Govt tells cab aggregators to stop advance tipping before rides, calls practice misleading and unfair

The government has directed cab aggregators to discontinue advance tipping options that prompt passengers to pay drivers extra even before a ride is confirmed, calling the practice misleading and an unfair trade practice, Consumer Affairs Secretary Nidhi Khare said on Wednesday.

The directive comes a day after the Central Consumer Protection Authority (CCPA) imposed a Rs 10 lakh penalty on ride-hailing platform Rapido over a range of practices, including prompts asking passengers to increase the amount they were willing to pay while waiting for a driver to accept their booking.

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