From bacon- and stationery-of-the-month clubs to gym memberships and credit monitoring services, automatically renewed subscriptions that may start out as a free trial can easily end up as automatic renewals that bleed your bank account.
You don't notice your money slowly dripping away, and you could be forced to pay overdraft fees if your bank account balance drops to zero. Or you're stuck with charges on a credit card bill that you rarely look at for services you don't use.
The easiest solution is to monitor your bank and credit card statements, and to cancel subscriptions you no longer use. But that habit isn't common among millennials, says David Callis, co-founder and CEO of Hiatus, a new app that cancels auto-renewed subscriptions for free.
"A lot of times people aren't paying much attention to it," Callis said in a phone interview about reviewing credit card bills.
The average consumer wastes more than $500 per year in subscriptions and services they don't want because they forget or don't get around to cancelling, according to Hiatus.
In a survey it did this year, the company found that almost two-thirds of consumers paid for unwanted subscriptions because they didn't cancel the auto-renewal feature. It found that most people forgot about it, but 20 percent said it was too much of a hassle to cancel. ...continue reading