Friday, November 03, 2006
Oro chamber welcomes removal of surcharges on credit cards
THE Cagayan de Oro Chamber of Commerce and Industry Foundation Inc. welcomes the Department of Trade and Industry (DTI) order banning additional charges on credit card purchases, declared Oro chamber president Ruben A. Vegafria.
Beginning November 05, 2006, it is illegal for shop owners to place a surcharge, extra charge, or additional charge over and above the price tag on goods and services purchased with a credit card.
The DTI finally issued on October 18, 2006 Administrative Order 10 banning credit card surcharges. The order categorically prohibits the use of two price tags - one indicating a: cash price" and another designating a "card price" for the same products or services.
In the news released through Philippine Daily Inquirer, Catanduanes Congressman Joseph Santiago, who sought the ban two years ago, said "the imposition of an extra charge of 5-10 percent on consumers paying by way of credit cards is just plain extortion, totally oppressive, discriminatory and unethical."
Merchants caught imposing the extra charge or found violating the orders face to six months in prison, or a fine of up to P300,000 or depending on the gravity of the offense. A second conviction would result in the revocation of the shop's business license. The Administrative Order also gives more meaning to the Consumer Act or Republic Act 7394. Nearly 5 million Filipinos now carry credit cards, according to the Credit Card Association of the Philippines.
Vegafria agreed that the DTI order is a welcome relief as it comes in time for the Christmas shopping season. (Press release)
For more Philippine news, visit Sun.Star Davao.
(November 3, 2006 issue)
Write letter to the editor. Click here.
Join the Sun.Star message board. Click here. |
