Billing Issues: What to Do If You're Charged Incorrectly

You open your bank statement and there it is - a charge you don’t remember signing up for. Maybe it’s $12.99 from a free trial that didn’t cancel. Or $49.99 from a service you deleted months ago. Your stomach drops. You didn’t agree to this. And now it’s happened again. You’re not alone. In 2024, over 37% of New Zealanders reported being charged for subscriptions they didn’t want, according to a survey by Consumer NZ. Most of these aren’t scams. They’re sloppy auto-renewals, hidden terms, or forgotten free trials. But that doesn’t make them any less annoying - or expensive.

Step 1: Don’t Panic. Gather the Evidence

First thing: don’t delete the email or close the app. Save everything. Find the charge on your bank or credit card statement. Note the date, amount, and merchant name. Then look for the original sign-up email. It might be buried under newsletters or receipts, but it’s there. If you used PayPal, Apple Pay, or Google Wallet, check those accounts too. They often show the merchant name more clearly than your bank.

Write down what you think happened. Did you sign up for a 7-day trial? Did they say you’d be charged only after the trial? Did they ask for your card details upfront? Write it out. You’ll need this later when you call or email them.

Step 2: Check the Terms - Really Check Them

Most companies bury the fine print. But it’s still there. Go back to the website where you signed up. Look for the Terms of Service or Subscription Agreement. Search for words like “auto-renew,” “recurring,” or “billing.” You might find something like: “Your subscription will automatically renew at $19.99/month unless canceled 24 hours before the end of your trial.”

Here’s the catch: many companies only require 24 hours’ notice to cancel. If you signed up on a Friday and forgot until Monday, you’re already locked in. That doesn’t mean it’s fair - but it does mean you need to act fast.

Step 3: Cancel Immediately - Even If You’re Overcharged

Canceling doesn’t undo the charge. But it stops it from happening again. And you can’t dispute a charge if you’re still subscribed. Go to the company’s website. Log in. Find the account settings. Look for “Subscription,” “Billing,” or “Manage Plan.” Click “Cancel.”

If you can’t find it? Try searching “[Company Name] cancel subscription” in your browser. Often, third-party sites like Cancel.com or JustDelete.me have direct links. If all else fails, call them. Don’t chat. Don’t email. Call. Say: “I want to cancel my subscription immediately.” Keep the call open until they confirm it’s done. Ask for a confirmation number. Write it down.

Step 4: Request a Refund - Politely but Firmly

Now that you’re canceled, ask for your money back. Send an email or use their contact form. Don’t call unless you have to. Email creates a paper trail. Here’s a simple template you can copy:

Hi [Company Name],

I was charged $[amount] on [date] for a subscription I no longer use. I signed up during a free trial and canceled within [X] days, but was still charged. I’ve now canceled my subscription (confirmation #[number]). I’m requesting a full refund for this charge as it was not clearly disclosed and I didn’t agree to ongoing billing.

Please process the refund to my original payment method. Let me know if you need any further details.

Thanks,

[Your Name]

Most companies will refund you if you ask. Especially if you’re a new customer or if the charge happened within the last 30 days. If they say no, ask to speak to a supervisor. Say: “I’d like to escalate this to your billing department.”

Step 5: Dispute the Charge With Your Bank

If they refuse? Go straight to your bank or card issuer. This is your legal right under New Zealand’s Fair Trading Act. You can dispute a charge if it’s unauthorized, misleading, or if the service wasn’t delivered as promised.

Log into your online banking. Find the transaction. Click “Dispute” or “Report Issue.” You’ll be asked to pick a reason. Choose “Goods or Services Not Received” or “Unauthorized Transaction.” Then upload your evidence: the charge screenshot, your cancellation confirmation, and your email to the company.

Your bank has 45 days to investigate. During that time, they’ll often give you a temporary credit. If the company doesn’t respond or can’t prove you agreed to the charge, the money comes back - no questions asked.

Step 6: Protect Yourself Going Forward

This isn’t just about getting your money back. It’s about making sure it doesn’t happen again.

• Use a virtual card for trials. Services like Netspend or Revolut let you create one-time-use cards with a $1 limit. If they charge it, you lose $1 - not $50.
• Set calendar reminders. If you sign up for a free trial, put a reminder in your phone for 3 days before it ends. Label it: “Cancel [Service].”
• Check your bank statements every week. Don’t wait for the monthly bill. Look for small, recurring charges - $4.99, $9.99, $12.99. These are the sneaky ones.
• Use Apple or Google subscriptions. If you signed up through the App Store or Google Play, you can manage all your subscriptions in one place. Go to Settings > Apple ID > Subscriptions (or Google Play > Subscriptions). You’ll see everything. Cancel with one tap.

Common Scenarios and How to Handle Them

You signed up for a free trial - now you’re being charged $29.99/month

That’s the most common. Companies rely on you forgetting. Cancel immediately. Request a refund. If they say “the trial ended,” ask: “Did you send me a reminder 7 days before?” If they didn’t, you have a strong case.

You didn’t sign up - but there’s a charge from a company you’ve never heard of

Check if it’s a merchant alias. Sometimes “Netflix” shows up as “NFX” or “Spotify” as “SPOTIFY*APP.” Look up the merchant name on NerdWallet’s Merchant Decoder or Google it. If it’s a scam, dispute it immediately. Your bank will reverse it.

You canceled - but they keep charging you

This happens more than you think. Some companies keep billing even after you cancel. That’s illegal. Dispute each charge. Block the merchant on your card. Call your bank and say: “I want this merchant blocked permanently.” They’ll do it.

What You Should Never Do

• Don’t ignore it. The longer you wait, the harder it is to get your money back.
• Don’t use a different card to pay. That just hides the problem - and lets them keep charging you.
• Don’t feel guilty. You didn’t agree to this. You were misled. You have every right to get your money back.

Final Thought: It’s Not Your Fault

Companies design these systems to make cancellation hard and refunds rare. They count on you giving up. But you didn’t. You read this. You took action. That’s how you win.

Every refund you get sends a message: “We won’t tolerate this.” And the more people who do it, the fewer companies will try it.

Next Steps: What to Do Today

• Open your bank statement. Look for any recurring charges under $20.
• Check your Apple or Google subscription list. Cancel anything you don’t use.
• Set a reminder for tomorrow: “Review subscriptions.”
• Save this article. You’ll need it again.

You’re not powerless. You just need to know where to look - and when to act.