The NDP has introduced a private member's bill aimed at cracking down on hidden fees charged to consumers, including those from restaurants and ATMs, while also making it simpler for users to cancel subscriptions. The proposed legislation, known as Bill 209, seeks to amend the Consumer Protection Act to require businesses to disclose all costs upfront.
Key Provisions of the Bill
Bill 209 would prohibit businesses from charging add-on fees beyond federal GST and delivery charges. This means that the advertised price must be the final price at checkout, eliminating surprise processing and service fees. Janet Eremenko, MLA for Calgary-Currie, emphasized during a news conference on Thursday that consumers should know the true cost of items before making a purchase.
ATM Fee Cap
The legislation also proposes capping ATM fees at no more than five percent of the withdrawal amount, with a maximum of $5. This move aims to reduce the financial burden on consumers who rely on ATMs for cash access.
Ticket Transfer Fees
Additionally, the bill would prohibit ticket resellers and platforms from charging fees when consumers sell or transfer tickets to another person. Eremenko argued that such fees are unnecessary and penalize consumers for exercising their right to transfer tickets.
Subscription Cancellation Reforms
A separate section of the bill focuses on making it easier for users to cancel subscriptions. Alberta NDP Leader Naheed Nenshi shared a personal anecdote about discovering an unused subscription costing him $1,000 per year, highlighting the need for simpler cancellation processes.
The issue gained global attention when Amazon agreed to pay US$2.5 billion in fines to settle a Federal Trade Commission case alleging deceptive subscription practices. The FTC found that Amazon executives discussed illegal enrollment tactics, describing the practice as an 'unspoken cancer.'
If passed, Bill 209 would require businesses to provide straightforward cancellation methods, ensuring consumers are not trapped in unwanted subscriptions.
