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Subscription trap scams

A "free trial" quietly enrolls you in an expensive recurring charge that is hard to cancel.

How it works

An ad offers a "free trial":

"Try this skincare for FREE — just pay $5 shipping!"

You hand over your card for the $5. Buried in tiny print: by accepting the trial, you agree to a $89/month recurring charge that starts in 14 days.

Or you sign up for a "$1 first month" streaming service that quietly becomes $14.99/month — and the cancel button is hidden behind 6 menus.

Some "trials" are even sneakier. Apps charge you the moment a free trial ends, with no reminder. People notice months later.

Why people fall for it

  • The first charge is tiny and feels safe.
  • The fine print is hidden or skimmable.
  • Cancellation is intentionally hard.
  • You forget about it because it's a small recurring charge.

Red flags

  • "Free trial" that requires a credit card.
  • Tiny print about "auto-renewal" or "monthly thereafter."
  • Cancellation requires a phone call during specific business hours.
  • No clear total of what you'll pay over the year.

How to stay safe

  1. Read the fine print. Specifically search the page for the words "renew," "billed," "monthly."
  2. Set a calendar reminder for the day before the trial ends. Cancel one day early.
  3. Use virtual card numbers if your bank supports them — you can lock or destroy a virtual card without changing your real one.
  4. Review your bank statement every month, not every quarter. Catch small charges early.
  5. If you can't find a "Cancel" button in the app's settings, that's the company telling you to leave.

Related lessons

Sources & further reading


Educational only — not financial, legal, tax, or investment advice. If you think you've been scammed, tell a trusted adult immediately and report it to the FTC and the BBB Scam Tracker.

Business Financials provides educational information only and does not provide financial, tax, investment, or legal advice.