The FTC is proposing a rule to make it as easy to cancel a membership as to join. I’m Amy E. Feldman.
When a man in Britain was trying to cancel a local gym membership because he was moving, the gym said they’d cancel the membership if he provided proof of the move including a new lease, utility bill and newly-issued driver’s license. People who have tried to cancel a free trial, auto renewal, or subscription here in the US often face similar frustration—which is why the FTC just proposed what it’s calling a “Click To Cancel” rule that will make it as easy for consumers to cancel as it was to sign up.
If passed, the rule will require sellers to offer a simple cancellation mechanism, require sellers to ask consumers before they pitch additional offers to get consumers to stay, and require annual reminders of auto renewals. Until the rule passes, put subscriptions on credit cards that can be canceled without having to give a pound of flesh or an entire afternoon to get them to stop.
Leave a Reply