Subscriptions are a major part of daily life, from streaming services to gym memberships. But managing them isn’t always easy, especially when canceling feels like an obstacle course.
Enter the FTC’s new “click-to-cancel” rule, designed to simplify the process and put consumers back in control. Here’s what you need to know about the rule and how to use it to keep your spending on track.
What is the “Click-to-Cancel” rule?
In response to growing frustrations, the Federal Trade Commission (FTC) recently announced the new rule, requiring companies to make it just as easy to cancel subscriptions as it is to sign up for them.
This means fewer hoops to jump through, fewer annoying calls to customer service (try even finding the number in many cases), and more control for consumers.
Specifics please: Breaking down the FTC’s “Click-to-Cancel” rule
With the new ‘click-to-cancel’ rule, canceling subscriptions has become more straightforward and consumer-friendly. Here’s what this rule means for you in practical terms:
- Cancellation is as easy as signup: Companies must offer a straightforward, no-hassle way to cancel subscriptions, typically through the same medium used for signup (e.g., if you signed up online, you can cancel online).
- No more retention hurdles: Companies can’t require customers to go through lengthy calls or extra steps to cancel.
- Clear renewal terms: Consumers receive clear options for renewal, making it easier to decide on continued use or cancellation.
How can you make the most of the “Click-to-Cancel” rule?
With the “click-to-cancel” rule in place, you’ll have a simpler path to canceling subscriptions you no longer use. Here are some tips to make the most of it:
Identify which subscriptions to cancel
Take stock of your current subscriptions. Look for any you rarely use or have forgotten about entirely. MoneyLion’s financial tools can help you track spending and identify recurring charges. If this feels overwhelming, apps like Rocket Money can do it for you (and can even help negotiate lower bills in some places).
Monitor subscription renewals closely
Use this rule as an opportunity to stay on top of renewals and understand which services you truly need. Life gets busy and it’s hard to remember what you’ve got and what you’re actually using.
Set reminders to review your subscriptions
Schedule a quarterly check-in to reassess subscriptions and decide what still adds value. A simple reminder can help you avoid unwanted charges and keep your budget on track.
How MoneyLion can help you save
With MoneyLion’s financial tools, managing your subscriptions becomes easier. Here’s how our products can support your goals:
Subscription tracking in one place
MoneyLion’s tools automatically track your recurring expenses, giving you a clear view of where your money is going. You can also create a bill checklist to see — and organize — your monthly bills.
Personalized financial insights
MoneyLion’s insights help you spot overspending areas, so you can make informed choices about which subscriptions to keep and which to cancel.
Easy budgeting tools
With our customizable budgeting features, you can set spending limits and make smart financial decisions that align with your goals.
MoneyLion has your back
Managing finances can feel overwhelming, but MoneyLion is here to help you stay on top of your subscriptions and budget better. Ready to take control of your financial future? Download the MoneyLion app today and get started on the journey.
