As the holiday season ends and the new year begins, consumers across the nation notice unexpected charges from subscription services. These often stem from auto-renewal terms that are easy to overlook during initial signups.
Auto-renewal isn’t limited to lesser-known companies. In a recent case, the Federal Trade Commission settled a $2.5 billion complaint against Amazon, alleging that the company used unclear enrollment methods for paid Prime subscriptions.
Auto-renewal terms are common across many services and are easy to miss. Offers that originally start out as “free trials” may automatically convert into recurring charges after a certain time. Renewal notices may be confusing or overlooked, especially during busier seasons. Without careful review, consumers find themselves in ongoing subscriptions without an intent to keep them. Canceling can be difficult, and sometimes, nearly impossible.
Therefore, take these smart steps to stay ahead:
- Read the fine print before signing up.
- Monitor your charges to ensure you aren't being taken advantage of.
- Check all your subscriptions for the official renewal date, and if you do not wish to renew, be sure click on the box indicating do not renew. You should also request an email confirming your cancellation of the subscription’s auto-renewal.
REPORT FRAUD
- If you think you’ve been scammed, report it to:
- DISB Enforcement and Consumer Protection Division: 202.727.8000
- FBI Internet Crime Complaint Center: IC3.gov or call 202.278.2000
- Federal Trade Commission: [email protected]
- MPD’s non-emergency line at 202.727.9099.
For more DISB consumer alerts, visit DISB.dc.gov/consumeralerts.