Chargebacks911 Founder and CEO Monica Eaton was recently invited to share her thoughts on new FTC rules in an opinion piece for Payments Dive.
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Negative option services are somewhat controversial, though it is an entirely legitimate business practice. However, to ensure fairness and consumer protection, the FTC recently refined their rules to propose a “click-to-cancel” amendment.
“This proposal reflects the growing consumer demand for an easier subscription cancellation process,” Monica says in the piece. “However, this isn’t only in the interests of consumers; simplifying the cancellation process and making it more “customer friendly” is in the interests of merchants as well.”
Monica goes on to say that this is a step toward a more consumer-friendly experience. It may also help merchants by be preventing cases of first-party chargeback misuse. “This will encourage retailers to be more proactive in providing comprehensive self-service tools that cater to the changing needs of consumers,” she says.
