Business

Ola cabs directed to offer refund choices to users

Ola only provided a coupon code which could be used for the next ride without providing a clear choice to the consumer to opt between a bank account refund or a coupon.

Express News Service

NEW DELHI: The Central Consumer Protection Authority (CCPA) has directed Ola to implement consumer-friendly changes, including offering refund options and providing receipts for auto rides.

On Sunday, the regulator said it observed that whenever consumer raised any grievance on the Ola app, as part of its no-question-asked refund policy,

Ola only provided a coupon code which could be used for the next ride without providing a clear choice to the consumer to opt between a bank account refund or a coupon.

“It was observed that this violates consumer rights and the no-question-asked refund policy cannot mean that the company incentivises people to simply use this facility for taking another ride,”it added. Following the CCPA’s intervention, Ola has implemented several changes, including displaying contact details of grievance and nodal officers on its website, clearly mentioning cancellation policies and fees at the time of booking, adding more options for ride cancellation reasons, and publicizing fare component breakdowns.

The other changes implemented were showing address of both pickup and drop locations to drivers and revised payment cycles for drivers for swift payment.

The CCPA said that as per information on the National Consumer Helpline, 2,061 complaints have been registered against Ola from January to October 2024, with top issues including overcharging, refund delays and driver-related problems.

“Through its regulatory intervention, the CCPA has been steadfast in ensuring that Ola adheres to the legal framework established to secure the rights of consumers,” the regulator said.The move comes as the CCPA increases scrutiny of digital platforms to protect consumer interests.

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