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UK government agency is honing in on auto-renewal practises on PlayStation, Xbox and Nintendo Switch

Finally, after years of consumers spending eyewatering amounts of money on unused services, the UK government is investigating the practice of auto-renewing subscriptions. And now, Xbox is already pledging to make changes to how it handles subscriptions of its Live and Game Pass services. It says that it will reach out to inactive users to remind them that they are paying into these subscriptions, and will even cancel payments if they go unused for some time.

The Competition and Markets Authority, a UK government agency, is specifically honing in on auto-renewal on PlayStation, Xbox and Nintendo Switch, rather than the practice at large. The consumer law investigation kicked off in 2019, but an update earlier today reveals that it has had correspondence with Microsoft, and the studio has promised to make improvements to its subscription services.

One of the biggest changes is refunds - and proper refunds this time. Anyone on 12-month contracts will be offered a refund even after renewal, and will get their money back in proportion to how much time they had left on the subscription (so not the full amount).

Microsoft will also get into contact with players who haven't used their subscriptions in some time, and will automatically cancel them if they continue to go unused.

 
Hey that is good. I should probably cancel some of my subscriptions i dont even use.

It may slightly lower MS sub count but not in any meaningful way. They are on track for 60-65 million Gamepass subs by early 2023 when the deal is done(assuming Battle.net 26 million subs gets folded into Gamepass)
 
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ZehDon

Member
That's nice and all, but like, how about consumers be more responsible for their own finances?
How about companies stop automatically setting up renewing subscriptions after trial periods? If I sign up for a trial, and I don't specifically opt in for automatic renewal, we should be done until I specifically say otherwise.
Subscription model is predatory because it almost counts on the fact that people won’t cancel
Hard to argue with this, frankly. I love Game Pass as much as the next fellow, but fuck I hate this auto-renewing subscription as standard BS.
 

Kagey K

Banned
How about companies stop automatically setting up renewing subscriptions after trial periods? If I sign up for a trial, and I don't specifically opt in for automatic renewal, we should be done until I specifically say otherwise.

Hard to argue with this, frankly. I love Game Pass as much as the next fellow, but fuck I hate this auto-renewing subscription as standard BS.
Pretty sure you have to manually set up auto renew on Xbox. It will ask you if you want to set it up when you first subscribe though.
 
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ZehDon

Member
Pretty sure you have to manually set up auto renew on Xbox. It will ask you if you want to set it up when you first subscribe though.
It's been a long time since I've set up a trial, but I specifically remember getting billed for Xbox Live for a few extra months midway through last gen because I used a 3 month Trial Card, and it just moved over into automatic renewal. If that's different now, then that's a good move.
 

adamsapple

Or is it just one of Phil's balls in my throat?
It's been a long time since I've set up a trial, but I specifically remember getting billed for Xbox Live for a few extra months midway through last gen because I used a 3 month Trial Card, and it just moved over into automatic renewal. If that's different now, then that's a good move.

You may have given it permission to auto renew and forgot about it.
 

dwish

Member
Hey that is good. I should probably cancel some of my subscriptions i dont even use.

It may slightly lower MS sub count but not in any meaningful way. They are on track for 60-65 million Gamepass subs by early 2023 when the deal is done(assuming Battle.net 26 million subs gets folded into Gamepass)
Battle.net is not sub. WoW yes but Battle.net no
 

StreetsofBeige

Gold Member
That's nice and all, but like, how about consumers be more responsible for their own finances?
How do people not know where their money is going?
That's funny, it seems every cable tv and cell phone company keeps people on auto-renew and the gov never looks into whether someone is still using the service.

Too many lazy fucks in life who dont want to take 5 minutes to skim their online bills and see if there's any recurring charges worth cancelling. So the gov has to get involved to help solve their customer/company purchase agreement. Funny thing is I bet some of them do notice it, but are still too lazy to cancel.

Babysit Nation.
 

nikolino840

Member
This is a good thing for companies.

I hesitate signing up to new subscription services cause I always get busy and forget to unsubscribe.

I can tell you now I would be signing up to way more services if I knew I never had to worry about manually going in there and disabling it.
TdV5zNU.jpg

You can do It in your couch with the controller... Is in italian..but you can can disable the auto renew or delete the subscription
 

Neff

Member
That's nice and all, but like, how about consumers be more responsible for their own finances?

Sony got me with my first PS Plus sub. The auto-renewal wasn't at all obvious at the time (no idea if it still is) and I'm sure the fact that they didn't go out of their way to point it out has worked in their favour more than once.

Every damn trial is banking on this practice of you not knowing it auto renews and you have to manually go in and cancel it.

Pretty much. The margin they make on forgotten subs I would imagine is substantial.
 
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Chukhopops

Member
I don’t think that will change much since you have to be inactive for “a long time”. This most likely means an email after +/- 90 days and deactivation after six months or so (and without using any GP game or perk or using the app etc.)

Back when I worked in gambling there was a GCUK rule that you had to close inactive accounts after six months and it barely ever happened, most people would be active at least once and reset the counter.
 

Goalus

Member
Subscription model is predatory because it almost counts on the fact that people won’t cancel
I remember being told over and over again that the subscription model is "a race to the bottom" because the income it provides to the platform holder is far lower than the value it offers to the consumer.

Which is it?
 
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Three

Member
That's nice and all, but like, how about consumers be more responsible for their own finances?
Because it's daft when you think about it. Imagine agreeing to lend somebody money once and they see that as reason to reach into your wallet every year and you just have to be vigilant and keep track of your wallet to tell them to stop.

There is absolutely no reason for auto renewal. If a subscription has lapsed and you're not using it you're getting conned when it auto renews. If it has lapsed and you are using it what's so hard about having a single button pop up you click to renew when actually trying to use the service?
The only reason they do it is that they hope you forget and they have access to your finances.
 

Helghan

Member
Reads to me that most Game Pass users actually use Game Pass and aren't just paying for the subscription unknowingly. Otherwise you wouldn't be so pro-active, since it would cost them a lot of money if a lot of people aren't using the service, and you would automatically unsubscribe them.
 

cormack12

Gold Member
Funny, should have done this years ago with those shitty book and cd susbscriptions on Britannia. What about auto renewal on Android/Google Play apps, Netflix, ExpressVPN or Adobe? Another example of the video game sector being demonised.

If I click auto renewal, I know what it's for....They just need to make auto-renewal opt in for all digital services, not automatically set.
 

AV

We ain't outta here in ten minutes, we won't need no rocket to fly through space
These subscriptions TELL YOU they're going to auto-renew. You can turn that off immediately, you can set a reminder in your calendar to do it later.

How lazy/careless with money are people that they cannot be bothered to do the above? I heard an ad on a podcast recently for a company that will go through your many subscription services for you and cancel ones you don't use. Is that where we are now? People paying so much money per month for stuff that they've forgotten what stuff they're paying for?

Boggles the mind.
 

Ovek

7Member7
Shit they need to look in to Amazon Prime as well. I have never got a email telling me my subscription is almost up or even an email telling me that it's renewed. I don't even know when it renews anymore.
 
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