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Update: Amazon and Snapdeal sent the following statements:
“We welcome the Government’s move. We understand that there will be a temporary impact on customers’ day to day payment transactions. Currently, we have temporarily stopped cash as a payment option for new orders. Customers that had already placed COD orders before midnight 8/11 can pay for their orders using debit or credit cards or currency of valid denominations.
For future orders, we are working on alternatives to make doorstep payments easier for customers by introducing a variety of electronic payment options. We will shortly reintroduce cash payment on delivery and also provide an improved selection of payment methods – both online and at customers’ doorsteps to offer a seamless experience.”
All Snapdeal users who have already placed Cash on Delivery orders can pay for their deliveries using any currency notes except the Rs 500 & Rs 1000 notes discontinued by RBI. Users also have the option to defer the delivery by a few days till new currency notes become easily available.
As an interim measure, we have restricted new CoD orders to Rs 2000 to make it convenient for the buyers and the delivery personnel. The CoD limits will get increased gradually over the next few days.
Earlier: Following the the announcement that Rs 500 and Rs 1000 notes will no longer be accepted, ecommerce companies have suspended accepting cash on delivery orders (COD)or scrambling to take measures to ensure payment. Amazon confirmed that it is suspending COD orders while Flipkart’s website says that cash orders above Rs 2000 are not enabled and has been asking customers to choose another payment option.
However, Flipkart did not mention whether it would accept Rs 500 and Rs 1000 denominiations for orders below Rs 2000. We have written to the company and will update once we hear from them. We are still awaiting further details from Amazon on when they will be lifting suspension of COD orders.
During checkout, Snapdeal says that it will not be accepting Rs 500 and Rs 1000 notes. However, it seems like higher value orders are no longer eligible for COD. I tried ordering a hard drive Rs over 3000 but for orders below Rs 1000, Snapdeal seems to accepting cash orders.
Online furniture shopping Pepperfry said that it is not accepting COD for orders above Rs 3,000 at the moment. A spokesperson for the company added that they are still awaiting clarity from the government about allowing customers to pay with Rs 500 and Rs 1000 notes. Typically, only 2% of orders on Pepperfry opt for cash as they generally are high value transactions.
However, grocery delivery company Grofers said that they are still accepting COD orders and awaiting further clarity from the Reserve Bank of India and the government, Sharad Harjai, AVP of Marketing told MediaNama.
Meanwhile, online food ordering app Swiggy has still kept COD as an option of payment but told customers that it will not be accepting Rs 500 and Rs 1000 notes on cash orders. Zomato on the other hand said that it will be giving a 15% discount on orders when customers opt for digital payment methods but COD orders are not available at the moment.
Services marketplace Urbanclap has been asking its users opt for digital payments for before and after the service is completed.