‘Scrolling app fee next?’: Viral complaint on hidden charges triggers crackdown on e-commerce platforms

Union Consumer Affairs Minister Pralhad Joshi on Friday sent out a strong message to e-commerce companies to stop misleading customers with hidden charges or face strict action.

Taking to his official handle on X, Joshi said adding unfair costs like extra fees for Cash-on-Delivery (COD) is nothing but a “dark pattern” that takes advantage of buyers and goes against fair trade practices. His remarks came after a social media post went viral, exposing how customers often end up paying more under labels such as “offer handling fee”, “payment handling fee” and “protect promise fee.”

Viral post sparks debate

The post, which drew widespread attention, compared these charges to the “rain fee” once introduced by food delivery apps. “Forget rain fee by Zomato/Swiggy/Zepto. See the masterstroke by Flipkart: offer handling fee (for giving me the discount you advertised??). Payment handling fee (for letting me pay you??). Protect promise fee (protecting me from what… satisfaction?),” the X user wrote.

‘Next up: “Scrolling App Fee”, the user noted.

The Department of Consumer Affairs has received complaints against e-commerce platforms charging extra for Cash-on-Delivery, a practice classified as a dark pattern that misleads and exploits consumers.

A detailed investigation has been initiated and steps are being taken to… https://t.co/gEf5WClXJX

— Pralhad Joshi (@JoshiPralhad) October 3, 2025

Taking note, Joshi confirmed that the Department of Consumer Affairs has already received complaints about COD-related charges and is carrying out a detailed investigation. “Platforms are being scrutinised closely, and any violation of consumer rights will invite strict action to ensure transparency and uphold fair practices in India’s growing e-commerce sector,” he said.

Also Read: Government asks e-commerce firms why prices went up despite GST cuts  

Government keeping a close watch

The Centre isn’t just concerned about unfair charges. It is also monitoring whether online retailers are actually passing on Goods and Services Tax (GST) benefits to buyers. As per officials said that through the National Consumer Helpline, as many as 3,981 GST-related complaints have been resolved so far.

Checks are also being carried out to see if fast-moving consumer goods like shampoos, pulses and other daily-use products are reflecting GST rate cuts in their listed prices. 

“The CCPA is closely monitoring grievances — ensuring transparency, protecting consumers from misinformation and guaranteeing that the benefits of GST reforms truly reach every Indian,” Joshi noted earlier.

Also Read: E-commerce firm FirstCry slapped with Rs 2 lakh penalty for misleading advertisement 

Stronger monitoring as economy grows

In September, India’s GST collections hit Rs 1.89 lakh crore — up 9.1 per cent from a year ago, the fastest growth in four months. Authorities believe that making sure companies pass on these tax benefits will boost consumer demand and further strengthen the economy.

By tightening checks and cracking down on unfair trade practices, the government wants to ensure that India’s booming e-commerce industry grows responsibly while protecting consumers from hidden costs.