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Consumer Rights

Subscription Trap: Cancellation Rights and Getting Your Money Back

Being billed for a subscription you thought you cancelled, or that auto-renewed without clear consent, is one of the most common consumer complaints — but the federal rule you may have heard about ("click to cancel") is not currently in force. Here is what protections actually apply today, and how to get charges reversed.

At a Glance

Not in force
FTC "click-to-cancel" rule — vacated by the 8th Circuit, July 2025
15-45 days
California ARL required advance notice window before an annual+ renewal
60 days
Fair Credit Billing Act dispute window from the first statement showing the charge
120 days
Typical card-network chargeback filing window (varies by issuer/network)

What Protections Actually Apply Right Now

The Restore Online Shoppers' Confidence Act (ROSCA), a federal law enforced by the FTC, already requires that online sellers using a "negative option" (a subscription that auto-renews or auto-charges unless you act) clearly disclose the material terms before taking your payment information, get your express informed consent to the charges, and provide a simple way to stop the recurring charges. ROSCA enforcement (including FTC actions under it) continues regardless of the separate rulemaking below — it is the baseline that has applied for years.

Separately, the FTC finalized a broader "click-to-cancel" update to its Negative Option Rule in 2024, which would have required cancellation to be at least as easy as sign-up. That rule was vacated by the US Court of Appeals for the Eighth Circuit in July 2025 on a procedural ground (the FTC skipped a required cost-benefit analysis after its own estimate of the rule's economic impact rose past $100 million) — it is not currently in force. As of early-to-mid 2026 the FTC has reopened rulemaking (an Advance Notice of Proposed Rulemaking) rather than reinstating the vacated rule, so treat any claim that "click to cancel is federal law" as outdated until a new rule actually takes effect. verify current rulemaking status before relying on it

State law fills much of the gap today. California's Automatic Renewal Law (ARL), strengthened effective July 1, 2025, requires affirmative consent to auto-renewal, requires easy online cancellation for anything signed up online (a business cannot make you call or chat to cancel what you started online), and requires advance notice (15-45 days) before renewing subscriptions with an initial term of a year or more. Many other states (e.g., New York, Illinois, Vermont) have similar auto-renewal statutes with their own specific notice and consent requirements. verify your specific state's auto-renewal law before citing a specific notice window

What You Can Recover

Usually a refund of unauthorized/undisclosed charges, not statutory damages, unless your state law provides them

Refund of disputed charges

The seller reverses the specific charges you did not clearly authorize, typically going back to the point where consent or disclosure was deficient.

Card chargeback

Your card issuer reverses the charge under Fair Credit Billing Act (credit cards) or Regulation E (debit/EFT) dispute rights if the merchant will not resolve it directly.

State-law statutory remedies

Some state auto-renewal or unfair-practices statutes allow additional remedies (e.g., restitution, and in some states civil penalties pursued by the state AG rather than the individual consumer). [verify what your specific state law provides beyond a refund]

FTC enforcement is separate from your individual refund: If the FTC or a state AG takes enforcement action against a company, that can produce broad restitution programs, but it moves on its own timeline and is not a substitute for disputing your own charge directly with the merchant or your card issuer now.

How to Cancel and Get a Refund, Step by Step

Try the merchant first — it is usually faster than a chargeback and preserves your relationship if you want to resubscribe later

1

Cancel through the same channel you signed up in

If you signed up online, you have a right (under California's ARL and similar state laws, if applicable) to cancel online without being forced to call or chat — look for account settings or a dedicated cancellation page, and screenshot the confirmation.

2

Document the sign-up terms you actually saw

Screenshot or save the original sign-up page, pricing, trial terms, and any renewal-notice emails — this is your evidence of what was (or was not) clearly disclosed before you were charged.

3

Request a refund in writing, citing what was not disclosed or consented to

Email or message the merchant's support, stating the specific charge date(s), why the charge was not properly disclosed or authorized, and that you are requesting a refund under applicable law.

4

If refused, dispute the charge with your card issuer

For credit cards, invoke your Fair Credit Billing Act dispute rights (billing error dispute) within 60 days of the first statement showing the charge. For debit cards, use your bank's Regulation E dispute process, which has stricter, shorter timelines.

5

File a complaint with the FTC and your state Attorney General

Filing at reportfraud.ftc.gov and with your state AG does not get you a personal refund directly, but it feeds enforcement patterns and can matter for state-level restitution programs later.

Documents to gather

  • Screenshots of the original sign-up/checkout page and pricing shown
  • Any renewal notice emails (or confirmation there were none, if your state requires one)
  • Cancellation confirmation (screenshot, email, or reference number)
  • Bank/card statement showing the disputed charge(s) and dates

Timelines and Deadlines

Card-dispute deadlines are the ones most likely to actually bar a remedy if missed

Merchant refund requests generally have no fixed legal deadline, but your card-network chargeback rights do — do not wait to see if the merchant responds before also checking your card dispute window.

JurisdictionLimitation Period
US — Fair Credit Billing Act (credit card billing error dispute)60 days from the first statement containing the charge
US — card network chargeback (typical)Often 120 days from the transaction or expected delivery, varies by network/issuer verify with your card issuer
California — ARL advance renewal notice (annual+ term)15-45 days before the renewal date
US — FTC/state AG complaintNo fixed deadline, but file promptly to support any active investigation

Realistic Outcomes and Caveats

Direct merchant refund requests for a small number of disputed charge cycles are commonly granted, especially from larger subscription businesses trying to avoid chargebacks (which carry fees and risk for them). Refunds going back further, or from smaller/less cooperative merchants, are less reliable and may require a card dispute.

Card chargebacks are effective but not guaranteed — the merchant can contest a chargeback with evidence of your consent (e.g., a checkbox log, IP address, or terms acceptance), so document why the disclosure or consent was inadequate rather than simply asserting you "didn't agree."

Do not expect the vacated federal "click-to-cancel" rule to help your individual case right now — lean on ROSCA, your state's auto-renewal law, and your card issuer's dispute process instead.

Common Pitfalls

Assuming "click to cancel" is current federal law

The FTC's 2024 rule was vacated in July 2025 and is back in rulemaking — citing it as currently binding will weaken your dispute, not strengthen it. verify current status before citing it

Missing the 60-day Fair Credit Billing Act window

Waiting too long to formally dispute a credit card charge (as opposed to just calling to complain) can forfeit your strongest and fastest remedy.

Not saving the original sign-up screen

Without a record of what was (or was not) disclosed at sign-up, it is your word against the merchant's when you dispute the charge later.

Cancelling by phone when you signed up online, without insisting on a confirmation

Verbal cancellations without a reference number or written confirmation are hard to prove later if billing continues.

Confusing a free trial's "billing starts" date with the checkout date

Many disputes hinge on exactly when a trial converted to a paid charge — get this date right from your own statement, not memory.

Organize Your Subscription Billing Dispute

Document the sign-up terms, charges, and any cancellation attempt before you contact the merchant or dispute the charge.

Organize Your Subscription Billing Dispute

Document the sign-up terms, charges, and any cancellation attempt before you contact the merchant or dispute the charge.

This stays in your private workspace until you choose a next step.

This stays in your private workspace until you choose a next step. It does not submit a claim on your behalf on its own.

Official and Legal References

Federal Baseline vs. State Auto-Renewal Laws

ROSCA sets a federal floor (clear disclosure, express consent, easy stop-mechanism for online negative-option plans) that has applied for years and is unaffected by the vacated "click-to-cancel" rule. States like California go further with specific advance-notice windows and a guaranteed online-cancellation right; other states have their own, differently-worded auto-renewal statutes. Always check your specific state's law in addition to the federal baseline. [verify your state's specific auto-renewal statute]

Frequently Asked Questions

Real edge cases, answered in plain language

Is the FTC "click to cancel" rule in effect right now?

I signed up online but the only way to cancel is by phone. Is that legal?

The merchant refuses to refund me. What is my strongest next step?

Can I get statutory damages, not just a refund?

This page provides general information about US federal (ROSCA) and state auto-renewal law as of July 2026. It is not legal advice. The FTC's 2024 "click-to-cancel" rule was vacated in 2025 and is not currently in force — confirm current rulemaking status and your specific state's law before relying on any deadline or right described here.

Organize Your Subscription Billing Dispute

Document the sign-up terms, charges, and any cancellation attempt before you contact the merchant or dispute the charge.

Organize My Case