From streaming platforms to meal kits, subscription services promise convenience and exclusivity while quietly draining your bank account. The average consumer spends over $200 a month on subscriptions, often without realizing it. According to a survey done by Hardbacon (a personal finance app), Canadians, on average, pay for eight recurring subscriptions each month.
The sneaky side of subscriptions
Many services use auto-renewal and free trial periods to hook users. Once the trial ends, charges begin – sometimes at premium rates. Additionally, some companies use credit card updater services. These enable recurring subscription providers to continue charging customers even if they have a change of address or credit card – so long as it’s linked to the same credit account. That’s why it's so important to make sure you cancel any unused services instead of assuming they'll go away when you move or get a new card.
Be intentional
Subscriptions aren’t inherently bad – many offer great value for products and services that aren’t otherwise affordable. The key is to be intentional. Ask yourself: Does this improve my life or clutter it? Also, make sure you set aside some time to go through your accounts and take stock of what you’re still paying for. The results might surprise you.