Student-discount company Knaek adjusts conditions for subscription cancellations
The Netherlands Authority for Consumers and Markets (ACM) has asked student-discount company Knaek Promotions BV to adjust its conditions for subscription cancellations. These conditions stipulated that consumers were not allowed to cancel their subscriptions with a one-month notice after the first fixed subscription period expired. This is at odds with the law. Knaek is an app with which students in the Netherlands and Flanders (Belgium) are able to get discounts at various companies or to save for cashbacks. Following ACM’s action, Knaek has adjusted its conditions, and students who have paid in advance will get a refund (pro rata) when they cancel their subscriptions.
If you take out a subscription for a fixed period, your provider is allowed to renew your subscription automatically when that period ends. Do you, as consumer, want to cancel a subscription earlier? That is allowed, but the contract will only end after the fixed period expires. Do you want to cancel after your subscription has been renewed? If so, a notice period may apply. This notice period cannot exceed one month. However, Knaek’s conditions stipulated that the contract only ends at the end of the academic year. That is not allowed if the contract has already been renewed.
Swift approach to consumer problems
ACM has many different instruments at its disposal for solving consumer problems. When selecting the right approach, ACM puts consumers first. In this case, ACM chooses to reprimand the company in order to solve the problem. By monitoring reports filed with ACM’s consumer information portal ACM ConsuWijzer, ACM continues to check whether the company implements the adjustments that have been agreed upon.
More information about subscriptions (in Dutch)