29/5/2018
PUNE: The Pune
RTO has begun cracking down on car and two wheeler dealers levying handling
charges on unsuspecting customers. In the past, Indian courts have ruled that
handling charges are illegal and that dealers stop levying it.
After receiving complaints from various vehicle buyers about
handling charges being charged by most car and motorcycle dealers in Pune, RTO
officials in the city held a meet with dealers, in which they asked them to
stop charging handling charges and also display a board prominently in the
dealership with the message ‘Handling charges are illegal.’
Sanjay Raut, deputy Regional Transport Officer, Pune, said, It’s
illegal to take handling charges from customers as it is the responsibility of
dealers to provide a registered vehicle to the buyer. We have already sent out
a communication to all dealers to stop collecting money as handling charges as
it is illegal. On Tuesday (22nd May), a meeting with automobile dealers was
also held, where strict instructions were given to dealers.
In most cases, some part of the handling charges are used to
bribe RTO officials for speedy registration of vehicles. They are also illegal
profits for the dealership. As a customer, you can refuse to pay handling
charges, as such charges are clearly illegal. The dealer has no option but to
waive these charges off. If the dealer refuses to waive off these illegal
charges, you the customer, can approach the vehicle manufacturer’s customer
service department.
In almost all cases, car and two wheeler makers take complaints of illegal handling charges seriously and instruct the dealership concerned to stop collecting illegal handling charges. In fact, there have been many instances where Tata Motors, a leading car maker in India, got dealers to stop charging illegal handling charges. There have been documented instances of Tata Motors stepping in and stopping dealers from levying handling charges on cars such as the Nexon and Tiago.
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