Cash On Delivery
The COD system is designed to meet the requirements of persons who wish to pay for articles sent to them at the time of receipt of the articles or of the bills or railway receipts relating to them, and also to meet the requirements of traders and others who wish to recover, through the agency of the Post Office the value of article supplied by them.
COD Articles
Registered Parcels, registered letters, registered book packets and newspapers prepaid with postage of newspaper rates of postage and with registration fee may be transmitted by the inland post as value payable postal articles, provided that the amount specified for remittance to the sender in the case of any such postal article does not exceed Rs.5,000/- and provided that such parcels, letters and packets do not contain coupons, tickets, certificates of introduction designed for the sale of goods on what is known as the “Snowball System”.
Declaration
No such postal article as aforesaid will be accepted at any post office for transmission by post as a COD postal article unless the sender declares that it is sent in execution of a bona fide order received by him. At any post office notified from time to time in this behalf by the Director General, the sender will in addition be required to declare that the article is one the transmission of which by post as a value payable postal article is permitted. No postal article as aforesaid will be accepted at these offices without such further declaration.
Explanation: An article may be sent by the COD post even though it possesses no intrinsic value. Thus legal documents, bonds, policies of insurance, promissory note railway goods and parcel receipts, bills of leading or ordinary bills for collection may be sent as value payable postal articles. In the case of a railway receipt of bill of leading sent as a value payable postal article, it will be sufficient for the purposes of this rule if the article to which railway receipt of bill of leading relates has been sent in execution of a bona fide order. In the case of the other documents specified the documents must be sent in execution of a bona fide order to send the document itself.
Post Office from and to which COD Articles may be sent:
COD postal articles can be posted at any post office that is a money order office (with a few exceptions) for transmission to any other post office that is a money order office.
Manner of Posting
(1) Every postal article intended to be transmitted by post as a value payable postal article must be presented at the post office with the prescribed printed form in which the sender must specify the sum to be remitted to himself full in the required entries (in ink) and sign the declaration required by clause 188. The sender must also write clearly on the face of the article itself:
(a) in the upper left hand corner the letters “VP” followed by an entry in figures and words of the amount for remittance to himself and
(b) in the lower left hand corner – his own name and full address
Note: The sender’s name and address may be indicated by clear impression of a stamp on the value payable articles.
(2) COD articles will not be accepted unless the town of payment shown in the COD money order form is the one where the article has been booked.
(3) A receipt will be given to the person who presents the article.
Booking of COD Articles in Bulk
A procedure similar to that indicated in clause 167 for registered articles is available for the convenience of firms and other institutions posting at least ten uninsured value payable articles daily. No extra charge will be levied for this facility. Enquiries in this regard should be addressed to the local Superintendent of Post Offices.
Conditions
(1) No article will be accepted at any post office for transmission by post as COD postal article if it is so small or so covered with writing or sealing wax on the address side or otherwise made up in such a manner as to render it impracticable to affix to the article the prescribed official labels of the Post Office.
Explanation: This rule does not apply to an article which has an address labeled to it, provided that the label is not so small or covered with writing on the address side as to render it impracticable to affix to that side the prescribed official labels of the Post Office.
(2) No article on which the amount specified for recovery from the addressee exceeds ₹ 1500/- will be accepted at any post office for transmission by post as COD postal article unless it is insured for at least the sum specified for remittance by the sender.
Explanation: This rule does not apply to value payable letters containing Railway receipts, bills, invoices, documents, etc. of no intrinsic value and to value payable packet containing printed papers, books, etc., sent under book packet rates.
Payment to Sender When the amount due is recovered from the addressee, the sum for payment, to the sender will be remitted to him by means of money order.
Detention in Office of Delivery and levy of demurrage
(1) If the addressee of a value payable postal article omits to take delivery of it within 7 days following the date of its first presentation or the date of delivery to him or to his accredited agent of an intimation of its arrival, the article will be returned to the sender on the 8th day: Provided that if in the meantime the addressee has applied in writing to the post office for detention of the article for a further period not exceeding seven days beginning with the said 8th day and pays the prescribed fee the article shall not be returned to the sender until the expiration of the further period covered by the application. Any fee so paid shall in no circumstances be refunded.
(2) When a COD Postal article is returned to the sender under sub clause (1) the sender will be required to pay any charges that may be due on it and to acknowledge receipt of the article by signing the form presented by the postman. In no circumstances will any fee or fees prepaid by the sender be refunded.
Insurance of VP articles: The value declared for insurance need not correspond with the amount specified by the sender for remittance to himself. Thus, in the case of a watch returned after repairs by value-payable post to its owner, the amount to be remitted to the sender of the watch would be only the cost of repairs while the sum insured would represent the value of the watch itself.
Complaints regarding COD Articles
(1) Wherever the sender article addressee of a value payable postal article makes a complaint regarding the delivery of or payment for, the COD postal article, he will be entitled to have an enquiry made by the post office on paying the prescribed fee. The fee will be paid by means of a postage stamps or stamps affixed to the letter of complaint. This fee will be refunded in cases where the complaint was found to be well grounded.
(2) The complaint will be required to furnish full particulars regarding each value payable article to which the complaint refers and to pay the prescribed fee in respect of each article. No complaint will be attended to unless made within six months of the date of posting of the value payable article. The result of the enquiry will be communicated by letter.
(3) When a complaint is made regarding payment for a V.P. article the V.P. money order will not be produced unless and allegation of fraud or receipt practiced on the sender is put forward, and the money order will only be available for inspection at the post office at which the Department finds it convenient to permit examination.
(4) If a complaint is made by the addressee immediately after the receipt of a COD postal article, that it was sent dishonestly or fraudulently the Head of the Circle may if he is satisfied that there are prima facie grounds for believing that the value payable postal article was sent with the intention of defrauding the addressee, withhold the payment to the sender of the money recovered from the addressee. If after making such enquiries as may be necessary, he is fully satisfied that the COD postal article was sent with this intention he may order the return of the article to the sender and refund to the addressee the sum of money recovered from him on delivery of the COD postal article.
Explanation: Impression of a stamping machine made b a competent authority shall be tantamount to affixing stamps of corresponding value.
Responsibility of the Post Office
The Central Government shall not incur any liability in respect of the sum specified for remittance to the sender in respect of a COD postal article unless and until that sum has been received from for remittance to the sender in respect of a COD within six months from the date of posting of the article.
