Cartrack will pay more than R10 million in fines and customer refunds following an investigation into aspects of its marketing, billing, and contract practices after 210 complaints were lodged with the regulator.
The agreement, reached with the National Consumer Commission (NCC), includes a R5m administrative fine and R5.1m in refunds, alongside contract cancellations and changes to its terms and conditions. Cartrack agreed to the settlement without admitting liability and to avoid protracted proceedings.
The settlement was confirmed by the National Consumer Tribunal on 25 March as a consent order under section 74(1) of the Consumer Protection Act (CPA), making it legally binding.
Cartrack, established in 2004, is a South African-based mobility technology provider offering vehicle tracking, stolen-vehicle recovery, fleet management, and insurance telematics services through a software-as-a-service platform. The company operates in 23 countries and has more than 2.6 million subscribers globally, including close to 2 million in South Africa.
Complaints trigger investigation
The case originated from 210 complaints submitted to the NCC, which raised concerns about a lack of remedies, billing discrepancies, and contractual terms.
These complaints prompted the Commission to initiate an investigation, during which it formed a suspicion of prohibited conduct, issued directives, and appointed an inspector to examine Cartrack’s practices.
The matter progressed over time, with at least one complaint referred to the Tribunal in July 2025, before the parties moved towards a broader settlement covering the full set of complaints.
Investigation findings
The investigation identified several areas of alleged non-compliance with the CPA, including provisions relating to sections 14, 29, 38, 40, and 48.
These included marketing practices where promised benefits were linked to future events or additional sign-ups, raising concerns about unfair marketing. Billing practices also came under scrutiny, with the Commission indicating that customer accounts were not always updated to reflect payments, resulting in inaccurate balances.
Contractual terms were a key focus. Certain provisions were flagged as excessively one-sided or potentially misleading, including clauses that limited consumer rights.
The Commission further identified shortcomings in the disclosure of material terms at the point of sale, as well as cases where consumers encountered obstacles when attempting to cancel fixed-term agreements or were charged penalties that may not align with the CPA.
Settlement structure
The settlement addresses specific categories of complaints.
A total of 82 consumers will receive refunds amounting to R5 101 225, with payments to be made within 10 days of the order and proof submitted to the NCC.
In addition, 66 contracts linked to cancellation disputes have been terminated without fees.
A further 19 matters relating to billing-related complaints will be resolved, either through account corrections or contract cancellations, with no penalties applied. Cartrack has also undertaken to align its billing systems with CPA requirements within six months.
In total, 167 of the 210 complaints were resolved as part of the settlement, while no contraventions were established in the remaining cases.
Beyond financial redress, Cartrack has committed to revising its terms and conditions and removing provisions that were the subject of complaints. The company also agreed to limit how its rewards programme is marketed.
NCC acting Commissioner Hardin Ratshisusu said the settlement concludes a lengthy investigation into complaints involving Cartrack.
“Consumers who were affected by the conduct will, through this settlement, receive redress. The NCC further welcomes Cartrack’s commitment to amend their terms and conditions to ensure compliance with the CPA and acknowledges Cartrack’s full co-operation,” he said.
Read the full judgment here.
