Hidden Fees Could Cost Traders Up to RM100,000 in Fines, Warns Armizan

Traders who reveal hidden fees only at the final stage of a purchase may face legal action and fines of up to RM100,000, Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said in a written Dewan Rakyat reply.

He said the practice misleads consumers and undermines their right to know the real price before buying. He was answering Muhammad Islahuddin Abas (PN-Mersing) on hidden charges in services, food and beverage and online sales.

Traders Who Reveal Extra Charges Only at Checkout Face Legal Action

Under the Price Control and Anti-Profiteering Act 2011, businesses must include all taxes, duties and charges in displayed or advertised prices. Corporate bodies face fines of up to RM100,000, while individuals face up to RM50,000, two years’ jail or both.

The Consumer Protection Act 1999 also makes misleading price representations an offence, including a display that suggests the price covers everything when extra charges apply.

It covers physical and online transactions. Corporate bodies face up to RM100,000, and individuals up to RM50,000, three years’ jail or both.

The ministry has guidelines on an All-Inclusive Pricing Policy, requiring consumers to see the total price, including service charges and delivery fees, before confirming an order. It will step up enforcement and urges consumers to check final prices and report discrepancies.