This new federal policy makes it easier to cancel subscriptions

AUGUSTA, Ga. (WRDW/WAGT) – The Federal Trade Commission has introduced a new policy aimed at simplifying the often frustrating process of canceling online subscriptions and services.

This regulation, called the “Click to Cancel” rule, would require companies to make canceling a subscription as easy as signing up.

Currently, many companies bury the cancellation option deep within account settings, making it difficult to find.

Some even force customers to call customer service, endure long wait times and convincing sales pitches, just to cancel. This can lead to unwanted charges and the feeling of being locked into unwanted subscriptions.

This is a welcome relief for consumers who have had to call a company to cancel.

Does this sound familiar?

You: “I want to cancel my subscription”

Company: “I’m sorry to hear that. “Can I ask why?”

“I just want to cancel”

“Okay, let me take you to our storage department.”

After 5 minutes:

“Hello, how can I help you?”

“I want to cancel.”

“I’m sorry to hear that, may I ask why?”

“I just want to unsubscribe”

“I understand, would you be interested in a 30% discount?”

“No, I want to cancel.”

“I understand. Before I help you with this, I want you to talk to my custodial department supervisor.”

The FTC said it received more than 16,000 complaints from consumers who said it was nearly impossible to cancel a subscription or service.

The new rule will change that by requiring companies to provide a clear and easily accessible “Click to Cancel” button in a visible location, such as on the account management page or subscription confirmation email.

The FTC believes this new requirement will save consumers time and money.

By making it easier to cancel unwanted subscriptions, consumers will be less likely to continue paying for services they no longer use. This will also help prevent unexpected charges on your credit card statements.

The new regulation will not come into force immediately. The FTC gives companies 180 days to make the necessary changes to their websites and process cancellations.

Meanwhile, consumers are encouraged to report companies that are not complying with the new rule once it goes into effect.