further fees, but cablegram providers similar Comcast, Cox, and Charter person argued that it’s unnecessary. The Internet & Television Association (NCTA) called the ruling “misguided” and claims it volition lone origin further confusion.

“Cable providers connection wide and close pricing accusation to pull and clasp subscribers, including ‘all-in’ pricing accusation earlier signing up for service,” the NCTA said successful effect to the ruling. “The FCC’s micromanagement of advertizing successful today’s hyper-competitive marketplace volition unit operators to either clutter their ads with confusing disclosures oregon permission pricing accusation retired entirely.”

Disclosure: Comcast is an capitalist successful Vox Media, The Verge’s genitor company.