‘Auto in 5 Min or ₹50’ Claim Misleading, Rapido Fined by CCPA

In a decisive move to uphold consumer rights, the Central Consumer Protection Authority (CCPA) has penalized Rapido (Roppen Transportation Services Pvt. Ltd.) ₹10 lakh for publishing blatantly misleading advertisements and engaging in unfair trade practices. The authority has further directed Rapido to reimburse every consumer who availed the “AUTO IN 5 MIN OR GET ₹50” offer but did not receive the promised compensation—without any delay or conditions.

At the heart of the matter lies Rapido’s aggressively marketed claims: “AUTO IN 5 MIN OR GET ₹50” and “Guaranteed Auto.” While catchy, these slogans were anything but truthful. A CCPA investigation revealed that the advertisements were intentionally misleading: the promised ₹50 was not actual currency but Rapido coins, valid for only seven days and redeemable solely against Rapido rides. Furthermore, the offer was capped at “up to ₹50” and not guaranteed in full—information buried in minuscule, nearly illegible disclaimers.

This is not a trivial oversight. By disguising critical limitations, Rapido created a false sense of certainty for consumers, compelling them to use another service within an unreasonably short period to extract the promised benefit. Worse, the Terms and Conditions attempted to shift liability to individual captains, while the company’s ads implied a corporate guarantee. This deliberate contradiction violates the Guidelines for Prevention of Misleading Advertisements and Endorsements, 2022, which clearly prohibit disclaimers that conceal material information or contradict main claims.

Data from the National Consumer Helpline (NCH) underscores the systemic nature of the problem:

• 575 complaints against Rapido were recorded between April 2023 and May 2024.

• Complaints surged to 1,224 between June 2024 and July 2025.

The complaints reveal recurring issues: overcharging, failure to provide promised services, non-refund of paid amounts, and most critically, the unfulfilled “5-minute” auto guarantee. The rising tide of consumer dissatisfaction over two years indicates that this is not an isolated lapse but a sustained pattern of deceptive practice.

Rapido’s misleading campaign ran across 120+ cities for nearly 1.5 years (548 days), in multiple regional languages, giving it an unprecedented reach. Such prolonged and widespread deception compelled CCPA to act under Sections 10, 20, and 21 of the Consumer Protection Act, 2019, empowering it to curb unfair trade practices and safeguard consumer rights.

This episode exposes a glaring loophole in India’s digital services ecosystem: aggressive advertising often outpaces regulatory oversight, leaving consumers vulnerable to cleverly disguised traps. Rapido’s use of ambiguous terms like “guaranteed” or “assured” without clear disclosure exemplifies how corporations can exploit consumer trust to drive engagement while limiting actual liability.

CCPA’s intervention sends a clear signal: deceptive advertising—especially in high-volume digital platforms—will not be tolerated. For consumers, the takeaway is equally stark: read disclaimers critically, demand transparency, and leverage platforms like the National Consumer Helpline (1915) or the NCH App/website to hold service providers accountable.

In a marketplace increasingly dominated by digital promises, this ruling should act as a wake-up call for both corporations and consumers: credibility cannot be bought through misleading slogans, and regulatory vigilance is finally catching up. Rapido’s ₹10 lakh penalty is more than a fine—it’s a cautionary tale of how consumer rights can—and must—prevail over corporate expedience.

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