[elfsight_social_share_buttons id=”1″]

President Joe Biden is cracking down on more so-called junk fees, this time on retirement accounts through bad financial advice.

The White House says some advisers have a conflict of interest because certain companies pay kickbacks for investments. Those commissions can be as high as 6.5% for the adviser but may also come at a price of lower returns on client money. The Biden administration says this is a junk fee that adds up over time.

Current law requires advisers to act in a client’s best interest, but the law hasn’t been updated since 1975. That’s allowed loopholes. For example, consumers who are advised to invest in fixed index annuities are not currently protected.

The administration wants to close those loopholes. The White House estimates that doing so could boost retirement accounts by as much as 20% over a lifetime.