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Month after CCPA notice, advance tipping continues on Ola, Uber, Rapido, and Namma Yatri

EntrackrEntrackr ยท 14d ago
Month after CCPA notice, advance tipping continues on Ola, Uber, Rapido, and Namma Yatri
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Month after CCPA notice, advance tipping continues on Ola, Uber, Rapido, and Namma Yatri More than a month after the Central Consumer Protection Authority (CCPA) issued a notice to ride-hailing apps such as Ola, Uber, and Rapido over their advance tipping feature, the controversial practice still remains active on these platforms. The advance tipping feature allows users to tip for a service in advance, which many view as a tactic to nudge drivers into accepting pickups. Users have criticized the feature, reporting being nudged or defaulted into paying tips before even beginning their ride, calling it misleading and unfair. As of June 22, there has been no public update on the progress of the investigation. Union Consumer Affairs Minister Pralhad Joshi stated that the government takes these concerns seriously and that the CCPA is investigating. Despite this, Ola, Uber, Rapido, and Namma Yatri still show users tipping options during the payment process or in the fare summary. Many users on platforms like X and Reddit have complained about being charged tips by default or not having a clear way to opt out. An Uber spokesperson said, โ€œWe are committed to providing a world-class experience every time someone chooses Uber. Based on feedback from riders, drivers, and our broader community, weโ€™ve made some updates to the app. We continue to engage with the authorities on this issue." Ola, Rapido, Namma Yatri, and the CCPA did not respond to queries until the time of publication. Critics argue that placing tipping within the booking process without clear consent amounts to an unfair trade practice. The continuation of the feature has prompted questions about regulatory enforcement and raised concerns about violations of consumer rights. Earlier this year, Ola and Uber received notices from the CCPA over alleged fare disparities between iPhone and Android users. However, both companies denied the claims and maintained that they follow a uniform fare structure regardless of the smartphone used.

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