# Template 04: Subscription canceled

**Stripe category:** `subscription_canceled`
**Typical codes:** Visa 13.2 (canceled recurring) · Mastercard 4841 · Amex C28

**The claim:** "I canceled, and you kept charging me." This is the most common category for SaaS and memberships.

---

## What the bank needs to see

From [Stripe: dispute categories](https://docs.stripe.com/disputes/categories):

- The subscription was still active, and the customer knew your cancellation procedure and didn't follow it.
- Or you already refunded, or the customer withdrew the dispute.

Stripe also lists, for digital products: the controls you give customers to manage automated billing and monitor usage; that the product was used before the billing date; that the customer has the cancellation date wrong (e.g. it was set for a future date); and that a payment was an installment, not a true recurring charge (some networks only allow this reason code for recurring payments).

## Fight or accept?

| Situation | Decision |
|---|---|
| No cancellation in your system, the customer kept logging in after the charge | **Fight** |
| They canceled *after* the renewal charge, and your policy (shown at checkout) says no refunds on renewals | **Fight**, but consider a refund. This is where most "friendly" disputes come from. |
| They emailed "please cancel" before renewal and you missed it | **Accept.** Fix your support process. |
| Your app had no self-serve cancel, or it was hidden | **Accept** and add an in-app cancel button this week |
| No renewal reminder before an annual charge | Probably **accept**. Add reminders. |

## Evidence to attach (digital product / SaaS)

| Evidence | Stripe field | What to put in it |
|---|---|---|
| Cancellation policy as shown | `cancellation_policy` | The exact text |
| How and when it was shown before purchase | `cancellation_policy_disclosure` | "Shown in full at checkout above the Subscribe button, and in the confirmation email (Exhibit B)." |
| Why this charge is valid | `cancellation_rebuttal` | "No cancellation request was received before the renewal on [DATE]. Self-serve cancellation is available in Settings → Billing." |
| Renewal notice or continued use | `customer_communication` | The renewal reminder email you sent, and/or proof of use after the date they claim they canceled |
| Other | `uncategorized_file` / `uncategorized_text` | Billing controls you offer (cancel button, usage dashboard, spend caps); login log after the claimed cancel date; account audit log showing no cancellation event |

## Rebuttal letter

```
Re: Dispute on charge [CHARGE_ID], [AMOUNT] [CURRENCY], renewal on [RENEWAL_DATE]

The subscription was active and was not canceled before this renewal. We ask that this dispute be reversed.

Subscription terms: [PLAN], billed [monthly/yearly] at [PRICE]. At signup on [DATE], the customer actively agreed to recurring billing (Exhibit A: checkout with consent checkbox and full terms).
Cancellation: customers can cancel anytime in Settings → Billing, with one click. Cancellation takes effect at the end of the paid period. This was stated at checkout and in the welcome email (Exhibit B).

Timeline
1. [DATE]: Subscription started; [N] previous renewals were paid without dispute.
2. [DATE]: Renewal reminder sent to [EMAIL], [N] days before the charge, with a cancel link. (Exhibit C)
3. [RENEWAL_DATE]: Renewal charge. No cancellation request existed in our system or support inbox. (Exhibit D: account audit log)
4. [DATE] to [DATE]: The customer logged in [N] times after the renewal and used [features]. (Exhibit E)
5. [DATE]: Dispute opened. [No cancellation or refund request was ever sent to us.]

Evidence attached
A. Checkout terms and consent
B. Welcome email with cancellation instructions
C. Renewal reminder email
D. Account audit log (no cancellation event)
E. Usage after renewal

We ask that this dispute be reversed in our favor.
[YOUR NAME], [BUSINESS NAME], [SUPPORT EMAIL]
```

## Mistakes that lose this one

- Saying "they could have canceled" when your cancel flow needed an email to support.
- No proof of consent to recurring billing at signup.
- No reminder before an annual renewal. Card-network rules require reminders for trials (Visa: at least 7 days before a free or promotional trial ends; Mastercard: 3 to 7 days for digital-goods trials), and Stripe recommends renewal reminders ([Stripe](https://docs.stripe.com/disputes/monitoring-programs)).

## Prevent the next one

In-app cancel button. Instant cancellation confirmation. Reminder about 7 days before yearly renewals and 2–3 days before monthly ones. Refund in full if someone cancels the day after a renewal.

*Made by Dan Shipped — @danshipped. Not legal advice.*