Foreign Language Learning Labeled as Free Trial: Automatic Charges After Event Participation

Warning Issued for Online Coupon and Point Promotions
151 Consumer Dispute Applications Filed Over the Past Three Years
Insufficient Notification of Automatic Conversion to Regular Payments
Unjustified Billing and Other Disputes Reported

The Korea Consumer Agency announced on the 5th that there has been a growing number of cases where consumers participate in online events to experience various services for free or to receive rewards such as Naver or Happy Point, only to find themselves unknowingly charged for automatic payments. Caution is advised.

From 2022 to the first quarter of this year, the Korea Consumer Agency received a total of 151 applications for dispute resolution related to online free trial event damages. The annual breakdown is as follows: 26 cases in 2022, 35 cases in 2023, 71 cases in 2024 (including 8 in the first quarter), and 19 cases in the first quarter of 2025, showing a yearly increase.

Among the types of services offered in online free events, "data management" such as document or video editing accounted for the largest share at 35.8% (54 cases), followed by "lifestyle information" such as health management at 31.1% (47 cases), and "digital content" such as foreign language learning at 30.5% (46 cases).

By specific type of damage, "insufficient notification of automatic conversion to regular payment" was the most frequent at 34.0% (56 cases), followed by "restriction or obstruction of cancellation within the free period" at 32.1% (53 cases), "unjustified billing of usage fees" at 21.2% (35 cases), and "claiming a penalty fee or refusing cancellation upon termination" at 12.7% (21 cases).

Regarding the duration of the free trial, "within 7 days" accounted for the majority at 63.1% (77 cases), with "7 days" specifically being the most common at 50.8% (62 cases). An analysis of the outcomes of the 151 dispute resolution cases showed that only 41.7% (63 cases) resulted in consumers receiving a full refund of the damage amount. Most consumers either did not recover their losses due to business operators refusing refunds (31.1%), or received a partial refund less than the damage amount (27.2%).

In terms of the amount of damage, most cases involved small sums of "less than 100,000 won" at 72.6% (109 cases), but there were also 18.7% (28 cases) where the amount was "100,000 won or more but less than 300,000 won."

The Korea Consumer Agency stated that, regarding online free trial events, it will recommend voluntary improvement to businesses that lack sufficient consumer consent and notification procedures before converting to paid regular subscriptions, and will notify relevant authorities if any legal violations are found.

To consumers, the agency advised: ▲ Do not be lured by events offering free trials, coupons, or points; ▲ Always check the free trial period, and if an event requires pre-registration of a payment method, carefully review the terms and conditions. Additionally, ▲ In preparation for automatic conversion to a regular subscription after the free trial period ends, check in advance how to cancel the service or the customer service contact information.