Hong Kong authorities have proposed that customers seeking refunds under a new seven-day cooling-off period for prepaid beauty and fitness contracts will be required to pay an administrative fee. This measure is intended to curb potential abuse of the refund mechanism.
The government launched a two-month public consultation last week on three major policy proposals designed to strengthen consumer protection. These proposals come amid persistent complaints about unfair trade practices and high-pressure sales tactics.
Winsome Au Wai-sum, deputy secretary for commerce and economic development, told the legislature on Tuesday, “We’ve proposed in our suggestions that there will be an administrative fee in the refund. We think that when customers apply to cancel a contract, they’d have to shoulder a percentage of the total sum.”
Au was responding to a question from lawmaker Tommy Chung Ki-fung, who inquired about mechanisms to help businesses manage customers who repeatedly seek refunds and whether support channels would be available to prevent such situations.
The consultation aims to gather public feedback on these proposals before any final decisions are made.
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