If the mere thought of jumping through hoops just to cancel a membership or subscription service makes you exhausted, you’re not alone. But there’s good news.
The Federal Trade Commission has rolled out the “Click to Cancel” rule, which will require businesses — including gyms, subscription services, online retailers, etc. — to make canceling subscriptions as easy as signing up for them. No more certified mail or endless customer service calls or seemingly useless chatbots just to stop that auto-payment.
The rule, finalized Wednesday, ensures that online cancellations take the same number of clicks as the sign-up process. For in-person signups, there has to be an option to cancel online or over the phone.
FTC Chair Lina Khan made it clear that the new rule is about fairness, saying people shouldn’t feel “tricked or trapped into subscriptions.”
“Too often, businesses make people jump through endless hoops just to cancel a subscription,” Khan said. “Nobody should be stuck paying for a service they no longer want.”
Not everyone is thrilled, though. Some business groups and FTC’s Republican commissioners argue the rule is overreach, with the U.S. Chamber of Commerce calling it a “power grab.” But clearly they’ve never had to cancel one of their own services.
While most of the new requirements will take effect in about six months.
