How to Get a Refund on a Subscription That Won't Let You Cancel
Companies that make cancellation deliberately difficult are now violating federal law. Here's how to demand your refund in writing and what to do if they ignore you.
The FTC Click-to-Cancel Rule (2024)
In 2024, the FTC finalized its click-to-cancel rule under the Negative Option Rule (16 CFR Part 425). The rule is simple: cancellation must be at least as easy as sign-up. If you signed up online with one click, you must be able to cancel online with one click — not via a phone call to a retention team, not by mailing a written request, and not after sitting through a 20-minute retention pitch.
Sellers must provide a simple cancellation mechanism that is at least as easy as sign-up. Companies that violate the rule face civil penalties of up to $51,744 per violation per day. The FTC has already brought enforcement actions against several major subscription companies under this rule.
State auto-renewal laws
Many states have additional auto-renewal protections beyond the federal rule that may give you stronger grounds for a refund:
Clear disclosure before renewal required. Easy online cancellation required. Refund required for automatic renewals that weren't properly disclosed.
Written notice required before renewal of contracts over $25/year. Failure to provide notice may void the renewal charge entirely.
Various auto-renewal disclosure and cancellation requirements. Your state AG's office can confirm which apply to your situation.
When you're entitled to a refund
- ✓Charged after you cancelled — Any post-cancellation charges are refundable — this is straightforward and most companies will comply quickly with documentation.
- ✓Renewed without proper notice — If your state requires advance notice before auto-renewal and they didn't provide it, the renewal charge is likely refundable under state law.
- ✓Free trial converted without clear consent — If you signed up for a free trial and were charged without clear, prominent disclosure of the conversion, the FTC rule supports a full refund.
- ✓Service not as described — If the service differs materially from how it was advertised, FTC Act § 5 (deceptive practices) supports a refund claim.
Step by step: demand cancellation and refund
Screenshot the cancellation page, save any confirmation email, or write down the exact date and time of your phone call. This documentation is essential for every next step.
Cite the FTC Click-to-Cancel rule (16 CFR Part 425) and your state's auto-renewal law. Demand written confirmation of cancellation and a full refund within 10 days.
State that if you don't receive confirmation and refund within 10 days, you will initiate a credit card chargeback, file an FTC complaint, and file a complaint with your state AG.
Contact your credit card issuer. Cite "subscription cancelled" or "goods/services not as described." Most cards give you 60 days from the statement date. Provide your documentation.
reportfraud.ftc.gov for the FTC. Your state AG's office online portal for state-level complaints. Pattern complaints trigger enforcement actions against repeat offenders.
The chargeback option in detail
If the company ignores your demand letter, a credit card chargeback is often the fastest resolution. When you file a chargeback, your credit card issuer contacts the merchant and demands documentation that the charge was valid. Most subscription companies — especially those with difficult cancellation practices — cannot produce clean documentation and the chargeback is approved.
Important: provide your bank with copies of your cancellation attempts, your demand letter, and any screenshots. The more documentation you have, the stronger your chargeback claim.
A formal letter citing the FTC Click-to-Cancel rule with a specific chargeback threat resolves most subscription disputes within 10 days. Companies with compliance teams know this rule and respond to documented formal requests — particularly when a chargeback would cost them more than the refund.
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LetterPerfect is not a law firm. This guide is for informational purposes only and does not constitute legal advice. For legal representation, consult a licensed attorney in your state.