What is ‘Subscription Creep’ and Why It Might Be the Reason Why You’re Losing Money
We’ve all been there. You sign up for a free trial of a streaming service or download an app, only to forget about it as soon as you get busy with adulting. But one day, you check your bank account and—bam! There it is: an unexpected charge, and suddenly you’re skipping your favorite iced coffee order for a week to cover that subscription you totally forgot about. There now is a term for this experience: subscription creep.
It might be a different kind of creep than what we’re used to, but it could still be creeping up on your finances in the most unexpected ways. You might have swept it under the rug the first or second time, but if you stop to think about it, these unwanted and unnecessary subscriptions can add up—without you even enjoying or using what you’re paying for each month.
Lindsey Crossmier, a MarketWatch Guides researcher, told HuffPost, “What once started as a few $10 or $5 subscriptions can quickly turn into $300-plus per month without you even realizing it.” This is more common than we think, according to a CNET study. Forty-eight percent of survey respondents admitted to forgetting to cancel a free trial of a paid subscription, and 67% said their subscription prices have increased in the past year compared to when they initially subscribed.
What to Watch Out For
Keeping track of subscriptions isn’t an easy task, especially if you’re juggling a lot of things. To make sure you’re not a victim of subscription creep, watch out for the following:
Free trials that never end: If it’s not ending, it’s not free anymore! A subscription with a 7-day free trial that you forgot to cancel, and aren’t using after the first week of free access, should be canceled.
Multiple subscriptions: If you have subscriptions to Netflix, Hulu, Paramount+, Max, Peacock, etc., all those charges can easily add up. You might also have subscriptions to food delivery, fitness apps, or even monthly mystery boxes that you could probably live without. The result? A slow drain on your wallet, leaking money every month.
Auto-renewals gone wild: Services know you’re forgetful and hate hassle, which is why many have auto-renewals (no reminders, lest you change your mind). You sign up, take advantage of the intro offer, and suddenly, you’re subscribed for a whole year because “it’s cheaper.”
You might not notice it at first, but before long, with subscription creep, you’ve got a full-blown flood of unnecessary charges draining your account. So, the next time you’re tempted by a free trial or another subscription service, remind yourself to cancel before the free trial ends.
