If you’ve ever found yourself staring at your bank statement, wondering how that streaming service you barely use keeps sneaking in charges, you’re not alone.
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We’ve all been there — ready to hit “cancel” and feel victorious. But here’s the twist: There’s actually one day of the week when it’s not in your best interest to cancel. The calendar might have more to do with your subscriptions than you think.
Why Timing Your Subscription Cancellations Actually Matters
“I’ve seen so many people lose money just because they didn’t cancel their subscriptions at the right time,” said Shanli Liu, finance expert and the managing partner of FreedomFolio.
That said, it’s not as simple as clicking a button and walking away. There’s a whole behind-the-scenes world with processing times, billing cycles and refund rules that decide if you get your money back or end up paying for extra months you don’t even use.
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Rather than a specific day of the week to look at — from what Liu has experienced, the worst time to cancel is right after your payment goes through or too close to the next billing date.
“If you cancel right after paying, you might lose out on the service you already paid for,” she said.
But if you wait until just before the next payment, the company might still charge you because your cancellation didn’t process in time. That means paying for a period you don’t want.
What Happens Behind the Scenes
According to Liu, most companies don’t cancel your subscription instantly. There’s usually a delay between when you request it and when it actually stops.
Some places require you to cancel at least a day or two before your next billing date or they’ll charge you again. On top of that, refunds don’t hit your account immediately, depending on your bank or payment method, it can take days or even weeks.
“I always tell people to check cancellation policies closely,” Liu said.
For example, streaming services often let you keep watching until your paid period ends, even after you cancel. Others cut off access right away but don’t refund what you already paid.
“And banks? They take their own sweet time processing refunds, so don’t expect the money to show up right away,” Liu cautioned.
How Canceling at the Wrong Time Affects Your Money
“I’ve watched people lose money on this more than I’d like to admit,” Liu shared.
Canceling on the day your card just got charged means that payment is likely gone for good, no refunds. You’re stuck paying for a whole month you might never use.
On the flip side, she said waiting too long means the next payment hits your bank, possibly causing overdraft fees if your balance is low. And these small timing mistakes add up fast.
“I’ve seen clients throw away hundreds of dollars each year just because they weren’t paying attention to when and how they canceled,” Liu explained.
It’s not glamorous or exciting, but these little details make a big difference in keeping your money where it belongs, with you.
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This article originally appeared on GOBankingRates.com: Avoid Cancelling Subscriptions on This Day of the Week
