The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 10 lakh on ANI Technologies Private Limited, which operates ride-hailing platform Ola, for soliciting additional payments from consumers before completion of their journeys through its pre-ride ‘tip’ or ‘add-on’ feature.
The authority has directed the company to immediately discontinue the practice, observing that it misled consumers, constituted an unfair trade practice and involved the use of a dark pattern.
The order was issued by the CCPA, headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, following an examination of Ola’s app interface, which prompted users to make additional payments while the platform was searching for a driver. The messages suggested that paying extra could improve their chances of securing a ride faster.
The authority noted that Ola subsequently renamed the ‘tip’ feature as an ‘add-on’, but the underlying practice remained unchanged.
Additional payment prompts created misleading impression
The CCPA examined different versions of Ola’s app interface and found that messages such as “Adding a tip might help increase the chances of getting a ride faster”, “Tip now to boost the chances of getting a ride sooner” and “Improve your chances of quicker ride confirmation!” suggested that additional payments could accelerate ride confirmation.
These messages appeared while the app was searching for a driver and were displayed above pre-set payment amounts. According to the authority, this created the impression that paying extra could improve the chances of securing a ride sooner. The use of qualifying terms such as ‘might’ and ‘chance’ did not change the overall impression conveyed to consumers.
Ola’s own booking data for June 1-15, 2026, did not substantiate the claims. The acceptance rates for ride requests carrying an add-on were lower than those without one.
The data showed that ride requests carrying an add-on had lower acceptance rates across all three cities. In Delhi, the acceptance rate was 38 per cent for requests with an add-on, compared to 62 per cent for those without one. In Bengaluru, the rate stood at 40 per cent against 68 per cent, while in Mumbai, it was 39 per cent compared to 68 per cent for requests without an add-on.
The CCPA also pointed out a contradiction in Ola’s position. While the company maintained that the add-on did not influence ride allocation, its app interface suggested that an additional payment could improve the likelihood of getting a ride sooner.
The authority observed that consumers were not informed about the lower acceptance rates associated with add-on requests or the criteria used to determine the suggested payment amounts.
It held that withholding such material information amounted to concealment under Section 2(28)(iv) of the Consumer Protection Act, 2019.
CCPA terms advance tipping an unfair trade practice
The authority observed that a tip is ordinarily a voluntary payment made after a service has been provided. Soliciting it before the journey effectively converts a voluntary gratuity into a pre-service payment. Merely renaming the feature from ‘tip’ to ‘add-on’ did not alter the nature of the practice, it said.
The CCPA also raised concerns over the additional payments being sought after consumers had already booked rides at an upfront fare, which accounts for factors such as peak pricing and the driver’s distance from the pick-up point.
It noted that the suggested payment amounts were generated by the platform without disclosing the criteria used. The amounts increased from Rs 10-Rs 40 in May 2025 to as much as Rs 140, while the interface allowed payments of up to Rs 499.
The authority further observed that consumers could not independently verify the need for an additional payment because information about driver availability was controlled by the platform.
It said presenting an extra payment as necessary for timely acceptance of an already-booked ride also raised concerns about unfair contractual practices.
The CCPA found the practice contrary to Clause 14.15 of the Motor Vehicles Aggregators Guidelines, 2025, which permits a tipping feature only after completion of a journey.
It also noted that Ola continued displaying the payment prompt even after the Ministry of Road Transport and Highways clarified on August 11, 2026, that such prompts could not be shown before completion of a ride.
Under Section 2(47) of the Consumer Protection Act, 2019, unfair trade practices include the use of deceptive methods and false or misleading representations about the benefits or usefulness of a service. The authority held that Ola’s additional payment prompts fell within this provision.
Interface design amounted to ‘Confirm Shaming’
The CCPA also examined the feature under the Guidelines for Prevention and Regulation of Dark Patterns, 2023.
It observed that the prompts appeared when consumers were waiting for a driver to accept their bookings. By suggesting that an additional payment could improve their chances of securing a ride, the interface implied that those who did not pay might face delays or fail to get a ride.
The authority classified the practice as ‘Confirm Shaming’ under Clause 3 of Annexure I to the guidelines, stating that it created a sense of fear among consumers to encourage additional payments.
The CCPA further noted that pre-set payment amounts anchored consumers to higher figures, while messages such as “Generous Add On!” encouraged them to pay extra. The interface also did not provide an option to close the prompt.
The authority said the prompts appeared after a ride had already been booked, when consumers were waiting for confirmation and had limited information about driver availability or the potential impact of making an additional payment.
It also observed that Ola’s booking data reflected such requests from hospitals, railway stations, inter-state bus terminals and airports.
The CCPA noted that patients, senior citizens, travellers carrying luggage and people travelling alone or at night could be particularly vulnerable to such prompts.
Ola directed to discontinue pre-ride payment prompts
The CCPA has directed Ola to immediately discontinue all prompts, messages, pre-set payment amounts and interface designs seeking payments over and above the upfront fare before completion of a journey, irrespective of whether such payments are described as tips, add-ons or additional fares.
The company has also been directed to ensure strict compliance with the Consumer Protection Act, 2019, the Guidelines for Prevention and Regulation of Dark Patterns, 2023, and the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022.
In addition to the directions, the authority imposed a penalty of Rs 10 lakh on the company.
The CCPA has also initiated suo motu action against other cab aggregator platforms over similar practices. It had earlier imposed a Rs 10 lakh penalty on Rapido’s operator, Roppen Transportation Services Pvt. Ltd. Proceedings against Uber and Namma Yatri are currently under investigation.
Consumers facing such practices or difficulties in accessing services can register complaints with the National Consumer Helpline at 1915 or email the authority at com-ccpa@gov.in.
-PIB
