Grab To Charge S$4 Penalty For Cancelled Bookings

Grab To Charge S$4 Penalty For Cancelled Bookings

From March 11, Grab users will have to pay a S$4 penalty if they cancel a ride more than five minutes after securing a booking.

Passengers who use the ride-sharing service GrabShare will incur the S$4 penalty if they cancel more than three minutes after securing a ride.

This new policy will replace the existing one, whereby Grab users are charged S$5 if they cancel a ride for the third time in seven days.

According to Grab, the policy change will “allow more flexibility for passengers, while ensuring that we stay fair to our driver-partners”.

Once the new policy change is in effect, drivers will pocket 100% of the penalty fee as compensation.

“For many of them, Grab serves as a source of income, and when passengers cancel at the last minute, or don’t show up for their ride, drivers waste fuel and miss out on earnings they could have gotten from taking another job,” added Grab.

However, passengers will not be charged if the driver is not moving, or is taking too long to arrive. If a driver does not arrive within five minutes of the estimated time of arrival, the cancellation fee will be waived.

Grab estimated that the cancellation policy is expected to impact less than 1% of Grab’s bookings.

[Sources: 1, 2]

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