FTC “click to cancel” rule seeks to end free trial traps, sneaky auto-enrollments
No more jumping through endless hoops to cancel subscriptions, FTC rule says.
It will soon be easy to “click to cancel” subscriptions after the US Federal Trade Commission (FTC) adopted a final rule on Wednesday that makes it challenging for businesses to opt out of easy cancellation methods.
“Too often, businesses make people jump through endless hoops just to cancel a subscription,” FTC chair Lina Khan said in a press release. “The FTC’s rule will end these tricks and traps, saving Americans time and money. Nobody should be stuck paying for a service they no longer want.”
The heart of the new rule requires businesses to provide simple ways to cancel subscriptions. Under the rule, any subscription that can be signed up for online must be able to be canceled online. And cancellation paths for in-person sign-ups must be just as easy, offered either by phone or online.