Hopper Travel Service Fined $35 Million Over Hidden Fees

Hopper Travel Service Fined $35 Million Over Hidden Fees

Hopper, the mobile app known for using AI to predict flight and hotel prices, has reached a $35 million settlement with the US Federal Trade Commission (FTC). The agreement follows allegations that the company misled users and concealed the final prices of services. This marks another serious step in protecting consumer rights in the digital market, according to Techcrunch.com reports .

According to the FTC, the Hopper app used "dark patterns" in its interface design to force users into making decisions they did not intend. Through this method, the company hid additional fees, automatically selected optional services, and made it difficult to understand the actual cost of the service. These practices caused many travelers to encounter unexpected expenses.

Specifically, the regulator noted that Hopper deceived consumers regarding its "VIP Support" and "Price Freeze" services. Users believed these features would simplify their booking process, but in reality, they faced additional costs and limitations in customer support. While payments for tips and VIP services were listed as optional, they were often pre-selected and hidden at the bottom of the interface.

Deception in Price Freezing

One of the company's most popular offerings, "Price Freeze" or "Hold the Room," also came under fire. Hopper promised that prices would remain unchanged for a certain period through this service. However, the FTC found that the app did not provide clear information about the limitations of this service. For example, price freezing only applied up to a certain limit and only if the booking availability remained.

The $35 million fine will be used to compensate affected consumers. Additionally, per the court ruling, Hopper must now refrain from misrepresenting any pricing structure. The company is required to display all hidden commissions and the final price fully and transparently before the user completes the payment.

Hopper is not the only company facing such issues. Recently, the FTC has been fighting a series of major services over "junk fees":

  • The ticket-selling platform StubHub agreed to pay a $10 million fine;
  • Booking Holdings was fined $9.5 million for hiding hotel prices;
  • Match, Fortnite, and the neobank Dave have also reached settlements over similar allegations.
Launched in 2014, the Hopper app has surpassed 120 million downloads worldwide by 2024. Given that users from Uzbekistan also use this app for international travel, it is recommended to be attentive to the final price and automatically checked boxes when booking on such global platforms.

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