Remember when we used to just buy things? Now it feels like everything is a subscription. And if you’re like us, with no kids at home, you’re probably realizing you’ve been paying for services you forgot you even had. The problem isn’t just that we forget, it’s that these companies make cancellation so difficult.
We have accumulated subscriptions over time from when we were busy parents who didn’t have time to review every monthly charge. Now that we’re simplifying our lives and have time to actually look at our bank statements, we’re discovering a graveyard of forgotten memberships. As we have been talking to our friends about this we found out that almost half of them have forgotten they’re still paying for a service they no longer use. And to find out most of them have no idea what they are spending on monthly subscriptions.
I learned that the Federal Trade Commission receives about 70 complaints a day about subscription cancellations, and that number has increased significantly in the last 5 years. Let me share with you the worst products and how to protect yourself so you do not fall into this trap.
The 10 Worst Subscription Traps
1. Home Security Systems (ADT and Similar Companies)
This is the big one. You sign up in 20 minutes with a friendly door-to-door salesperson. Three years later when you want to cancel? Good luck.
ADT requires 36-month contracts in most states (24 months in California), and if you cancel early, you could owe up to 75% of your remaining balance. That can mean hundreds of dollars in cancellation fees. Even worse, many customers report being unable to cancel despite multiple attempts, with ADT continuing to charge their accounts even after cancellation requests.
The Problem: You can’t just cancel online. You must call a customer service number, deal with retention tactics, and often you need to send certified letters to document your cancellation request. The straightforward way to cancel ADT is by calling their help center, but this may be costly depending on how long you’ve had the service.
How to Protect Yourself: Before signing any home security contract, read the cancellation policy carefully. Ask specifically: How do I cancel? What are the fees? Can I cancel online? Document everything in writing. Better yet, consider month-to-month services instead of long-term contracts.
2. Gym Memberships
You can walk into a gym and within minutes have a gym membership, but it can take several days to cancel that membership. Sound familiar? This one is what makes my blood boil the most.
The Problem: Many gyms require you to cancel in person or by certified mail, even if you signed up online. Some demand a portion of your Social Security number to cancel. Planet Fitness is notorious for this.
How to Protect Yourself: Before joining, ask explicitly: “How do I cancel, and can I do it the same way I’m signing up?” Consider using a virtual credit card number for gym memberships so you can easily shut off payments if needed.
3. Cable and Streaming “Bundles”
Cable companies have mastered the art of making cancellation painful. You’ll spend an hour on hold, get transferred multiple times, and face annoying sales tactics trying to keep you subscribed.
The Problem: Customer service representatives are trained to make cancellation difficult. They’ll offer discounts, free months, downgrades, and anything to keep you from actually canceling. Some require you to return equipment in person to specific locations. (Now this is a great way to lower bill if that is your agenda)
How to Protect Yourself: When you call to cancel, be firm. “I’m calling to cancel, not to discuss other options.” If they won’t process your cancellation, ask for a supervisor. Document the date, time, and representative’s name.
4. Subscription Boxes
These seem harmless fun at first as you get a monthly box of surprise! But many bury their cancellation process deep in account settings or require you to “pause” rather than cancel. Your dog doesn’t need a monthly box, and you can make it to the store once a week for groceries.
The Problem: Free trials that automatically convert to paid subscriptions. Websites designed to make finding the cancellation button nearly impossible. “Pause” options instead of true cancellation.
How to Protect Yourself: Set a calendar reminder for 2 days before your trial ends. Take screenshots of the cancellation confirmation. Check your credit card statement the following month to ensure charges stopped.
5. Amazon Prime
I think everyone of us are bought into this subscription and use it way more than we should. What I don’t like is that Amazon has tricked a lot of people into buying Prime memberships that were purposefully hard to cancel.
The Problem: Amazon makes signing up for Prime incredibly easy, but cancellation requires navigating through multiple screens designed to change your mind. Even getting someone on chat or the phone is now a web of clicks.
How to Protect Yourself: Know that Prime can be canceled anytime. Go to Account Settings > Prime Membership > End Membership. Don’t fall for the “pause membership” option unless that’s truly what you want.
6. Magazine Subscriptions
These are sneaky because they often involve automatic renewals that kick in months after you’ve forgotten you subscribed.
The Problem: I feel that if you are still getting a magazine subscription, you need to cancel it anyway, but it can take many calls to do so. Many magazines require written cancellation notices or phone calls during specific business hours.
How to Protect Yourself: Never accept “automatic renewal” offers. Mark your calendar when subscriptions expire. Pay with credit cards rather than giving them your bank account information.
7. Software Subscriptions (Adobe, Microsoft, etc.)
These professional software subscriptions often lock you into annual contracts with monthly payments, making you think you can cancel anytime.
The Problem: Canceling before your annual term ends can result in hefty early termination fees, and sometimes 50% of your remaining contract value. Finding the cancellation option often requires searching through multiple menus.
How to Protect Yourself: Read the contract terms carefully before subscribing. Set a reminder one month before your annual renewal. If you only need the software temporarily, look for monthly (not annual-paid-monthly) options.
8. Car Washes and Detailing Services
You drive up to the car wash and you can save big and have a membership easier then your one time purchase. These monthly car wash memberships are marketed as convenience but become financial annoyances.
The Problem: Often require in-person cancellation at specific locations. Some charge through third-party payment processors, making it hard to stop payments directly.
How to Protect Yourself: Before signing up, ask where and how you can cancel. Take a photo of the cancellation policy. If they make cancellation difficult, contact your credit card company to dispute future charges.
9. Online Learning Platforms or Apps
Free trials that quietly convert to paid memberships are the norm here. You sign up for an app that helps your photos look better, or a new map so you can explore the word, but that is where they get you.
The Problem: They make it one-click easy to start your “free” trial but bury cancellation deep in account settings. By the time you notice the charge, you’re already months into a subscription you forgot about.
How to Protect Yourself: Before entering payment information for any free trial, locate the cancellation process. Set an alarm for 2-3 days before the trial ends. Use a virtual credit card that you can easily deactivate.
10. Security and Identity Monitoring Services
These prey on fear and often offer “free” credit monitoring that converts to paid services. Yes, I am talking to you, because you have looked into this one.
The Problem: Automatic renewals at significantly higher rates than promotional pricing. Difficult-to-find cancellation processes. Aggressive retention tactics when you try to cancel.
How to Protect Yourself: Know that you can get free credit monitoring from AnnualCreditReport.com. Read the fine print on any “free” trial. Set reminders for when promotional pricing ends.
The Good News: New FTC Rules Are Coming
In October 2024, the FTC announced a finalized “click to cancel” rule that requires companies to make canceling subscriptions as easy as signing up for them. The rule says online subscriptions should require the same number of clicks to end as they do to sign up, and in-person signups should have an option to cancel online or over the phone. Most of the new requirements will go into effect in 2025.
Companies that engage in subscription traps will be liable for civil penalties of more than $50,000 per violation, and every time they trap a consumer in a subscription is a potential violation.
How to Cancel When Companies Won’t Cooperate
If you’re stuck in a subscription nightmare, here’s your action plan:
- Document Everything: Save emails, take screenshots, note dates and names of representatives you spoke with.
- Use Written Communication: Experts suggest conducting a web search using the company’s name and “how do I cancel my subscription” to find specific tips and contact numbers. Send emails or certified letters rather than just calling—you need documentation.
- File Complaints: Report problems to the Better Business Bureau, even for companies not listed on their website. Also file complaints with the FTC.
- Contact Your Bank or Credit Card Company: If you’ve tried working directly with the company and failed to cancel, dispute the charge with your credit card issuer or file a stop payment order with your bank. This should be a last resort as it may come with fees.
- Post Public Reviews: Companies care about their reputation. A detailed, factual review on Google, Yelp, or social media sometimes gets faster results than multiple customer service calls.
Our Empty Nester Strategy
Now that we actually have time to manage our financial lives (hello, no more driving teenagers everywhere!), here’s what we’re doing:
- Monthly subscription audit: We go through credit card and bank statements together once a month specifically looking for recurring charges.
- Shared password manager: We use it to track all subscriptions, when they renew, and how to cancel them.
- “Trial” calendar: Any free trial gets an immediate reminder set for 2 days before it expires.
- One email for subscriptions: We use only one email just for subscription services, making it easier to track what we’ve signed up for.
- The “six-month rule”: If we haven’t used a service in six months, we cancel it. No guilt.
The subscription businesses are designed to make their lives easier, not ours. But we’re at a stage in life where we can be more intentional about what we’re paying for. Every subscription we cancel is money we can redirect toward the things we actually value, like that trip to Europe we’ve been planning.
For more information on your consumer rights regarding subscriptions, visit the Federal Trade Commission’s website.
Have you had a nightmare cancellation experience? Or discovered you’d been paying for something for years that you forgot about? We’d love to hear your stories in the comments.
