Dh100,000 fine for extra charge on credit card transactions

The firms which charge an extra fee on credit card transactions will be fined up to Dh100,000.
The Abu Dhabi Department of Economic Development has issued a circular to trade establishments, warning all those involved in illegal collection.
Last month, the Supreme Committee for Consumer Protection had asked businesses not to charge extra fee on credit card transactions.
Many educational and health institutions, travel agents, jewellers, traders and other service providers were charging Dh2 to 5 per credit card transaction. Several exchange companies charge Dh3 on utility bill payments through credit cards.
Mohammed Munif Al Mansouri, executive director of Abu Dhabi Business Centre of the Abu Dhabi Department of Economic Development, said that the Ministry of Economy has banned any collection of extra fees for using credit cards.
He referred to Law No 2 of 2009, on the establishment of the department, that has set out the violation.
The department has asked consumers to come forward and complain against the firms which charge additional fee for credit card transactions through the toll free number, 800555 and assured that the department will deal with them strictly.
In line with the resolution of the Supreme Committee for Consumer Protection and to safeguard consumer rights, the Ministry of Economy has joined hands with the department to reach out to all service providers and traders to instruct them to put special notices for public information that no fees are to be collected for payments through credit card.
A monitoring team will ensure compliance.
The committee's resolution came after receiving a number of complaints from various emirates that consumers are charged extra fees up to five per cent of the purchase value when they pay through their credit cards.
haseeb@khaleejtimes.com

• UAE
• Abu Dhabi