HairFun salons admit to targeting, misleading seniors to buy packages after elderly man forced to pay $1,000 for hair treatment

Salon chain HairFun has admitted to engaging in unfair trade practices by targeting the elderly and misleading them to purchase unnecessary packages.
The Competition and Consumer Commission of Singapore (CCCS) said in a media release on Wednesday (June 4) that the salons had unfairly charged some elderly customers thousands of dollars.
Investigations conducted by the competition watchdog found that HairFun, which has three outlets in Ang Mo Kio Avenue 10, Toa Payoh Central and Tampines Central, targeted seniors by offering free or low-cost haircuts costing $4 to $10 between May 2023 and July 2024.
The salons had misled its customers, particularly the elderly, about the necessity of treatment packages and charged them for expensive services and packages which were not requested for.
In one instance, CCCS said that an elderly consumer who visited the Ang Mo Kio salon for a $8 haircut was told he had a scalp haemorrhage, even though the staff had not scanned his head with a device.
Without his consent, the employee used a powder to wash his hair.
The employee then concealed the amount while asking the man to enter his PIN into the point-of-sale device. He was charged nearly $1,000 and was told the amount was for hair wash and a 10-session hair treatment package.
The customer only discovered that he had been scammed after seeing a doctor, who confirmed his head and scalp were normal and showed no signs of haemorrhaging.
CCCS commenced its investigations in October 2024 after the Consumers Association of Singapore (Case), which had received complaints on HairFun's sales tactics, referred the matter to it.
It found that HairFun salons had previously operated under the name "Scissor & Comb", and that Case had received previous complaints from 2018 to 2022 on billings for unwanted treatments or packages without consent from consumers.
The competition watchdog said on Wednesday that the HairFun companies and their directors Roland Teo Jian Hao and Chiong Hong Hioh have admitted to engaging in unfair trade practices.
HairFun has undertaken to stop all unfair trade practices, co-operate with Case to resolve all complaints relating to unfair trade practices, and provide a five-day cooling period for customers to cancel and obtain a refund for any prepaid packages.
The companies have also agreed to refund all affected consumers and have completed almost all refunds, which total approximately $12,500.
CCCS's chief executive Alvin Koh said they are concerned about elderly consumers being targeted and misled to pay for unwanted services.
"In dealing with vulnerable consumers, which may include the elderly, businesses must exercise extra care and check that they fully understand and agree to what they are buying, including the price, before they complete the sale," he said.
"In view of Singapore's aging population, CCCS will step up our community outreach to better educate and equip our seniors with knowledge so as to better protect them."
Case president Melvin Yong said in a Facebook post that it welcomes the undertaking by HairFun companies and their directors to stop unfair trading practices, refund affected consumers and introduce a five-day cooling-off period.
He also thanked Case officers who worked with CCCS on the case and supported the affected consumers, many of whom are elderly residents living in the neighbourhood of the hair salon, through the refund process.
Members of the public can report cases of unfair trade practices by contacting Case at 6277 5100 or online at https://crdcomplaints.azurewebsites.net/.
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