India · Consumer Affairs
By Pulse India News Desk · 16 September 2026 · 3 min read
The government has told ride-hailing platforms to remove advance tipping options that ask passengers to pay extra before a ride is booked, calling the practice misleading and unfair.
New Delhi: Cab aggregators have been directed to discontinue prompts for an advance tip, Consumer Affairs Secretary Nidhi Khare said on Wednesday. A tip should be a passenger’s voluntary choice after taking a ride, she said, rather than an amount presented during the booking process.
The action concerns prompts to tip before a ride. It does not prohibit passengers from choosing to tip a driver after the journey.
Why the government objected
Khare said the National Consumer Helpline had received complaints about ride-hailing services. Some passengers alleged that apps encouraged them to add a tip before travelling and created the impression that paying extra could help them secure a ride.
The government considers such prompts misleading because passengers are asked to decide on a tip before receiving the service. Following an investigation and hearing, the consumer authority ordered the built-in advance tipping mechanism to be discontinued, Khare said.
Rapido fined ₹10 lakh; Uber and Ola under review
The statement comes a day after the Central Consumer Protection Authority (CCPA) announced a ₹10 lakh penalty on Rapido over misleading tipping prompts and other practices in its booking interface. The authority described some of the prompts as “confirm shaming” and “interface interference” – forms of app design that can pressure users into paying more.
Khare said investigations into the practices of Uber and Ola remain in progress. The penalty announced so far relates to Rapido; it should not be read as a finding against the other platforms.
What changes for riders?
- Passengers should not be prompted to add a tip before booking a ride.
- Tipping remains voluntary and can be decided after the ride.
- Passengers should review the fare and any optional amounts shown before confirming payment.
The CCPA’s review forms part of a wider examination of advance tipping and pricing practices across cab and bike-taxi platforms. Further findings will depend on the outcome of the ongoing investigations.
