Twitch forced to issue refunds after charging users for banned channel subscriptions

The streaming giant suddenly remembers banned creators shouldn't keep getting paid.
Inbox showing Twitch payout emails.
(Image via dancantstream on X)
TL;DR
  • Dexerto investigation discovered Twitch was still charging subscribers for permanently banned channels.
  • Platform continued collecting monthly fees through auto-renewals despite users having no access to the channels.
  • Twitch has now started issuing refunds to affected users but faces questions about potential legal consequences.

Twitch has begun refunding subscriptions to permanently banned channels following an investigation by the gaming news outlet Dexerto. The investigation revealed that the platform continued to charge subscribers through auto-renewals even after creators were permanently removed from the service.

The oversight meant users were paying monthly fees for channels they could no longer access, with streamers who violated Twitch’s policies potentially still receiving payment splits long after their bans took effect.

“Auto-renew subs kept going on terminated/banned channels for years after bans,” one affected user pointed out, highlighting how long this issue may have persisted unchecked.

This isn’t just about missing a technical detail—some users are questioning whether this crossed into illegal territory. “Shouldn’t there be a criminal investigation into this? This sounds like fraud,” another user commented, suggesting the platform’s continued collection of subscription fees for non-existent services could have serious legal implications.

Twitch has faced criticism in the past for inconsistent enforcement of its community guidelines and handling of banned accounts. This latest problem adds to a growing list of controversies surrounding the Amazon-owned platform’s business practices.

The subscription system, which allows viewers to pay $4.99 or more monthly to support creators and receive perks like exclusive emotes, is a cornerstone of Twitch’s business model. When a channel is banned, those subscription benefits become completely inaccessible—yet until now, the charges continued.

While Twitch is actively refunding affected users, the company has not publicly disclosed how many people were impacted or the total amount being returned. The refunds appear to be a direct response to being caught rather than a proactive measure to protect consumers.

This situation raises important questions about digital subscription oversight and the responsibility of platforms to immediately halt recurring charges when services become unavailable.

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