A vast number of people are paying bills they don’t even know about. New research has shed light on “forgotten bills” with many squandering cash on unused services.
And it is no joke – on average, each person is out of pocket by £500 annually on various subscriptions. Fresh figures from Citizens Advice, unveiled in March, indicate that a staggering 13 million people (26% of UK adults) have unintentionally signed up for a subscription in the past year.
These unwelcome subscriptions have cost Brits a whopping £688million over the last 12 months.
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The top culprit for these inadvertent subscriptions is auto-renewal (40%), followed closely by neglecting to cancel after a free trial period (39%). Additionally, nearly one in four (24%) thought they were making a single purchase but ended up with recurring charges.
Retail specialist Stephanie Hood from TheCMO.com recommends that UK residents should routinely scrutinise their subscription services, set reminders to terminate free trials, and keep an eagle eye on bank statements for any rogue transactions. She commented: “Many people don’t realise how much they’re spending on subscriptions they don’t use.
“A thorough review can reveal opportunities to cut costs and redirect those funds towards more important financial goals..”
She added a warning – it’s crucial for consumers to take charge of their finances. She said: “Businesses that depend on customers forgetting to cancel free trials are taking advantage of busy, financially strained individuals, and this practice is unacceptable. Consumers should have the option to choose whether their subscriptions auto-renew and decide if they want to continue after a free trial.”
