Politics · Malaysia Bureau
Traders face hefty fines for undisclosed charges, Parliament hears
Malaysia is moving to crack down on merchants who impose hidden fees or reveal additional charges only at the point of purchase. Violations could result in penalties of up to RM100,000, Parliament was told.
LSN Malaysia ·
KUALA LUMPUR — Traders who fail to disclose additional charges upfront or spring surprise fees on customers at the final stage of transactions face significant financial penalties under Malaysian consumer protection measures, lawmakers were informed.
The warning came during parliamentary proceedings, where the issue of hidden charges was highlighted as a growing concern affecting consumers across various sectors. The proposed enforcement framework aims to ensure transparency in pricing and protect buyers from unfair commercial practices.
Under the proposed penalties, traders found guilty of imposing concealed charges or deliberately withholding fee information until the checkout stage could face fines reaching RM100,000. The measure is designed to compel merchants to display all applicable costs clearly at the point of sale, allowing consumers to make informed purchasing decisions.
The crackdown reflects growing complaints from Malaysian consumers who have encountered unexpected charges when completing purchases online and in physical stores. Authorities are emphasizing that all fees, including service charges, delivery costs, and processing fees, must be transparently communicated before customers commit to a transaction.
The initiative underscores the government's commitment to strengthening consumer rights and fostering fair trading practices in Malaysia's retail and services sectors.