The Consumer Affairs Ministry has raised concerns over e-commerce platforms charging extra fees for Cash-On-Delivery (COD) payments. The minister has promised a strict crackdown on such ‘dark patterns’ — deceptive practices designed to subtly push users toward specific payment methods.
This move comes amid growing complaints from shoppers who feel pressured into online payments or charged hidden fees when choosing COD. The government’s intervention aims to safeguard consumer rights and ensure transparency in online transactions.
1. What Are ‘Dark Patterns’?
Definition: UX/UI design tricks that manipulate users into making unintended choices.
Examples in E-commerce:
Extra charges appearing only at checkout.
Complex options to opt-out of certain services.
Pop-ups or nudges encouraging digital payments over COD.
The ministry believes these practices mislead consumers and violate fair-trade norms.
2. Current Issue: COD Extra Fees
Many online retailers charge a small surcharge for COD, citing logistics costs.
Critics argue that these fees are often non-transparent, only visible during checkout, pressuring consumers toward prepaid payments.
The ministry has received multiple complaints highlighting this practice as exploitative and unfair.
3. Government Action & Consumer Protection
The ministry plans to investigate e-commerce platforms for compliance with consumer protection laws.
Potential penalties include fines, public warnings, and mandatory removal of deceptive practices.
Awareness campaigns will educate consumers about their rights regarding COD and hidden charges.
Authorities will also monitor website/app designs to identify and eliminate dark patterns.
4. Impact on Consumers and Retailers
Consumers
Increased transparency when choosing payment methods.
Protection from hidden fees or coerced online payment methods.
Retailers
Must ensure full disclosure of any COD or service fees upfront.
UX designs should comply with consumer protection laws, avoiding manipulative nudges.
5. Tips for Shoppers
Check Final Checkout Costs: Verify if COD carries extra charges before confirming the order.
Report Violations: Submit complaints to the Consumer Helpline if misled or overcharged.
Prefer Transparent Platforms: Use online stores that clearly disclose all fees upfront.
Understand Your Rights: Consumers cannot be unfairly coerced into using specific payment methods.
FAQs
Q1: What are dark patterns in online shopping?
Deceptive UI/UX designs that manipulate users into decisions they might not make otherwise.
Q2: Can e-commerce platforms charge COD fees?
Yes, but they must disclose these charges clearly upfront. Hidden fees are considered unfair.
Q3: How will the government enforce this crackdown?
Through investigations, fines, compliance directives, and awareness campaigns.
Q4: What should consumers do if charged hidden COD fees?
Report the incident to the Consumer Helpline or relevant consumer protection authorities.
Q5: Why is COD still widely used in India?
COD is preferred by consumers who lack access to digital payments or prefer cash transactions for security and convenience.
Published on : 4th October
Published by : SMITA
www.vizzve.com || www.vizzveservices.com
Follow us on social media: Facebook || Linkedin || Instagram
🛡 Powered by Vizzve Financial
RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed
https://play.google.com/store/apps/details?id=com.vizzve_micro_seva&pcampaignid=web_share