None of South Korea's five major shared e-bike operators notify customers before charging their subscription renewals, according to a survey released as ridership climbs amid tighter rules on electric scooters. Some operators also bar mid-term cancellation once a subscription has been used even once, or shift accident liability onto customers through their terms of service.
The Korea Consumer Agency said on the 14th that it examined subscription products from five leading shared e-bike services — Socar Elecle, Swing, GCOO, Kakao T Bike and Gokickgoing — and found that none of them provided a separate advance notice before automatic payments were processed. One of the five did not even require customers to review key terms such as auto-billing and refund policies before payment.
Cancellation was also restricted. Four of the five companies allowed customers to withdraw from a contract only if they had not used the subscription at all, blocking mid-term cancellation after a single use. The agency said e-bike subscriptions running 30, 90 or 365 days qualify as "continuing transactions" under the Door-to-Door Sales Act, and that rules limiting mid-term cancellation and refunds for the remaining period risk infringing on consumer rights.
Complaints are mounting as well. Over the past two and a half years, the 1372 Consumer Counseling Center received a total of 601 inquiries related to shared e-bike services. Annual counseling cases rose 148.5% to 338 last year from 136 in 2024. Another 127 cases were filed through June this year.
By category, "unfair practices" — including auto-billing without prior notice and improper charges — accounted for the largest share at 192 cases, or 31.9%. Complaints over contract termination and penalty fees followed at 111 cases, or 18.5%, while non-performance stemming from equipment breakdowns or app errors came to 93 cases, or 15.5%. Broken down further, improper charges numbered 89 cases and automatic subscription billing without separate notice 42 cases.
Terms unfavorable to customers were also identified. One company stipulated that points purchased with cash but left unused would be forfeited immediately upon membership withdrawal. Another required customers to bear full responsibility for accidents caused by inadequate safety checks before riding, even when the operator was at fault.
Disputes over additional charges and refunds have occurred in practice. One customer returned an e-bike properly and paid the rental fee, only to be billed an additional 43,500 won towing charge later. In another case, a customer was charged 9,380 won despite being unable to use a bike because of a faulty lock, and the refund request was denied.
Based on the findings, the agency recommended that operators introduce advance notices before automatic payments and establish reasonable standards for mid-term cancellation and refunds. All five companies surveyed agreed to add advance notification for auto-billing, and the four that had restricted mid-term cancellation replied that they would improve their refund standards.