I shook my head in shame when I saw the charge on my credit card statement. This was the third month I had been charged $14.99 for a credit monitoring service that I didn’t mean to keep past a free trial period. I knew it was exactly what the company who created the service hoped would happen.
Services that operate through recurring charges thrive on people who don’t review their bills regularly, or those who get deterred when faced with a small obstacle for cancelling.
Here are some of the business practices that such services use, so you can stop paying for recurring charges.
Offering a Free Trial Period
The hope is that during the free trial period you’ll either like the service so much you keep it, OR you forget about the fact that you have to call, or email, to cancel the subscription before you’ll eventually charged for it.
Free trials have varying lengths of time, with some being free for 30 or 60 days, while others are only free for 14 days. This makes it even more difficult to remember to cancel the service before the free trial period is up.
Requiring a Credit Card Number
When I signed up for this service, I was required to give a credit card number. The text claimed it for identification verification purposes, but there was also small italicized print stating it would be used to renew the service after the trial period was over.
It may seem like common sense what they want the number for, but they make it as non-transparent as legally possible so you’re not as likely to pay attention to what’s happening.
Sending No Notification
It would seem courteous to send users a notification stating their free trial period was ending, and that they will be charges $X for continuing to use the service. It would also seem thoughtful to explain simple ways to cancel by a particular date so your credit card would be charged.
But, these practices are seldom done. It is up to consumers to keep track of when they’ll be charged for renewal and cancel if they no longer want the service.
Having a Difficult Cancellation Process
The first month I noticed I had been charged, I instantly signed onto the service’s website to cancel the service. I found that I was required to call their customer service line in order to cancel. Unfortunately, that needed to be done during normal business hours, which had long since ended for the day.
This meant that I needed to call them during the day — when I’m dealing with a full time job, getting kids off to school, kid taxi service, and a bazillion other things. Three months later that phone call still hasn’t been made.
Trial offers are great ways to try out services to see if you like them, or to use them for a purpose only for the free period. What can you do to keep from being charged unwanted recurring fees?
- Investigate the Cancellation Policy: Before signing up for a service, find out what is required to cancel. You’ll then know what steps need to be taken when you want to cancel, or if it seems like something you may put off over and over resulting in unwanted charges.
- Cancel Immediately: Many trial offers allow you to cancel your service immediately. If that’s the case, do it as part of the registration process. That way you know that the trial offer period is all you’re going to get.
- Write it Down: If you cannot cancel immediately, write a reminder on the calendar, or set a Google reminder on your phone. This will help you remember what you have to do, and by what date. When the reminder goes off, or the day arrives on the calendar, make the time to cancel it immediately.
While they may seem shady, none of these practices are illegal. While they are inconveniences, none of these obstacles are insurmountable. It all boils down to consumers taking responsibility for their decisions, and making sure they take action to prevent unwanted charges.
Do you get frustrated with free trial period offers? How do you avoid paying recurring subscription charges?
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