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Hosting Companies And The Lack Of Refunds

August 20, 2012 in Technology and Internet

Recently I forgot to cancel my annual hosting subscription for an account I no longer required so I got billed like normal.  The problem I faced was when I told the Hosting Company later that day that I no longer required the account and could they at least refund some of my money with me even offering to forfeit at least a months cost since i didn’t cancel before the account automatically renewed via a third party payment provider.

This is were it all went wrong, they told me ‘No Refunds’ it was in their terms for automatic renewals that there would be no refunds given. You could only get a refund if you were a new customer and you cancel within 30 days. They did say they could keep my account active if I wished for the paid year.

This just seemed unfair to me and you would think it would be against some sort of consumer laws in some countries. Why can’t you get a cooling off period every time you renew your account instead of just for new customers.?

Now not every host is like this but most of the big main ones are, fair enough staff and services have to be paid but taking the full amount of money for unused space and resources if you cancel early is unfair and unjust to me.

I think that hosting companies should be the ones to use their gumption and do away with these silly made up terms. I contacted them on the day of renewal asking for a refund of the money just taken out and a cancellation of my account it was not like I was on the last day of the last month of paid service looking for a refund.

If they had to take off a cost of a months hosting or charge a small cancellation fee I could nearly see that would be fair since staff and services still have to be paid for but taking the full amount for cancelling straight away is wrong without some sort of cooling off period for renewing customers.

So my only advice I could give to hosting customers is to make sure you read the terms and conditions of your hosting company really carefully and if you want to cancel your contract with them do so in advance even before they send you an invoice, write down the dates of renewal yourself and if you use a third party payment provider like I did make sure you cancel the automatic renewals yourself even before the host might cancel it after you tell them, because the only thing they will do is cut off your service for non payment but if it goes through and they get paid, you will have a hard time trying to get it back and you will no doubt only get the response of its in our terms not to offer refunds.


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