FTC 'Click-to-cancel' Subscription Cancellation Compliance Guide

FTC 'Click-to-cancel' Subscription Cancellation Compliance Guide

About

The Federal Trade Commission (FTC) has introduced new "Click-to-Cancel" regulations aimed at simplifying the process for customers to cancel subscriptions. These rules apply to all recurring payment programs, including subscriptions, free-to-paid trials, and automatic renewals.

As a merchant on UltraCart, you must ensure that canceling a subscription is as easy as signing up for one. This guide outlines how UltraCart helps you comply and what steps you can take to meet the new federal and state-level requirements.

🚨 Key Requirements from the FTC

  • Equal Access: If customers sign up online, they must be able to cancel online—no phone call or live chat required.

  • Prominent and Simple: The cancellation process must be obvious, fast, and easy to execute.

  • No Misrepresentation: You cannot mislead customers about the cost, features, or cancellation process.

  • Affirmative Consent: Customers must explicitly consent to any negative option feature (e.g., auto-renewals).

  • Compliance Deadline: Businesses must comply within 180 days of publication in the Federal Register.

UltraCart provides multiple solutions to help you meet these requirements.


✅ UltraCart Merchant Options for Easy Cancellation

1. Email-Based Cancel Link

Customers who subscribe to a product will automatically receive an email that includes a direct cancellation link. This allows them to cancel at any time from their inbox, without logging in.

TIP: Make sure your subscription email templates include the cancel link and are not removed or overwritten.


2. Website Cancel Link (RECOMMENDED)

You can add a cancel subscription link directly on your website (e.g., in your Help Center, footer, or FAQ). This is the fastest way to meet the "click-to-cancel" rule.

🔍 To find your account's cancel link:

NAVIGATE:
Main Menu → Configuration → Order Management → Auto Order Processing

STEPS:

  1. Scroll to the “Links” section at the bottom.

  2. Copy the Cancel Subscription link.

  3. Paste it in a prominent place on your site.

Customers clicking this link will be taken directly to a cancellation page—no login required.


3. Virtual Assistant Chat

UltraCart’s Virtual Assistant Web Chat can validate customers and allow them to manage their subscriptions directly within the chat window—including real-time cancellations.

This option works well for merchants who signed up customers via chat or who use chat for ongoing support.


4. Customer Portal Cancel Option

If you use the My Account customer portal, customers can also cancel their subscriptions there.

NAVIGATE:
My Account → Subscriptions → [Select Subscription] → Cancel

This self-service option aligns with FTC guidelines and supports a seamless user experience.
In addition to the required cancellation option, the customer portal can be configured to allow the customer other options to cancelling, such as skipping a delivery or pausing the delivery, changing the next shipment date. These options may help retain the customer.


5. Custom Portal via REST API

If you maintain a custom customer portal, use the UltraCart REST API to implement a cancellation endpoint.

🔗 Relevant Endpoint:

DELETE /rest/subscription/{subscriptionId}

Use this to trigger real-time cancellations in your custom interface.


📝 Final Notes

UltraCart helps you stay compliant with both federal FTC regulations and state-level automatic renewal laws by making cancellation:

  • Frictionless

  • Visible and accessible

  • Consistent with the original sign-up method

We recommend placing at least one cancel option on your public site and verifying that your email templates include a working cancellation link.


Need help implementing your cancellation options?

📩 Contact UltraCart Support at support@ultracart.com