The proposed rules would require businesses to provide a simple way for consumers to cancel subscriptions or memberships online.
The FTC is also proposing that businesses be required to provide consumers with a simple way to stop recurring charges that are automatically billed to their accounts.
The proposed rules would apply to a wide range of businesses, including those that sell products or services online, as well as those that offer subscriptions or memberships in person.
According to NPR, companies that violate the new FTC rules could face a fine of $50,000 per violation per day.
The proposed rules would also help the FTC get money back from consumers who have been harmed by these tactics in the past and strengthen enforcement by introducing civil penalties for companies that violate the rule.
Businesses, retailers or other sellers would need to make canceling a subscription or other process as easy as signing up for the services.
If a customer signed up for a subscription online, they must also be able to cancel on the same website, “in the same number of steps,” the FTC said Thursday.