If it takes one click to sign up, it should take one click to cancel.
According to research by ING, Australians lose billions of dollars every year on unused and hard-to-cancel subscriptions.
I’ve spoken with consumer law experts, seniors' groups, and digital rights advocates and we all agree that the system is broken, and it's time to fix it.
I’ve heard from pensioners still paying for services they don’t use because cancelling was so confusing and convoluted they had to call a grandchild for help.
I’ve also heard from young mums who downloaded what looked like a harmless free game for their children, only to find a $20 charge on their bank statement weeks later due to hidden fees and auto-renewals.
These stories are brought on by a business model built on confusion, shame, and manipulation.
That’s why I’m calling on the Government to introduce a Click to Cancel law to make it as easy to cancel a subscription as it is to sign up as part of six common-sense reforms for digital consumer protection:
- Introduce mandatory, simple cancellation mechanisms for all subscriptions and recurring payments so consumers may cancel any digital or recurring service using the same method and with the same ease as sign-up.
- Ban “drip pricing” and other hidden charges during checkout so that the full price of goods or services are displayed upfront.
- Mandate clear and timely renewal reminders for subscription services allowing consumers to receive a standardised notification before being auto-charged for renewal when free trials convert to paid plans or for annual subscriptions.
- Prohibit the use of manipulative urgency or scarcity tactics and similar pressure-based design techniques that distort purchasing decisions and create artificial time pressure.
- Prevent forced account creation for one-time purchases so customers are not forced to create and store an account which often results in future charges, data harvesting and unsolicited marketing.
- Ban dynamic pricing based on demand levels, browsing history, or device type to outlaw businesses using algorithms to increase prices for individual consumers based on how often they’ve searched, what device they’re using, or current demand.
These six basic protections must be backed by consequences and civil penalties that are enforceable by the ACCC.
Help me push the Government to introduce "Click to Cancel" by signing and sharing the petition.