FEATURE
hile the procedural pause and
W pushback from merchants has left many wondering‘ if’ and‘ when’ the click-tocancel rule will be implemented, the momentum behind consumer-friendly subscription policies is real, and merchants should see this moment not as a reprieve, but as a strategic opportunity to lead rather than be forced to follow.
The real issue is the consumer experience
The FTC’ s proposed rule aimed to address a growing chorus of consumer complaints about how difficult it can be to cancel recurring subscriptions. In turn, this has led many cardholders into bypassing the merchant’ s cancellation process altogether and recovering their money another way: through their issuing bank.
Half of consumers go directly to their bank without ever contacting the merchant when they have an issue with a purchase, and when it comes to subscriptions, this is even more common. In fact, according to the recently released 2025 Cardholder Dispute Index, nearly 85 % of consumers want their bank to cancel subscriptions on their behalf, highlighting not only their unwavering trust in banks, but just how frustrating many merchant-side cancellation flows have become. Moreover, about 19 % of chargebacks filed were directly
A recent decision by a federal appeals court has temporarily halted the US Federal Trade Commission’ s( FTC)‘ clickto-cancel’ rule. This was a measure designed to make it easier for consumers to cancel subscriptions and recurring payments. However, while this delay may be seen by some businesses as a stay of execution, it would be a mistake to view it as a licence to continue outdated, friction-filled cancellation practices. Monica Eaton, Founder and CEO of Chargebacks911, tells us more.
CLICK-TO-CANCEL: A PAUSE IN POLICY, NOT IN CONSUMER EXPECTATION
24 www. intelligentretail. tech