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Businesses warned against charging extra fees from credit card users

Abu Dhabi: The Abu Dhabi Department of Economic Development Consumers has advised businesses across the emirate not to charge extra fees from their customers who use their credit cards for purchases.

The department, in a circular issued to all businesses across the emirate, has warning them against collecting any extra fees when consumers opt to pay through credit cards, reported Gulf News.

The circular is a reinforcement of the recent resolution by the Supreme Committee for Consumer Protection banning any collection of extra fees from consumers when they pay via credit card for goods or services in both the business and government sectors, the report said.

Businesses that violate the law and collect extra fees on credit card payments will be subject to legal actions against them, a department spokesman reportedly said, adding that the department will be strict in dealing with such violations.

The Ministry of Economy was also quoted as saying that it will impose a fine of up to Dh100,000 on service providers that impose extra fees on credit card payments.

The department pointed out that Law No 2 of 2009 on its establishment has set out violation number (87) of the Violations Table, imposing fines on whoever collects extra fees on credit card payments.

It also said it is ready to respond to consumer complaints on this issue through the toll free number (800555).

The Ministry of Economy and the department will both reach out to all service providers and points of sale to instruct them to put up special signs indicating that no fees are to be collected for credit card payments. An inspection team will follow up to ensure compliance with the new resolution, said the news portal.

The resolution taken by the Supreme Committee for Consumer Protection cancelled all credit card fees collected in sectors like services, transactions, goods, health, education, and airlines. Consumers used to pay between Dh2-Dh5 whenever they chose to pay through their credit card, reported Gulf News.

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