Consumer Alert
Tried to cancel a service but couldn’t? Learn steps to take
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Have you ever been unhappy with a service — like your phone or Internet — and tried to cancel it? But, when you tried, you found it difficult or nearly impossible? Learn about the ways companies illegally trick or trap people who use their services, steps to take, and your rights.
Today, the FTC announced that Vonage, a phone company, didn’t give customers an easy way to cancel their telephone services. Instead, the FTC says the company used a series of hurdles. These “dark patterns” made people hunt for the cancellation phone number; when they were able to call to cancel, they were often passed from agent to agent with repeated sales pitches; and, if they succeeded in cancelling, many wound up being charged surprise high-cost Early Termination Fees (“ETFs”). In many instances, even when people managed to navigate Vonage’s process and cancel their accounts, the FTC says Vonage continued to charge them without their permission.
As part of the settlement, Vonage must pay $100 million that the FTC will send to the small businesses and customers who were harmed by the company’s practices. Vonage must also stop using dark patterns, let people know important information at sign-up, make it simple for people to cancel, and get their consent for every charge.
If you’re considering a product or service check out the company’s policies on:
- Easy and simple cancellation. It should be as easy to cancel as it was to sign up in the first place. Before you place an order, look at the company’s refund and return policies, and whether you’ll be charged any cancellation fees.
- Automatic renewal. As soon as you know you don’t want to renew your plan, look at the company’s cancelation policy. Make sure it won’t automatically renew before you can cancel it. For more on avoiding charges in auto-renewal plans read Getting In and Out of Free Trials Auto-Renewals and Negative Option Subscriptions.
Did vonage loose their privilege to conduct business in the American market? Are there 2nd tier punishments for repeat offenses if they continue to defraud the public?
SIrrius radio is one of the worse. They talk off a script when you try to cancel to get you to renew and talk right over you, I literally lost a radio in a flood in my basement. The guy kept trying to get me to keep the service even though i kept saying i no longer have the radio. I finally had to scream at him to be quiet and listen. The his reply was I guess we have to drop your account and issue a refund
In reply to SIrrius radio is one of the… by Bob Pescatore
Yes! I refused to ever sign up with them again! Took over an hour to cancel my service with them and in the end I had to get downright ugly to get them to do it.
In reply to SIrrius radio is one of the… by Bob Pescatore
I had the same experience. It took me 20 minutes of saying "No - just cancel it. I don't use it" for them to 'let me' cancel my service that I didn't want or use.
Laidies and gentlemen, this article did speak of a particular problem, however it gave no information to the reader, as to how to cancel such transactions. generally, this was a complete waste of time.
In reply to Laidies and gentlemen, this… by Ron Kay
For more on avoiding charges in auto-renewal plans, click on the link in this blog to read Getting In and Out of Free Trials Auto-Renewals and Negative Option Subscriptions.
In reply to For more on avoiding charges… by FTC Staff
Checking to see how to get out of auto renewal.
In reply to Laidies and gentlemen, this… by Ron Kay
I agree
In reply to Laidies and gentlemen, this… by Ron Kay
I agree, the “report fraud” photo is not even a link. Since it doesn’t feel like fraud per say not sure which route to take when company makes life miserable to cancel.
In reply to Laidies and gentlemen, this… by Ron Kay
There was quite a bit of information - did you not read the article and explore the link? First, they stress the importance of reviewing and understanding a company's cancellation and auto-renewal policies, then they included a fantastic link with valuable information on how free trials can cost you, how to stop subscriptions and report problems, etc.
The link on the FTC Action Against Vonage was quite detailed. It included the FTC complaint and outlines the practices of Vonage that harmed consumers. It included the enforcement provisions and a copy of the agreed order (permanent injunction and money award).
This article was very helpful. It helps consumers evaluate offers and tells them what to look for BEFORE supplying their credit card information. It also tells you how to stop a subscription and reports provlems caceling subscriptions. We need to not be lazy! Explore the article.
How To Stop a Subscription
If you want to stop a subscription you’re enrolled in:
First, contact the company that runs the subscription you want to cancel. If the company has instructions on how to cancel, follow those. Keep a copy of your cancellation request, along with notes about any conversations you had and how and when you canceled.
Watch your bank or credit card statements. Check for charges on your debit or credit card after you canceled the subscription. If a company won’t stop charging your account after you’ve tried to cancel a subscription, file a dispute (also called a “chargeback”) with your credit or debit card.
Online: Log onto your credit or debit card online account and go through the dispute process. If you haven’t set up an account with your credit or debit card company, check out the company’s website to find out how to file a dispute.
By phone: Call the phone number on the back of your card, and tell the company why you’re filing a dispute.
Follow up with a letter to your credit or debit card company. To protect any rights you may have, follow up in writing by sending a letter to the address listed for billing disputes or errors. Use our sample letter. It’s a good idea to send your letter by certified mail and ask for a return receipt so you have proof of what the creditor received.
Save your records. Keep any letters, notes, or emails related to the scam — they could help prove you’re entitled to a refund if the credit or debit card company has any questions.
Find more about your rights at ftc.gov/credit.
Report Problems
If you have problems canceling a subscription, or you’ve been charged for a subscription you didn’t agree to, report it to
the FTC at reportfraud.ftc.gov <-- hyperlinks provided in article
your state attorney general <-- hyperlinks provided in article
In reply to Laidies and gentlemen, this… by Ron Kay
Totally agree!
In reply to Laidies and gentlemen, this… by Ron Kay
Omg you read my mind! I was thinking the exact same thing. I opened the email expecting some clear instructions on how to handle such situations and nothing...thank you
Enshrine in in law to be as easy to cancel as it was to sign up.
When you cancel (1) the cancellation should take effect immediately and (2) money due should be returned in 5 business days.
In reply to Enshrine in in law to be as… by I. Leuca
Absolutely agree!! It should similar to privacy disclosures that are now required.
Thank you!!! I think everyone has probably experienced this. It is so frustrating. It took me nearly a year to cancel a subscription service last year even after calling and leaving voicemails, sending emails, cancelling on the website - yet month after month the charge would re-appear. I contact BBB and thankfully they were able to help. The smaller no contract cell companies are a nightmare.
I also think the practice of allowing auto pay to carry over to new debit cards should be verbotten. I have ordered new cards only to see that old auto payments were charged to those new cards without my permission. I don't know how that happens but it does.
In reply to Thank you!!! I think… by Nicole Takahashi
In some instances, I had to call my bank to stop payment on those companies.
I had a similar situation with a propane company. When I called to cancel my account and remove their tank I was told I was in 3 year contract with them. I told them I don`t remember signing a 3 year contract. They said I did but I did not get a copy of it at the time. They sent me a copy of the said contract upon my request. The signature and date was, as it looked, photo copied from other forms that I had copies of. They then charged me $250.00 for breaking the contract.
I had a similar situation with a propane company. When I called to cancel my account and remove their tank I was told I was in 3 year contract with them. I told them I don`t remember signing a 3 year contract. They said I did but I did not get a copy of it at the time. They sent me a copy of the said contract upon my request. The signature and date was, as it looked, photo copied from other forms that I had copies of. They then charged me $250.00 for breaking the contract.
Good to know you are there to help consumers when they get caught in these aggravating business practices. We consumers should not have to be subjected to this kind of stuff. I have found something like this with Verizon when you call them...get placed on hold hearing all kinds of business pitches and after wasting at least 5 minutes of your time on hold you get customer service people whose main interest is selling you services you do not want. I had one person who tried to get me to "upgrade" my services BEFORE I could get her to take care of the reason why I called in the first place - I told her if I was not happy with their service in the first place why would I want to add more services ??? This is what happens with some of these companies.
One way to quit paying is to cancel the credit card they are charging. Don't immediately replace it as some banks will move the charge to the new card.
And keep copies of ALL transactions.
Beware Xfinity. They hijack credit cards; you can't remove them and they make excuses about delays when attempting to cancel. They also "add" to your services and charge you more.
In reply to Beware Xfinity. They hijack… by KH
Call your credit card company and tell them you didn’t authorize those charges. They’ll start an investigation - don’t forget to get the case file number before you hang up because you’ll need it when you call back to follow-up on the status of it
In reply to Beware Xfinity. They hijack… by KH
Yes, Xfinity is bad. I'm trying to cut out some of their services, and I can NOT delete any services on their account management web site. The only thing I am allowed to do is add services - this is just rotten.
I know I still hold the ace in that I can just tell my bank to void my payments to Xfinity, but I hope it doesn't go that far.
Getting to a live agent on Xfinity is challenging also, which is now required for me to cancel services.
When you have Boost-mobile , they don't want to let you go to another carrier until you get an unlock code from them.
In reply to When you have Boost-mobile ,… by Abiel Pena
Same with Consumer Cellular
In reply to When you have Boost-mobile ,… by Abiel Pena
I believe that Cellular Companies require an unlock code to release your current phone number. If you're trying to change carriers. Make sure you know at the time how long your phone number will be available to you. The window isn't very long. It's a real pain to have to change your phone number and how your phone is recognized with banking aps and the like, so make sure you understand what you need to do. If you're switching to a carrier like Verizon, they should be able to call you're current provider and unlock it, but if not they can tell you how to proceed.
I've had this kind of problem before. Great article. Thank you for sharing
One thing I learned in dealing with companies like this phone company, call them. Tell them nicely you want to cancel the service. If they tell you, have you must jump over hoops, say no (nicely). Use a recorder & take many notes. Include who you talk to, the date & time. Tell them you want this canceled because (and give the reason(s)--but be honest). Why pay for something you don't want or didn't order? If canceled, get a confirmation number for it. ALSO, TELL THEM (NICELY) IF THIS IS NOT CANCELED TODAY, then I have no choice but to do 2 things: File a complaint with our State Attorney's General office & also with the FTC, and don't think I won't. 99% of the time--account is canceled with confirmation. Plus, it can be verified and back with all your notes and the recording if needed. I got burned once, and never again.
Truthfully I love FTC for letting us know how to deal with contract and canceling! I will stick with FTC to deal with aggravating situation. Thanks Chris
I have experienced this with Comcast. I was trapped for years. I called and went to the main office to cancel after going up from 150 to 259 to 345. When you try to cancel and turn in equipment there's no receipt after I returned the equipment. Then they tried to put you in a bigger promotion for two years. I denied the offer. I threatened them with litigation and they cancelled immediately charging me 450 cancellation fee. I paid it then they still put it on my credit. It took months to get it off my report. My score dropped 125 points. I got denied a house. I know 2 other neighbor they did that way.
Comcast/Xfinity does the same exact thing.
Thank you for this information. I recently went through 2 of these issues with Century Link & ADT. I finally went for help with the Better Business Bureau for ADT & my credit card for Century Link. Was totally amazing how quickly I got my money back! (both were on auto paid).
It is not JUST phone companies that trick and trap individuals into various subscription/plans. Most of the elderly get trapped into magazine, computer internet programs, food/grocery offers, and some insurance {car, home, life, health| scams.
Yes, about 3-4 yrs ago I was attempting to quit Vonage (since their international service was much more expensive than elsewhere) and I had horrible time doing so (multiple calls to "support", no simple way of quitting on-line, very hard time of switching to Spectrum - but charging extra 1 month, no allowing me to retain old calling #, etc). Very bad experience.
American home shield absolutely refuses to send a copy of the contract and to not cancel and refund my money. Also refusing to fix a reported problem. They said it is not covered however without a contract I couldn't check to see if coverage was available. I need help. They say how good they are to get your money then decline coverage and won't cancel and refund for the months I have been trying to cancel.
In reply to American home shield… by Lee
Go to their website. You can download a copy of your contract and then print it out if you want. No guarantees that this will fix your coverage issue, though. They stay up late figuring out ways to not provide service. Sincerely, Good luck. I know how bad they can be.
Banfield is also doing the same thing. They don't cancel the service for our pets. In some cases, the pets die and they still charge the people. It shouldn't be this hard to cancel a service that we don't like and we can't use.
In reply to Banfield is also doing the… by RG
Thank you for including Banfield in all this mess. They actually facilitated one of my cat's illnesses by giving me ridiculous remedies (air fresheners, calming collar, etc.). After he was seen 4 times in his last few weeks, I took him to a different vet for euthanizing. I paid an amount close to what was left on the Banfield contract & included a copy with my letter requesting that they cancel the contract. After receiving my first request to have the remainder of the contract (3 months & less than $250) written off, they sent me to collections. It not only adversely affected my credit report, but, after 8 years, they still have not responded to my complaints.
I tell my story to anyone who mentions they're taking their pet(s) there, that although the vets & staff are friendly & helpful, I'm sure they are under strict guidelines from Banfield Corp. to mind the bottom line & their agenda appeared to be aimed at up-selling their products.
that was not helpful at all. i have 99cent charge from apple i cant cancel--
tried many times,but no success
Thank you for addressing this issue. I'm 70, and use lists and calendars to keep track of every subscription or free trial that says it will auto-renew. I'm to the point of PASSING UP anything that offers free sample or free trial because, increasingly, when I look for the "fine print", it invariably has an auto-renew attached. I read an article saying this practice has been extremely profitable for every business that uses it, especially for products and services appealing to older people because of their increasing forgetfulness or failure to think they might need to check for an insidious clause in "fine print" in the first place!
This has happened to me many times and is/was very difficult to cancel a service, in some cases I never signed up for.
Choice home warranty did a very similar practice to me. After my one-year paid up front contract expired they started taking out a monthly unauthorized charge.
This is very much like a company called, “click pay“. They structure an automatic payment product and made it so complicated that it did not process and was charged a $50 late fee. What they did was make a whole separate area that you’re not lead to for a specific checking account, a business checking account. So when filling out the online application, this is no option. In other words anyone that signs up and is using a business checking account is most definitely going to get a $50 late fee and they do not have any grace, no reasonable settlement, nothing. Now, I’m dealing with the same company who has charged me legal fees near $3000 and the FTC has not done anything about it.
thank you for the education. What an awesome read! Best wishes out there...it's a jungle!
I went through virtual hell trying to cancel DirecTv since they modified my agreement with them for tv service. First, they are now part of AT&T and have a huge harassment team willing to jack one around about canceling. I needed a replacement tuner box, but all they offered was a High-Definition box at $25 more a month. Said regular boxes no longer available. Told them to CX immediately. Within a week got a final bill in excess of $350 which included "early termination fee" of $275. After several acrimonious weeks I finally called their home office, explained why I didn't want HD, and got a response from an AT&T VP of customer relations who told me she had called NYC and told them to quit and end further actions. I got 2 further bills from NYC for "Service fees" for $125 each, called my lady and she apparently called NYC and set them straight.
I didn’t want renew my Microsoft account which was set to expire about a month later and I notified them by phone. On that same date Microsoft used my credit card information and paid themselves $69.99 for the annual Microsoft fee. When I got my bank statement I found out that they had stolen this money. Luckily, my bank was able to have this illegal withdrawal reversed.
Oh pls do something in this area regarding Planet Fitness! They will not let you cancel online, over the phone, out of the country, or at a nearby location not at your “home” gym. They only accept a letter at home location. I haven’t been to that gym since Dec 2021 and still getting charged though system knows I haven’t been.
Direct TV is guilty of the horrible cancellation practices.
I have experience this with my cable company I live in Sonora California I Comcast or Xfinity either way its confusing i can call 1800 comcast or 1800 Xfinity I can access my acct. my monthly bill runs 245.00 a month recently my income changed drastically so I wanted to change my plan or cancel my cable co. bills a month in advance so I pay my current bill in advance, yet I get charged late fees and they are billing for past due amount how is this possible. Is this legal ?
Kindly
Sandra Cardiff