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Centre Promises Strict Action Against Extra Charges on Cash-on-Delivery Orders

The issue came to light after a consumer reported being charged an additional ₹226 on a Flipkart order, which was broken into multiple vague fee categories.

Adwaid M S
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The Union government has vowed strict action against e-commerce platforms found levying additional charges on cash-on-delivery (COD) orders, calling the practice a “dark pattern” that misleads and exploits consumers.

The move comes after a series of consumer complaints and viral social media posts highlighted hidden fees, often disguised under vague labels such as “offer handling fee,” “payment handling fee,” and “protect promise fee.”

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Union Consumer Affairs Minister Pralhad Joshi confirmed that the Department of Consumer Affairs (DoCA) has initiated a detailed probe into the matter. “The Department has received complaints against e-commerce platforms charging extra for Cash-on-Delivery, a practice classified as a dark pattern that misleads and exploits consumers. Strict action will be taken against violators to ensure transparency and uphold fair practices,” Joshi said in a post on X.The issue came to light after a consumer reported being charged an additional ₹226 on a Flipkart order, which was broken into multiple vague fee categories. Similar complaints have also been raised against other platforms, including Zepto, where users noticed cash handling charges at checkout.

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The government has already banned thirteen types of dark patterns, including drip pricing, false scarcity, and subscription traps, and has warned companies against using such tactics. The Department of Consumer Affairs has started an investigation and may impose penalties or direct platforms to change their practices. The crackdown comes just before the festive season, when online shopping is at its peak and cash-on-delivery remains a popular payment option, especially in smaller towns.

Consumer rights groups argue that these charges are unfair and discriminatory because they penalize customers who prefer cash payments. Industry insiders claim that companies add these fees to cover logistics costs, but critics say such expenses should not be passed on to buyers in misleading ways. The government’s intervention is being seen as a step toward greater accountability in digital commerce and a push to make online transactions more transparent and fair.

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