Consumers Association of Penang

Giving voice to the little people...since 1970

Right move to use the ringgit in international business

CAP applauds Bank Negara’s decision to relax the foreign exchange administration rules, to enable the ringgit to be used as a currency in international trade.

The decision makes good economic sense.  Had the decision been made earlier it could have saved local business millions of ringgit.
 

Compensation based on market value not insured value

General insurance companies should insure motor vehicles based on the agreed value. Many policyholders are already under the wrong impression that they own an agreed value motor policy.

They are unaware that in Malaysia, motor insurance policies are indemnity policies. This means that if the car is written off as a total loss, the amount compensated by the insurance company will only be its market value, which is often much lower than the insured value.

Restrictive trade practices in a free market

WE practice a free market system, but how free and competitive is it?

So what if the industries are dominated by a few players? What is wrong with that?

When there is less competition, the players in the market will be able to dominate it and fix high prices for their goods and services. It works to the company's advantage that there is no or very little competition. Where there is competition the companies may act to get rid of rivals. They may work among themselves to fix prices or divide the market among themselves to keep out competitors.
 

Stricter control over co-operatives needed

The Consumers Association of Penang disagrees with those who recently voiced their opinion that the amendments to the Co-operatives Act 1993 will kill the co-operative movement.

Many of our local co-operatives do not operate in the spirit in which co-operatives are founded - which is mutual help to improve the social and economic well being of its members.

Unfair trade practices should be made illegal

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Often sellers of goods or services use unfair methods to get consumers to buy their goods or sign up for their services.

Consumers have at one time or another been put under pressure by the sales person to buy a product or sign a contract of service. Consumers too have been misled about the price or quality of the product or services purchased.