Errant retailers' tactic: Pile on costs after payment made, says CASE

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The tactic used by errant retailers at Sim Lim Square is to pile on additional costs after consumers have paid for their purchases said Consumers Association of Singapore (CASE) Executive Director Seah Seng Choon.

These retailers would then threaten to withhold the gadgets bought if the consumer does not pay the additional costs, which are usually not made known or hidden until payment is made, Mr Seah said in an email to Channel NewsAsia.

One example was the Mobile Air incident. The Sim Lim Square retailer had tried to force Vietnamese tourist Mr Pham Van Thoai to fork out an additional S$1,500 for a warranty package after he bought an iPhone 6.

With this in mind, Mr Seah said consumers should consider the following:

• Always ensure all items are listed on the invoice. Leave no blanks on the invoice and get retailers to confirm the list items payable before making payment. Should the retailer refuse, consumers should walk out.
• Piling on additional cost after a price is agreed on is an unfair practice, and consumers have the right to take the business to task.
• Consumers should do their homework on the prices of the items they intend to buy, and the reputation of the shops.
• Vote with your wallets - go for retailers that have a good track record.
• If the offer is too cheap, that's a red flag for consumers. Shoppers should bear in mind that such huge discount is a tactic used by errant retailers to lure customers to their shops. "If the offer is too good to be true, it probably is," said Mr Seah.