Bloomberg News has agreed to pay $500,000 in penalties and overhaul how it sells and renews subscriptions after New York's Attorney General accused the company of trapping customers in costly plans they struggled to cancel. The deal also requires the company to offer refunds to eligible subscribers who complained, as well as to those who canceled after an automatic renewal at a higher price.
According to the Yonkers Times, the Office of the Attorney General found that Bloomberg subscribers faced unannounced fee increases and difficult cancellation procedures. Attorney General Letitia James said tricking consumers into costly subscriptions with misleading terms is illegal in New York, framing the case as part of a broader push against subscription services that make it easy to sign up and hard to walk away.
How a $1.99 Trial Became a $39.99 Monthly Bill
Investigators pointed to Bloomberg.com's introductory offer as a key example of the alleged deception. A first-time subscription cost just $1.99 for the first three months, then automatically increased to $39.99 per month once the promotional period ended, according to FinanceFeeds. Some subscribers reportedly paid $34.99 a month after a $1.99 introductory rate.
Student subscribers weren't spared either. A Bloomberg.com student annual plan that cost $99 before graduation jumped to $415 afterward without warning, per the same FinanceFeeds account — an increase of more than $300 that regulators say caught subscribers off guard. Annual subscribers more broadly saw increases of more than $100 at automatic renewal, the outlet reported.
Cancellation Was Reportedly a Maze
Getting out of a subscription was its own ordeal, according to the allegations. Since 2021, Bloomberg News's website and chatbot presented customers with a tangle of questions and options before they could find a way to cancel, HolaNews reported. The company did not inform subscribers that they could also cancel by email or phone until 2023, according to the same outlet.
Regulators also say Bloomberg did not provide adequate post-purchase acknowledgment or sufficient notice before renewal, and did not refund annual subscriptions despite telling customers they could cancel anytime. New York law requires companies to clearly disclose a subscription's minimum term, renewal terms and cancellation policy, and to obtain consent for automatic renewals along with an easy way to cancel, per the Yonkers Times.
What the Settlement Requires Going Forward
Under the agreement, Bloomberg News must obtain informed affirmative consent from subscribers, provide law-compliant post-purchase acknowledgments that include cancellation information, and notify consumers sufficiently before any subscription renews. The settlement applies specifically to Bloomberg.com consumer subscriptions rather than Bloomberg Terminal contracts, FinanceFeeds noted.
Eligible subscribers include those who filed complaints with Bloomberg itself, the Federal Trade Commission, the Better Business Bureau or the Attorney General's Office, as well as people who canceled after their subscription automatically renewed at a higher price, according to the Yonkers Times. The Attorney General's Office says Bloomberg must provide refunds and restitution to eligible subscribers in New York and nationwide under the deal.
Part of a Wider Crackdown on Sticky Subscriptions
The Bloomberg case follows a string of similar actions from James's office targeting subscription practices that make canceling difficult. The Attorney General previously secured $400,000 from Thirty Madison over subscription practices in August 2026, $375,000 from 1-800-Flowers over unclear automatically renewing subscription terms in July 2026, and $600,000 from Equinox Group in May 2025 over hard-to-cancel memberships spanning Equinox+, Equinox gyms and SoulCycle. In October 2026, James also secured refunds for seniors misled by a free book scheme, according to the Yonkers Times.
The Bloomberg matter was handled by Assistant Attorneys General Gena Feist and Laura Mumm, along with former Assistant Attorney General Hanna Baek. Deputy Bureau Chief Clark Russell and Bureau Chief Kim Berger of the Bureau of Internet and Technology supervised the case, which falls under the Division for Economic Justice, led by Chief Deputy Attorney General Chris D'Angelo and overseen by First Deputy Attorney General Meghan Faux, per the Yonkers Times report.
