Netflix Curbs Password Sharing: Slaps $8 Fee, Limits Free Users For Standard and Premium Accounts

Netflix has doubled down on password sharing after allowing subscribers to share their accounts with multiple people. Moving ahead, Netflix subscribers will be forced to pay an additional fee if they wish to welcome additional users and retain them in their accounts.

Streaming giant Netflix is no longer going easy on subscribers who were sharing their accounts with other users. The company started charging subscribers who share their accounts with non-subscribers earlier this year, and this policy is now applicable to several more regions.

Netflix Will Charge Accounts That Share Their Password

Netflix has been very lenient for several years with its users. The company allowed subscribers to share their passwords with several users. However, as a result, Netflix has been suffering in terms of revenue and paying user base.

Netflix had indicated last year that it won't tolerate rampant misuse of its service, especially by non-paying users. After all, Netflix spends a lot to ensure flawless streaming across multiple countries.

As part of its efforts to boost revenue and welcome more paying subscribers, Netflix has been experimenting with multiple features and subtle limits. The latest, however, is a direct or straightforward approach adopted by Netflix.

Netflix account sharing will cost paying subscribers $8 each month for each additional user they welcome and retain. With a Basic Netflix account, all additional users will have to pay $8 per month. Standard and Premium subscribers, though, get one or two additional users, respectively, without an extra fee.

Subscribers can still access and watch Netflix when they travel. Additionally, Netflix has ensured users can rely on a different Wi-Fi as well as another device, such as a hotel TV. If Netflix observes such a scenario, it will ask users to verify account ownership. Essentially Netflix uses geolocation to ensure a Netflix account is used by family members who live under a single roof. But, given how subscribers use their accounts while traveling, Netflix has come up with an account verification method.

Asking subscribers to log in and verify their account would obviously be an issue for anyone who is using a Netflix account without paying. Subscribers may be able to help out such users by sharing any OTP. However, Netflix has indirectly indicated that it does not intend to allow password sharing.

What Remedial Actions Can Netflix Subscribers Take?

The Netflix account owner who has shared their password can choose to pay for users that are using the account. This way, all users can retain personalized data, such as watch history, favorites, and "to watch" lists.

If the account owner doesn't wish to pay, they can evict the additional users, forcing them to pay for their own accounts. Netflix appears confident that a certain percentage of the non-paying users will either pay for their own accounts or it will earn extra money from the primary account holder.

Netflix even has a dedicated tool that will help non-paying members to get a new account and still retain their customized data. The "Profile Transfer" tool helps these free users become paying subscribers and transfer their data to their new accounts.