By buycardmachines August 21, 2025
If you have an online business in 2025 and your focus is only on providing the best customer experience possible, then shift your focus a little. This is because you also have to pay attention to the new federal trade commission (FTC) rules. There are a couple of major changes coming this year in the FTC rules that may impact how you sell, market, and manage subscriptions. The good news? Preparing ahead of time means not having to scramble when it happens, and without that unnecessary stress, you can reinforce your customers’ trust in you.
So here are the most important updates that every online merchant should understand:
1. No More Hidden “Junk Fees” – Starting May 12, 2025
The FTC is taking action against surprise add-on charges associated with event admission and short-term lodging. Customers should see the true all-in price and not up-front a low teaser rate and then unanticipated fees at checkout.
What this means for you:
- Display the full price (including all mandatory fees) in a clear and timely manner in the transaction process.
- Steer Clear of “drip pricing” or Hiding Pricing with Fine Print
- This rule is not only to keep you compliant but also to create trust. Customers love straightforward pricing.
2. The “Click-to-Cancel” Subscription Rule – Enforced July 14, 2025
If your service is offered on a subscription or auto-renewing basis, then this one’s for you. Cancellations must be just as easy as sign-ups according to FTC rules. You should allow click-to-cancel for subscriptions.
Key takeaways:
- Customers should provide explicit informed consent before signing up.
- Terms of the subscription should be unintimidating and easy to understand.”
- If a customer signed up online, they must have access to do so online, which means no phone calls and no hoops to jump through.
Review your subscription flow. While a move toward smoother cancellations may feel risky, it tends to lead to greater customer willingness to sign up in the first place.
3. New Opt-Out Rules for Calls & Texts – Effective April 11, 2025
Now let us discuss about the next FTC rules. While technically under the FCC, these updates affect any merchant using calls or texts to connect with customers.
Here’s what’s changing:
- Customers can opt out in any reasonable way—replying “STOP” to a text, leaving a voicemail, even sending an email.
- You must honor these requests within 10 days.
- After an opt-out, you can only send one short confirmation message (no sneaky marketing add-ons).
Bottom line: make sure your systems are flexible and fast when handling opt-outs.
4. Other Enforcement Areas to Watch
In addition to these big FTC rules, the FTC is also tightening its focus in certain areas:
- AI marketing claims: Be specific and honest when marketing AI-driven tools.
- Children privacy: Get ready for additional scrutiny if your platform gets data from children under 13.
- Payment providers: Regardless of whether you use a third-party payment processor, the liability for combating fraud and shady practices falls on you.
Conclusion
2025 does have more compliance work but it is also a chance. Clear pricing, easy cancellations, and transparent communication, are not just legal requirements. Being aware and practicing these FTC rules these now will not only keep you out of trouble, but will also help strengthen your relationships with the very people who help keep your business turning.
Frequently Asked Questions
1. What are “junk fees,” and how will the new FTC rule affect my business?
Junk fees are those surprise add-on charges customers see at checkout—like service fees or booking fees—that weren’t clearly shown upfront. Starting May 12, 2025, merchants must display the total price (including all mandatory fees) before a customer clicks “buy.” If you sell tickets, lodging, or anything with extra charges, you’ll need to update your pricing displays to stay compliant.
2. What exactly is the FTC’s “Click-to-Cancel” rule?
The FTC rules aims at subscription and auto-renew services. Beginning July 14, 2025, businesses must make canceling as easy as signing up. That means if customers subscribed online, they must be able to cancel online without calling customer service or navigating complicated steps.
3. Do the new opt-out rules for calls and texts apply to small businesses too?
Yes, they apply to any business that sends marketing or informational messages by phone or text. Starting April 11, 2025, customers can opt out in any reasonable way—replying “STOP” to a text, emailing, or even leaving a voicemail. You must honor their request within 10 days.
4. How will the FTC enforce these new rules?
The FTC has already taken action against major companies for tricky subscription models and misleading pricing. Expect tighter enforcement in 2025, with penalties for businesses that don’t comply. Beyond the new rules, they’re also watching closely for false AI claims, kids’ data privacy issues, and fraud risks in payment processing.
5. What should I do now to prepare for these 2025 FTC rules changes?
Here’s a quick checklist:
- Make sure your website shows all prices upfront—no hidden fees.
- Review your subscription terms and cancellation process.
- Update systems to handle opt-outs quickly and across multiple channels.
- Double-check your marketing language and privacy practices.
- Talk with your payment processor to ensure fraud prevention steps are in place.
Getting ahead of these rules now means fewer compliance headaches later—and happier, more loyal customers.