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Wednesday, September 13, 2006

Car dealers should give consumers more choice

14 September 2006

Editor
Straits Times Online Forum

I refer to the letter from Balajee Shrikanth entitled "Car dealers should give customers more choices on insurance and loans" (12
Sept).

I hope that Balajee Shrikanth will take this matter up with the Consumer Association or the government agency that is responsible to implement the Competition Act. It is in the public interest that the consumer should be given more choices and not be locked into tied arrangements.

Balajee Shrikanth has suggested that NTUC Income should re-look at our car repair policy and be willing to work with the distributors.

We have been and remain willing to work with the car distributors in a fair and transparent manner, in the interest of the consumers.

- for repairs that require the use of proprietary equipment and technology or affect the integrity and safely of the vehicle, we use the distributor workshops for the repair and pay their repair charges (which tend to be quite costly).

- for other repairs which can be done at our quality workshop, we are willing to pay up to 50% more to the distributor workshop (ie to recognise their higher overheads).

Some of the distributors find our proposal to be fair and work with us. We hope that the other distributors will also work with us.

I also hope that consumers realise that NTUC Income is encouraging competition and fair dealing in this market. This is being done in the interest of all consumers. We need more consumers to come forward and help us achieve our common goal.

Tan Kin Lian
Chief Executive Officer
NTUC Income

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