Dropbox is charging a credit card that expired three years ago

Question

Why is Dropbox making charges to a credit card that expired in three years ago (in 2020)?  I haven't used the service since 2019, and caught the charge yesterday.  Is this even legal?  It's certainly not ethical.

I tried to remove the card from my account today, and I'm not even able to do that.  I went through Support and they have to "escalate" this to a specialized team.  I think I need to cancel the card since even being expired for three years hasn't stopped Dropbox from attempting (and succeeding) in making charges against it.

Rich · Answer

@johnHouston wrote:If I tried to use this card information, it would (hopefully?) be declined.  If I handed this card over to be swiped, they'd laugh at me and tell me to get lost.

Correct, but those aren't recurring charges to an already-authorized subscription service.

johnHouston · Answer

I wholly disagree.  If I tried to use this card information, it would (hopefully?) be declined.  If I handed this card over to be swiped, they'd laugh at me and tell me to get lost.  I can't even remove the card from their database without it being "escalated to a specialty team".  Maybe one day the pendulum will swing back to protecting consumers instead of exploiting them.

Rich · Answer

@johnHouston wrote:Why is Dropbox making charges ... I haven't used the service since 2019, and caught the charge yesterday.

Did you cancel your subscription when you stopped using it? If not, the charges continue.

... to a credit card that expired in three years ago (in 2020)? ... Is this even legal?

Yes, it's legal. Credit card networks (think Visa, MasterCard, not the banks themselves) offer account updater services, which provide businesses with updated account information, typically for customers with recurring subscription payments. This allows your subscription to continue without issue should you forget to update the card information when it changes, and it's likely something you (unknowingly?) agreed to in the terms and conditions of your credit card.

There are a few ways it can work. One is where the business receives updated card information prior to it expiring, and another is triggered when a recurring transaction is declined and the credit card network automatically sends updated information so the transaction can be processed again.

It's certainly not ethical.

It is. You (generally speaking) agree to an automatically renewing subscription service when you sign up, so that service continues until you cancel. Long gone are the days of a service being automatically terminated due to an expired credit card. The credit card network simply provides the business with the updated card information so your service can continue uninterrupted. It's meant to be a convenience for the card holder.

I tried to remove the card from my account today, and I'm not even able to do that.

All you need to do is cancel service. That will prevent any future charges.