Some recent changes went into effect in B.C. that could impact you as a consumer.
If you’re sick of seeing auto-renewal charges on your credit card bill that you didn’t realize were coming, changes that went into effect Aug. 1 give you slightly more power.
The B.C. Ministry of Attorney General states that there are now stronger protections against automatic contract renewals and high-pressure direct sales in force.
“The measures will better protect people from unclear contract terms, unexpected automatic subscription renewals of services, such as food delivery and streaming subscriptions, and predatory sales practices on everyday items and services,” the ministry states.
As part of the changes, there are now rules against automatic renewal of subscription contracts without giving customers advanced notice, “so people can decide if they want to renew a subscription and are not charged unexpectedly.”
The changes will require that businesses allow cancellations of subscription renewals “at any time, before or after the renewal date, without charge or other penalty.”
B.C. also says the changes will ban high-pressure door-to-door or direct sales for certain household products and services like air conditioners and furnaces. In addition, the changes ban offering or arranging credit as part of a direct sale. B.C. says that reduces the risk of “predatory loan-term tactics” that are often used in door-to-door sales.
The ministry quoted a consumer in Vancouver who shared a related experience.
“I had to sign up for a subscription to purchase gum from an online business, which was complicated to cancel, and I was charged for another order before my first package even arrived,” said Hanna Wahlberg.
“I’m still waiting for a refund months later, even though the company claims to provide moneyback guarantee with full refund within 30 days. I’m glad these new rules are being introduced because they will help people avoid surprise renewals and have more control over what they are buying.”
Other changes, including more protection against credit-related fraud, are expected to come into effect in August 2027.
“Once in effect, people will be able to access their credit report and credit score monthly for free and set up security alerts and credit freezes free of charge. The change will ensure people have more control of their critical financial information.”
The ministry says the changes will introduce new requirements for credit reporting agencies and lenders, which will protect people against identity and credit fraud.
You can read about all the changes on the B.C. Government website.