You thought you were trying a service for $1. Then your card started getting charged every month. The key question is what the business represented before you agreed to the ongoing subscription.
A $1 Offer Can Still Create an Ongoing Subscription
Under the Australian Consumer Law, businesses must not engage in misleading or deceptive conduct (section 18) or make false or misleading representations about goods or services (section 29). A trial offer that does not clearly disclose it will convert into a paid, recurring subscription — including the price, frequency and how to cancel — can raise issues under these provisions.
What to Check Before You Enter Your Card Details
- The trial length and the exact date it ends.
- The price that applies after the trial, and how often you'll be charged.
- Whether cancellation is required to avoid the charge, and how to do it.
- Whether the offer clearly separates the trial price from the ongoing price.
- Whether reminders are promised before the first full charge.
Recent ACCC Cases Show Why the Distinction Matters
In July 2026, the Federal Court ordered JustAnswer LLC to pay a $10 million penalty following ACCC action concerning representations made to Australian consumers about online subscription services, where a low headline trial price (around $2) was alleged to obscure an ongoing subscription charged at a materially higher rate (around $45–75 per month).
Automatic Renewal Can Create a Second Problem
Separately, the ACCC has accepted a court-enforceable undertaking from hipages in 2023 relating to concerns about how automatic renewal terms and early-termination costs were disclosed to business customers, illustrating that renewal transparency itself has been a specific enforcement focus, not only headline pricing.
If the Trial Became a Recurring Charge
- Screenshot the original offer and its stated terms.
- Save the checkout page showing the price disclosed at the time.
- Record the date the trial ended and the date of the first full charge.
- Contact the business directly and ask for a refund of charges you did not clearly agree to.
- Keep every response in writing.
What This Means for You
- A cheap trial price does not by itself make an ongoing charge unlawful.
- Misleading or unclear disclosure of the post-trial price or renewal terms can raise ACL issues.
- Recent ACCC enforcement shows this is an active area of scrutiny, not a theoretical risk.
- Keep evidence of exactly what was disclosed and when.
- Raise the issue with the business first, in writing.
Related Kibbo Tools
Sources
- ACCC — JustAnswer LLC penalty media release, 8 July 2026. accc.gov.au
- ACCC — hipages court-enforceable undertaking, 30 May 2023. accc.gov.au
- ACCC — Contracts and unfair contract terms. accc.gov.au
- Australian Consumer Law — Competition and Consumer Act 2010, Schedule 2. legislation.gov.au