Unfair practice of denying refund claims, coaching centres refunds Rs 1.56 crores to 600 + to aspirants, students-NCH

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Unfair practice of denying refund claims, coaching centres refunds Rs 1.56 crores to 600 + to aspirants, students-NCH

Kanwar Inder Singh/ royalpatiala.in News/ February 23,2025

The Department of Consumer Affairs (DoCA), Government of India has successfully secured refunds amounting to Rs 1.56 crore for over 600 aspirants and students in the education sector.

These students, enrolled in coaching centres for Civil Services, Engineering Course and other programmes, were previously denied rightful refunds despite following the terms and conditions set forth by the coaching institutes.

The relief was made possible through grievances filed by the students via the National Consumer Helpline (NCH), which facilitated a streamlined process for dispute resolution. The swift action by the Department has helped students receive compensation for unfulfilled services, late classes, or cancelled courses, ensuring they do not bear the financial burden of unfair business practices.

In its decisive direction, Department of Consumer Affairs has instructed all coaching centres to adopt a student-centric approach, mandating clear, transparent refund policies to protect student’s financial interests. The Department has also made it clear that the unjust practice of denying legitimate refund claims will no longer be tolerated, urging educational institutions to uphold consumer rights.

The Department of Consumer Affairs, through its proactive efforts, has also committed to strengthening the complaint redressal mechanism and educating students on their consumer rights, empowering them to take action in case of unfair treatment.

The National Consumer Helpline has proven to be a vital resource in empowering students and aspirants in their quest for justice. Many students have shared their positive experience, highlighting how the NCH assisted them in navigating the complexities of refund claims and providing timely resolutions.

Through the platform, individuals were able to resolve issues without the need for protracted legal battles, saving time and energy while ensuring fair outcomes. By resolving grievances at the pre-litigation stage, NCH has helped prevent the escalation of disputes, offering an effective and accessible alternative to formal legal proceedings. This service has proven especially beneficial for students, who now have a dependable avenue to safeguard their interests.

Unfair practice of denying refund claims, coaching centres refunds Rs 1.56 crores to 600 + to aspirants, students-Photo courtesy-Higher Education Plus

As part of the initiative, the DoCA continues to advocate for student rights and encourages all students facing similar issues to use the National Consumer Helpline platform for quick resolution. The Department also urges Coaching Centres to adhere to the guidelines set forth, ensuring transparency, accountability, and a student-friendly approach.

Positive Outcomes in Grievance Redressal Mechanism

  1. A consumer had taken hostel accommodation for uninterrupted studies but encountered multiple deficiencies in the services provided, which clearly violated the policy and constituted an unfair trade practice. With the intervention of the National Consumer Helpline, the consumer successfully received a refund. The consumer reviewed the outcome, stating, “The complaint was addressed by the company and a fair solution is given by the company.” Chennai, Tamil Nadu
  1. A consumer enrolled in a Psychology workshop after being pressured by the company’s claim that only a few seats were left. After making the payment, the consumer was denied a seat and subsequently denied a refund. However, following intervention by the National Consumer Helpline (NCH), the consumer’s refund was successfully facilitated. The consumer shared their feedback, stating, “The company has refunded the full amount.”- Rajkot, Gujarat
  1. A JEE aspirant purchased a course, but the institute denied the purchase despite the consumer providing proof of payment. The consumer faced an unfair trade practice and registered a grievance with the National Consumer Helpline (NCH). With NCH’s intervention, the refund was successfully processed, and the consumer expressed gratitude, stating, “Refund RECEIVED, Thank You.”- Jamshedpur, Jharkhand
  1. A consumer joined a campus but left due to services not aligning with the promised policies. When the institute denied a refund, the consumer approached the National Consumer Helpline (NCH), which successfully facilitated the refund. The consumer shared their positive experience, saying, “Thanks… I get refund from the institute with the help of the consumer portal, Most effective initiative from govt. side to help consumers.”- Vellore, Tamil Nadu
  1. A student enrolled for a GATE course with the promise of a full refund within 15 days. However, the institute failed to process the refund. After registering a grievance with the National Consumer Helpline (NCH), the refund was successfully facilitated within just 4 days. The student shared their experience, saying, “Got refund on 20/10/2023.”- Kota, Rajasthan
  1. A consumer enrolled his daughter for a course from 5th to 7th class with a 14-day observation period. However, the course did not meet expectations, and when the consumer demanded a refund, the institute denied the request. After approaching the National Consumer Helpline (NCH), the refund was successfully granted. The consumer expressed gratitude, saying, “Thanks for everything.”- Korba, Chhattisgarh
  1. A consumer enrolled in a civil services course but, due to unavoidable circumstances, requested a refund of the fees paid. The coaching institute initially denied the request. However, with the intervention of the National Consumer Helpline (NCH), the refund was successfully facilitated. The consumer expressed satisfaction, saying, “Problem addressed successfully.”- Aurangabad, Maharashtra