Millions of Americans pay for Netflix, doling out anywhere from $6.99 to $22.99 a month. It’s a common belief that you can get out of recurring charges like this by canceling your credit card. Netflix won’t be able to find you, and your account will just go away, right? You wouldn’t be crazy for believing it, but it’s a myth that canceling a credit card will stop your recurring charges.
“Outdated account-on-file information can lead to declined transactions and cardholder inconvenience—and ultimately introduce the risks of service cancellation and customer dissatisfaction,” Visa said in marketing materials. Visa’s not entirely wrong about this. If your electricity or internet bill is tied to your credit card, you could be in a real bind if you forget to update your new card.