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Government looking into credit card consumer rights

By Lucy Bower

20 August2021

Credit card wallet The Government is bringing in changes that will give greater protection to consumers, as part of the European Consumer Rights Directive. A consultation on how to implement the changes is being launched on Monday.

It wants more transparency in consumer contracts. Many customers have been caught out with high charges when phoning customer service departments, or paying for goods and services with their credit card, according to The Daily Mail.

Now, calling customer service helplines will not cost more than the basic rate.

Other changes being brought in include removing pre-ticked boxes for online shoppers, so they can 'opt in' for extras like insurance instead. The 'cooling-off' period is changing too. This is the time you are given in which to cancel a contract for goods or services when you shop online. At the moment it is seven days, but it's going up to fourteen days.

There's speculation that debit and credit card surcharges are coming to an end too.

Consumer group Which? welcomes new legislation in the area, but would like to see swifter action on credit card surcharges. Executive Director Richard Lloyd commented: "We're surprised the consultation to ban excessive debit and credit card surcharges has still not been published."

The Office of Fair Trading (OFT) estimated that air passengers, for example, spend 300 million a year in these charges.

Image nithid18 - Fotolia

Tags: Which, Government, European Consumer Rights, Office of Fair Trading, OFT

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