BMW ordered to refund customers for 'wrongful on-the-road' fee
BMW has now been instructed to refund consumers and submit an audit report over its on-the-road fee on credit agreements.
JOHANNESBURG - BMW financial services has been accused of charging customers extra fees which the National Credit Regulator says have not been properly explained.
The regulator has issued a compliance notice to the company, warning it's wrongfully charging customers an “on-the-road” fee on credit agreements.
BMW has now been instructed to refund consumers and submit an audit report.
The regulator's senior legal advisor Nthupang Magolego says: “We probed BMW on the fees because it was not listed on the act. They were not able to give us an explanation. We do know the fee ranges between R3,000 and R6,000.”
BMW has, however, disputed the regulator's claims.
In a statement, the company says the fee is an agreement between the dealer and customer.
(Edited by Shimoney Regter)