New York City bans hidden hotel fees, including resort fees, and surprise credit card holds

New York City will ban hidden hotel fees and require full disclosure of credit card holds, Mayor Zohran Mamdani announced.

Starting February 21, hotels will be prohibited from advertising room rates that exclude mandatory charges. The move aligns with a Federal Trade Commission rule requiring hotels, short-term rentals and event ticket sellers to display total prices upfront.

“These fees go by many different names: destination fees, resort fees, hospitality service fees,” Mamdani said at a press conference.

New York City’s rule goes further by requiring hotels to disclose the terms of any credit or debit card holds at the time of booking. Under the new regulation, hotels must clearly state the amount, terms and expected duration of any deposit or hold before a consumer consents to pay.