There are instances when you receive an item different from what you ordered. Beyond the frustration of receiving the wrong delivery, the time and effort spent to rectify and get back the right order can be truly disheartening. The Government of India has stepped in to put an end to such e-commerce fraud by introducing guidelines to regulate these activities.
The government has issued draft guidelines for e-commerce platforms aimed at protecting customers from online fraud. These guidelines emphasize that the refund process for cash on delivery should be based on the customer’s preferred method. The government is seeking feedback from relevant stakeholders on the draft by February 15.

Fraudulent activities in online shopping are increasingly coming to light, with instances where customers order expensive items but receive something completely different. However, this will no longer be the case. The central government has introduced these draft guidelines to safeguard consumers from such fraud. These self-regulatory guidelines were developed under the supervision of the Ministry of Food and Consumer Affairs by the Bureau of Indian Standards (BIS). With the rapid growth of digital shopping in India, this initiative aims to enhance consumer protection in the e-commerce sector.

Payment option

According to the contract formation guidelines, e-commerce platforms will be required to obtain consumer consent, review transactions, and establish transparent policies for cancellation, returns, and refunds. Platforms must provide a complete record of each transaction to consumers. Payment options such as credit/debit cards, mobile payments, e-wallets, and bank transfers will be mandatory.

Additionally, platforms will need to disclose processing charges. Secure payment systems, including encryption and two-level authentication, will be required. For recurring payments, an easy opt-out procedure must be provided, along with clear details about the timing, interval, and amount. Cash-on-delivery refunds will be processed according to the consumer’s preference.

The post-transaction guidelines emphasize clear timelines for refunds, replacements, and exchanges of counterfeit products, along with ensuring timely delivery. The government’s initiative aims to create a safe and transparent experience for consumers on e-commerce platforms. The draft guidelines state, “The growing influence of e-commerce has introduced new challenges related to consumer protection and trust. In this context, the importance of clear and effective rules for self-governance is paramount.”