Consumer Online Payment Transparency and Integrity Act

Clearer Disclosures: Businesses must disclose automatic renewal provisions and how to cancel clearly and conspicuously in the contract (Section 2(a)). This helps consumers understand what they are signing up for.

Advance Notifications: For automatic renewals, businesses must notify consumers at least 7 days before the renewal begins (Section 2(b)(1)(A)). This gives people time to decide whether to keep the service.

Easier Cancellation: The bill requires an online mechanism for cancellation and other easy-to-use options like a toll-free number or email (Section 2(b)(1)(B)). This prevents people from being stuck in a contract because it is too hard to cancel.

Annual Consent Requirement: Businesses must obtain express informed consent on an annual basis before charging for a renewal (Section 2(b)(2)). This ensures consumers are actively choosing to continue their subscriptions.

Protection for Inactive Users: If a person hasn't used a service for 6 consecutive months, the business must get new consent and notify the consumer of their right to a prorated refund (Section 2(b)(3)). This protects people from paying for services they are no longer using.

Free Trial Protections: Consumers must be notified at least 7 days before a free trial ends and must give express informed consent before being charged (Section 2(c)). This prevents unexpected charges after a trial period.

Refund Rights: If a company violates these rules, the renewal provision is void and the consumer is entitled to a refund of the amounts paid due to the violation (Section 2(d)).

Defense Against Deception: The law states that consent obtained through "dark patterns"—which impair user choice—is not valid (Section 2(e)).