Tuesday, September 26, 2006

Cebu councilor urges DTI to conduct info drive on product warranty

A Cebu City councilor has urged the Department of Trade and Industry (DTI) to conduct information drive to inform consumers on the product service warranty provision of the Consumers Act of the Philippines.

Cebu City Councilor Arsenio Pacana, Cebu City Council chairman of the committee on business, trade and industry, said the council is set to pass a resolution requesting the DTI to act on this matter to protect the consuming public from trade malpractices and from substandard hazardous products.

He said many consumers still fall prey to some blatant and sales malpractices observed in some business establishments or stores in malls selling appliances. Pacana cited the non-observance of the product and service warranty provision of the Consumers Act of the Philippines.

He said most of the unpopular brands of appliances sold in merchant stores were not covered by appropriate warranties because the manufacturer of these appliances had no branch office or service center in the locality.

”It must be stressed that the failure of some business establishments or appliance stores to provide buyers, especially those buying unpopular branded appliances, the lack of appropriate warranties clearly violates the mandate of the Consumer Act,” Pacana’s proposed resolution stated.

He also called on the Bangko Sentral ng Pilipnas and the DTI to make guidelines on appropriate credit card surcharges to protect consumers particularly those who buy appliances in merchant stores.

Pacana said merchant store owners selling appliances usually impose extra surcharges on consumers using credit cards.

Based on informal survey of appliance stores in shopping malls, Pacana said, credit cards users pay three to six percent more for their purchases compared to those who pay in cash.

He said there is a growing clamor to protect consumers from the unfair practice of appliance stores imposing the additional surcharge.

”Using credit cards instead of cash has a positive effect on the economy since it would encourage consumers, local and foreign tourists to safety shop around and buy goods without necessarily bringing cash,” the resolution said. (PNA)

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