By: Mandilakhe Tshwete – IOL Business

Spaza shops across the country are under scrutiny following a growing number of consumer complaints about unauthorised surcharges added to purchases made using bank cards.

The Consumer Goods and Services Ombudsman (CGSO) has confirmed that it is unlawful for spaza shop owners to charge customers extra for choosing card payments over cash.

CGSO Ombud Lee Soobrathi said the practice contravenes Section 23 of the Consumer Protection Act, which governs fair pricing.

“If I’m a customer buying a service or product, it must be clearly priced and I must pay that price,” Soobrathi said.

“If a product is labelled R10 and I opt to pay by card, the shop cannot charge me R12 just because I’m not using cash. That’s not allowed.”

The CGSO further noted that complaints have emerged from residents in Soweto, Gauteng, who claim they are being charged excessive card fees at local shops.

“There are guidelines, particularly from the Payment Association of South Africa, that clarify this. A supplier is not allowed to apply a surcharge for card use,” said Soobrathi.

Whatsapp