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Subscription theft is quietly draining Kiwi bank accounts — and many of us don’t even realise it. While services like Netflix, Spotify, and HelloFresh may offer convenience, they can also trap consumers in recurring charges they’ve forgotten about, no longer use, or never meant to sign up for in the first place.
Paddy Gower vs. Subscription Theft
As more of our spending moves online, the murky world of subscription-based services is under increasing scrutiny — and it’s about time.
Paddy Gower, one of Aotearoa’s most well-known journalists, has recently taken a stand against what he calls subscription theft. He’s called out companies that make it deliberately difficult to cancel, or worse, re-activate services without clear consent. Gower’s push for government intervention reflects the growing frustration among Kiwis who feel misled by fine print, sneaky reactivations, and deliberately confusing cancellation processes.
When Subscriptions Become a Trap
This issue isn’t limited to isolated cases. One in five Kiwis are paying for subscriptions they don’t use. From $10-a-week measuring tape apps to streaming services you barely watch, those charges add up. A third of New Zealanders spend over $100 a month on subscriptions — money that could be going toward saving, investing, or simply easing a tight household budget.
And while $10 here and $20 there might not seem like deal-breakers, for families on a single income or those dealing with rising living costs, every dollar matters. It’s not always about the big financial levers — it’s about trimming back on the little expenses that can quietly snowball.
The Worst Offenders: Name and Shame
Some companies have been highlighted for particularly shady practices. HelloFresh was found to be reactivating cancelled subscriptions when customers redeemed free box offers — without making it clear that doing so would restart regular deliveries. The result? Unexpected charges and boxes showing up on doorsteps uninvited.
Audible was another brand users struggled with — especially cancelling accounts tied to international sites. Many had to go through the US version of the site and deal with hours of customer service hurdles just to stop being charged.
Then there’s Fabletics, Kate Hudson’s activewear company, which faced a class action lawsuit in the US for charging customers hundreds of dollars without clear consent. Users were unknowingly signed up for monthly payments and lost hundreds, sometimes thousands, before realising what was happening.
Common Pitfalls to Watch Out For
Free trials that auto-renew and start charging without warning.
Annual billing cycles, where you forget until a large charge appears.
Confusing cancellation processes designed to wear you down.
Multiple streaming or music services when one could suffice.
Services you’re still paying for but haven’t used in months.
A hot tip: you can usually cancel a free trial right after activating it and still retain access for the full trial period. Alternatively, set calendar reminders for when trials or annual subscriptions are due to renew.
How to Fight Back Against Subscription Theft
Start by auditing your bank statements. Use tools like PocketSmith or built-in app store features to view and manage your active subscriptions. Both Google Play and Apple have a ‘Subscriptions’ tab where you can see exactly what you’re signed up for. You might be surprised by what’s quietly taking your money.
Check your budget regularly, and don’t be afraid to contact customer support — even if it takes time. Set aside an hour, block it out in your calendar, and go through every service you’re paying for. You might just find $100 or more in annual savings.
Final Thoughts
Subscription theft might not be the biggest financial threat in your life, but it’s certainly one of the sneakiest. And in a time when cash flow matters more than ever, it pays to stay vigilant. Take an hour this week to review your subscriptions — your future self (and your bank account) will thank you.
Next Steps
At Lighthouse Financial, our holistic financial advisers work with you to review your budget, identify unnecessary costs, and build a plan that works for your future.
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Disclaimer:
The information in this article is general information only, is provided free of charge and does not constitute professional advice. We try to keep the information up to date. However, to the fullest extent permitted by law, we disclaim all warranties, express or implied, in relation to this article – including (without limitation) warranties as to accuracy, completeness and fitness for any particular purpose. Please seek independent advice before acting on any information in this article.
