Click-to-Cancel Rule:
The United States’ Federal Trade Commission (FTC) will soon implement a “click-to-cancel” rule, which will make it significantly easier for consumers to cancel their subscriptions and memberships.
- Companies must allow consumers to cancel subscriptions as easily as they signed up, using the same medium (e.g., online, phone).
- Businesses cannot force customers to talk to representatives or add charges for phone cancellations if those were not required for signing up.
- It Applies to “negative option programs” like automatic renewals, where failure to cancel leads to continued billing.
