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Consumer NZ presents hidden fees petition

Posted on 02 August, 2017
Consumer NZ presents hidden fees petition

Consumer NZ has presented its Sneaky Fees petition at Parliament today, signed by 10,000 New Zealanders. The petition follows a report published by Consumer NZ, which shows over two-thirds of Kiwi consumers have been hit with extra fees on top of the up-front price of purchased goods. The report singled out car dealers as one of the industries responsible for hidden fees. Consumer NZ chief executive Sue Chetwin says their research shows shoppers could be paying up to $68 million every year in ‘sneaky fees’ added to the advertised price of goods and services. The extra charges, which are often described as booking or service fees, are misleading, as they aren’t disclosed up front in the retail price information, Consumer NZ says. “Shoppers are regularly being stung by hidden fees when they buy goods and services, particularly when they’re shopping online,” Chetwin says. The petition calls for all-inclusive pricing rules to be added to the Fair Trading Act, which would force retailers to disclose the full purchasing price upfront. Consumer NZ have highlighted examples of these fees, known as ‘drip pricing’, and are particularly prevalent with online purchases. These include event promoters, accommodation providers, florists and car dealers. “Retailers shouldn’t be able to dupe consumers by displaying only part of the cost,” Chetwin says, adding that the price shown for a product should be the total price paid. Consumer NZ says the organisation is writing to political parties, urging them to support changes to the Fair Trading Act.