Many products and services are available to purchase via a subscription, so whether you’re signing up for a streaming service, a prepared meals delivery service, or for your favourite magazine to be delivered each month, it pays to know your rights. You might find that some subscriptions are easy to sign up to, but hard to get out of.
The appeal of subscription services
The offer of a free or discounted service for a short period of time may be tempting, but it’s always best to shop around and compare prices to see if the deal really is value for money.
You might choose to sign up for a subscription for the convenience factor, particularly for essential items that can be delivered – e.g. toiletries, ready-made meals, vegetable boxes or milk. Or it might be an exercise program that appeals to you, with workouts you can do yourself at home and motivational messages sent to your phone daily. Subscription options can often be tailored to your own preferences.
Things to consider before you sign up
- Check independent reviews of the business to see if customers are happy with the products and services.
- Understand if the offer means you’ll automatically be moved to an ongoing subscription with recurring payment after the special offer ends, unless you cancel.
- Read the terms and conditions. This will help you find out about any rules, exclusions or a minimum amount you need to spend to be eligible for certain benefits.
- Check what fees will be charged on top of the products and services – e.g. delivery charges or a monthly membership.
- Find out about the cancellation process. Can you opt out any time? While you may only have to provide basic details to subscribe for a product or service, to cancel you may need to go through multiple steps online or even phone the company and they may try to talk you out of cancelling.
- Be aware that some businesses use ‘dark patterns’ to nudge or trick you into spending more or providing personal data that’s not needed. They might use loaded language. For example, they might offer you a 10% discount on your next purchase if you subscribe to their newsletter. Instead of giving you ‘Yes’ or ‘No’ options, you’re faced with ‘I’d love a discount!’ and ‘No thanks, I prefer to pay full price’.
Keep records
Make sure you keep copies of all relevant paperwork – e.g. your receipt and online order confirmation. You could also take a screenshot of the web page or app showing the promotion and any claims made about the subscription you’ve chosen.
Don’t just ‘set and forget’. If the subscription will automatically renew, make a note of this in your calendar, as a lot of businesses don’t send a reminder when a subscription is due to be renewed.
If issues arise
You’re entitled to a remedy – such as a refund, repair or replacement - if the products or services:
- are faulty
- not supplied in a reasonable time
- don’t match what you agreed to buy
- don’t match a statement made by the business on their website or in other promotions.
Contact the business to explain the problem and ask for a remedy. For a minor problem, ask the business to fix it. For a major problem, or a problem that can’t be fixed at all or within a reasonable time, you have the right to ask for a refund or replacement. You may need to show proof of purchase when requesting a remedy.
You have the same rights regardless of whether you paid for a subscription using your own money or with government funding, such as under a Home Care Package.
Further information
Read more information about contracts and your rights with refunds and returns, and contact Consumer and Business Services (CBS) on 131 882 if you need further advice.