Govt forbids surcharges on credit-card purchases

[ed168]

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maayo ni sya,mao btaw mangutang kay way kwarta at least dli na ta kwartahan nla

[dagget]

DTI: Promos masking credit-card surcharges


Retailers cannot use artificial promotional discounts to circumvent a new directive banning extra charges on goods and services paid through credit card.

Director Victorio Mario Dimagiba, chief of the Bureau of Trade Regulation and Consumer Protection (BTRCP), stressed this in a letter to Rep. Joseph Santiago of Catanduanes.

Adopting the (card) surcharge-inclusive price as regular tag, and then selling the same product to cash buyers at a lower price in the guise of a promotional discount, constitutes a violation of the DTI’s Administrative Order (AO) 10 series of 2006, Dimagiba told Santiago.

The AO bars retailers from imposing surcharges on credit-card purchases. The new practice, Dimagiba said, is a circumvention of the department order. It also violates safeguards against deceptive promotions, he added.

The Department of Trade and Industry labels a practice deceptive when it claims that a specific advantage of a consumer product exists when in fact it does not.

The violation is covered by criminal liability, according to Dimagiba.

Santiago had earlier sought the department’s comment after receiving reports that retailers are using the (card) surcharge-inclusive price as base tag. They then allegedly sell the same goods or services at an imaginary discount to those paying in cash. The margin is from 5 percent to 10 percent.

AO 10, which took effect November 5, metes out prison time and fines against violators. It requires every retailer to display only one tag to indicate the price of each product or service. The order bans the use of two price tags—one indicating a “cash price” and another designating a “card price”—for the same product or service.

The Philippine Retailers’ Association has asked the department to suspend enforcement of AO 10.


http://www.manilatimes.net/national/...61203met2.html

[Metz]

ha! so tiklo diay gihapon, gaya pa nko magka CC uy

[dexfranco]

Santiago had earlier sought the department’s comment after receiving reports that retailers are using the (card) surcharge-inclusive price as base tag. They then allegedly sell the same goods or services at an imaginary discount to those paying in cash. The margin is from 5 percent to 10 percent.

AO 10, which took effect November 5, metes out prison time and fines against violators. It requires every retailer to display only one tag to indicate the price of each product or service. The order bans the use of two price tags—one indicating a “cash price” and another designating a “card price”—for the same product or service.

The Philippine Retailers’ Association has asked the department to suspend enforcement of AO 10.


http://www.manilatimes.net/national/...61203met2.html

Hala ang meaning diay ani nga dili na pwede mo hatag ug discount ang mga stores kay illegal man diay. Kinsa mang proprietor ganahan ma priso lang sa simpleng butang nga pag hatag ug discount sa customer ngek

[Soggy]

Do rebates count as discount?

A discount is applied before the exchange of goods and money (for you to make an informed decision... daw). Rebates are applied after the exchange (to the discretion of the merchant...daw).

If you check the cellphone and electronics shops in ayala & sm, most of them adopt this type of scheme and theyre still in business. So i guess there is a loophole.

<quote> The Philippine Retailers’ Association has asked the department to suspend enforcement of AO 10. </quote>

This looks VERY similar to what happened with the December 11-14 holidays. Declared today (Yaaaay!) revoked tomorow (Booooo!)

[Metz]

lisod ni ma revoke bai kay sa ubang mga nasod ingani naman jud ang pag gamit sa CC, dinhi sa Pinas wa pa kaayo na implement pero mao jud nay padulngan. Gahi man gud kaayo ug ulo ang mga retailers.

minor tweakings, and a few examples like raids o kiha ba ron, then the rest will fall in line. Changes are always hard to accept the first time they come around.

[dexfranco]

For everyones clarification mao ni ang general meaning sa discounts as it pertains to retailing http://en.wikipedia.org/wiki/Discounts_and_allowances :mrgreen:

[romil]

i don't think there discounts is in question here. the basic idea lang is, whether you pay in cash or in credit card, you should get the same privelages. so if mu give discount for cash, they should also give discount for credit card

[Metz]

yep kung mo promo cla kay cash dapat apil sad sa CC