When you decide that you no longer want a monthly or annual service that you pay for with a credit card, be sure to cancel the recurring payment that you initially set up. While you can typically cancel subscriptions and recurring bills online, you may need to call customer service if you encounter issues.
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What is recurring billing?
Recurring billing is when you authorize a merchant to set up automatic credit card payments or bank withdrawals for a subscription or service.
You won’t receive a bill to pay each month – the merchant will charge your card or deduct the amount from your bank account until you cancel the service. But if you don’t pay attention to your subscriptions and services, the monthly payments can really start to add up.
Pro Tip: Schedule time every few months to go over your accounts. Itemize your subscriptions and automatic payments so you can see what you’re paying for each month. Then, cancel services you don’t want or need. You might be surprised at how much money you can save!
Types of recurring bills
When you think of recurring bills, you might immediately think about streaming services that you’re signed up for. But it’s more than that. Here are some common examples of recurring bills:
- Streaming services: Netflix, Prime, Disney+, AppleTV, Spotify
- Memberships: gym, meal services, paid mobile apps
- Household bills: phone, TV, cable, internet, utilities
- Loan repayments: tax installments, "buy now, pay later" plans
You can probably see how quickly recurring billing can get out of hand if you forget to cancel services or subscriptions that you no longer need.
How to cancel recurring payments through a merchant
Before you call the bank or cancel your card, contact the merchant:
- Sometimes, all you have to do is sign in to your online account and head to account settings. From there, you can cancel or modify your subscription.
- If you can’t cancel online, you’ll probably have to call customer service. Be forewarned that many customer service representatives are authorized to offer discounts or incentives to convince you to keep your membership.
Remember: If it's a membership you really don't want, ignore the perks and savings you're offered and get them to cancel it. On the other hand, if you’re only cancelling the service to save a bit of money, you might have just found a way to afford it.
If you cancel a membership or subscription, check your account after a few days to confirm the change – especially if the renewal date is close.
How to cancel recurring payments on your credit card
If you can’t cancel through the merchant directly, you may have to ask your bank or credit card issuer to step in.
They should be able to cancel any payments going forward. If not, ask them to issue you a new card with a new number so that previously authorized payments won’t go through.
Remember: If you have to get a new card with a new number, you’ll need to update your billing information for the recurring payments you want to maintain.
How to cancel recurring payments from your bank account
If your recurring payments are from your bank account, things get a little more difficult.
You’ll need to ask your bank to issue a stop payment. Banks typically won’t guarantee that they can stop payments in time, so it’s not an ideal solution. You’ll also need to ask whether they’re stopping all payments or just the next one. Some banks can stop payments for up to a year.
Since each bank handles stop payments differently, your best bet is to call the bank or go into a branch for details. To get you started, here’s a summary of what major Canadian banks charge and how long a stop payment may last:
| Bank | Stop payment fee | How long does the stop last? |
|---|---|---|
| BMO | * $35 per request or renewal | One time or 6 months |
| CIBC | * Full details provided: $12.50 * Full details NOT provided: $20 |
2 weeks or 1 year |
| RBC | * Online: $12.50 * At a branch or on the phone: $25 |
One time |
| Scotiabank | * Details complete: $12.50 * Details incomplete: $20 |
90 days |
| Simplii | * Full details provided: $10 * Full details NOT provided: $16.50 |
6 months |
| Tangerine | First free, $12.50 each thereafter | One time |
| TD | * $30 per item or free if using a Beyond Checking account | 1 year |
The takeaway: Unless you're authorizing utility payments that must be through your bank, stick to a credit card for recurring bills. If you run into issues, it's much easier to get a new card number than a new bank account.
How to cancel recurring PayPal payments
Paypal’s website makes it pretty easy to stop recurring payments. Here’s what you need to do:
- Log in and open "Settings"
- Select the "Payments" tab
- Click "Manage automatic payments"
- Choose the merchant and press "Remove Paypal as a payment method"
From the payments tab, you can also see inactive accounts. Once you’ve cancelled a payment, it should show up here.
Best credit cards for recurring billing
Once you’ve got a handle on your subscriptions, consider how you want to pay recurring bills you’re keeping. Paying by credit card is probably the easiest and you could earn rewards (some even offer bonuses for recurring bill payments).
Here are some of the best credit cards for paying for your monthly bills and subscriptions.
| Category | Credit card | Current offer | Earn rate on recurring bills | Annual fee, income requirements |
|---|---|---|---|---|
| Best credit card for recurring bills | MBNA Rewards World Elite Mastercard |  $150 GC Boost + 30,000 bonus points (terms) |
5 points per $1 spent | * $120 * $80K personal, $150K household |
| Best for cash back on recurring bills | Scotia Momentum Visa Infinite Card | $20 GeniusCash + 10% cash back for the first 3 months, first year free (terms) |
4% cash back | * $120 * $60K personal, $100K household |
| Runner up for cash back on recurring bills | TD Cash Back Visa Infinite Card | $100 GeniusCash + 10% cash back on eligible purchases for the first 3 months, first year fee rebate (terms) |
3% cash back | * $139 * $60K personal, $100K household |
| Best no fee card for recurring bills | Tangerine Money-Back Credit Card | $125 GeniusCash + 10% extra cash back for the first 2 months (terms) |
2% cash back | * $0 * $12K personal |
1. Best credit card for paying recurring bills
×4 Award winner 
GC: $125 + $25
4x Award winner The MBNA Rewards World Elite Mastercard offers a high rate of return on almost all recurring bill payments including digital media, memberships, and household utilities.
Here’s what we love about it:
- 5 points per $1 spent on recurring bills, restaurants, and groceries
- 1 point per $1 spent on everything else
- MBNA Rewards points worth up to 1 cent each when redeemed for travel
- Birthday bonus equal to 10% of the points you earned over the year (up to 15,000 points)
2. Best cash back credit card for paying recurring bills
GC: $20
There's an excellent cash back credit card when it comes to earning rewards on recurring bills: the Scotia Momentum Visa Infinite Card. You’ll earn up to 4% back on recurring bills that you pre-authorize for payment on your card. Plus, there’s a pretty nice welcome bonus included for a limited time.
Here’s what else you’ll earn cash back on:
- 4% cash back on groceries and recurring bill payments
- 2% cash back on gas and transit
- 1% cash back on all other purchases
3. Another top cash back credit card
GC: $100
The TD Cash Back Visa Infinite Card makes it easy to earn cash back – you’ll earn points for anything that you charge to the card (up to $15,000 per year). Then, redeem the points for a statement credit once you’ve accumulated $25 in cash back. Oh, and you’ll get roadside assistance with this card at no extra cost.
Here’s the full rundown of the cash back rewards:
- 3% cash back on gas, groceries, EV charging, public transit, digital gaming, and recurring bills
- 1% cash back on all other purchases
4. Best no fee credit card for paying recurring bills
×1 Award winner GC: $125
1x Award winner If you want a no annual fee credit card for paying bills, the Tangerine Money-Back Credit Card is an excellent choice. You’ll choose which categories earn you 2% cash back:
There are no spending caps, and you’ll still earn 0.5% cash back on non-selected category purchases.
Want to upgrade? The
GC: $125
FAQ
How do I stop a recurring credit card payment?
The simplest way to stop automatic recurring billing is to contact the merchant to cancel your subscription or membership. If that doesn't work, you can ask your credit card company or bank to stop the payments from going through.
Can I block a recurring payment?
Your credit card issuer may be able to block a recurring payment – but the best way to stop recurring payments is to end your service with the merchant trying to authorize the payment. If you need your issuer or bank to step in, you’ll likely have to pay a fee. Plus, stop payments aren’t guaranteed to work.
Will locking my card stop recurring payments?
No, locking your card typically won’t stop recurring payments – it will only prevent unauthorized one-time purchases if someone steals your card.
Will changing my credit card number stop recurring payments?
Yes, changing your credit card number will stop recurring payments – including ones you may want to keep. It’s typically a hassle to change your credit card number to stop a single recurring payment so we recommend trying other options first.
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GC: 
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You can request the merchant to cancel your subscription. If this doesn't work, you might need to contact your credit card issuer to cancel the payments moving forward, or reach out to your bank to initiate a stop payment.