Federal Minister for Consumer Affairs Rob Beenders (Vooruit) is taking a firm stance against the widely criticized prepaid payment systems at major festivals, which he argues are unnecessarily expensive and complicated for attendees.
Beenders is calling on event organizers to justify their reliance on prepaid cards, tokens, and wristbands instead of allowing festival-goers to pay directly with their bank cards or mobile phones.
At many large-scale events, visitors are required to load digital coins or tokens onto wristbands or prepaid cards, which has sparked public discontent.
Festival-goers not only find the system cumbersome but also face additional charges when attempting to recover unused funds. Beenders has expressed particular frustration with the fees imposed on refunds, which he describes as “often excessive.”
Minister Demands Justification for Prepaid Systems
Beenders is now demanding answers from festival organizers on why they persist with such a system. “Why not allow visitors to pay directly with their bank card or mobile phone?” he questioned. Additionally, he wants a ban on profiteering from refund fees, which he considers unjustifiable.
The Ministry of Economy had previously issued guidelines on refund policies at festivals, but Beenders believes they do not go far enough.
Under current rules, refund charges must not exceed the cost of a single drink, typically around €3.50. However, Beenders wants further regulations to ensure that no profit is made from prepaid cards.
Consumer Protection Group Files Complaints
Last year, consumer rights organization Testachats lodged a formal complaint with the Economic Inspectorate, citing ten festivals for allegedly breaching consumer protection laws.
The festivals in question included prominent names such as Couleur Café, Paradise City, Graspop, Rock Werchter, Pukkelpop, Tomorrowland, Ronquières, Lokerse Feesten, Les Ardentes, and Dour.
Despite these complaints, festival organizers maintain that their systems are fair. “In 2023, the refund fee was investigated by the Federal Economy Ministry at the request of then-State Secretary Alexia Bertrand (Open VLD),” said Nele Bigaré of Live Nation, the company behind Rock Werchter.
“After investigation, it was stated that the fee is not disproportionate.” Bigaré added that she is open to discussions with Beenders.
Potential Ban on Prepaid Cards
If discussions with festival organizers do not lead to meaningful changes, Beenders has threatened to take stricter measures, including an outright ban on prepaid payment methods.
However, he acknowledged that there is currently no consensus within the newly formed Federal Government on implementing such a ban.
With festival season in full swing, Beenders’ push for reform is gaining momentum. His proposed changes could significantly impact Belgium’s festival industry, which has long relied on prepaid systems.
Whether event organizers will voluntarily adjust their policies or face regulatory action remains to be seen. As discussions continue, festival-goers will be closely watching for any developments that could make their experiences more convenient and cost-effective.
This article was created using automation technology and was thoroughly edited and fact-checked by one of our editorial staff members
