Netflix cracks down on Password Sharing in more countries: How it affects you

We previously reported that Netflix was cracking down on accounts sharing their passwords with friends and family in an attempt to increase profits and recover lost revenue. Since then, the streaming giant has rolled out the update to many more countries, and here are some of the consequences you could be facing if you refuse to abide by Netflix’s new rules and policies.

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What is Password Sharing?

Netflix has been struggling in the past few years to increase its profit margins and recover from an increasing number of subscribers leaving the platform during the cost of living crisis. The streaming giant continues to increase prices worldwide and tries to put a stop to users sharing their passwords with friends and loved ones.

Sharing passwords among family and friends used to be normal for millions of users, especially as streaming services like Netflix allowed users to set up multiple profiles to help manage accounts in the same household. Needless to say, Netflix didn’t like the freedom and the millions of dollars it left on the table, and it wanted to recoup some of the missing revenue.

In the current form, users are still allowed to share the same account with people in their household. However, users living elsewhere would be notified that they’re breaking Netflix’s policy and could be requested to pay an additional fee for accessing the account and streaming content. In the US, adding an account outside of a household will cost an additional $7.99 a month – which is still cheaper than outright purchasing a separate subscription.

Netflix has also added a transferring feature that allows users to transfer their profiles (including watch history, liked content, shows, and movies saved on the watch later list, and more) to a new account, should they wish to abandon the existing plan and sign up for their own.

How does this affect you?

If you’ve been sharing your account, or perhaps you’ve been using a friend’s or family member’s account away from their house, you may have already received an email asking you to pay up. Account holders could also be removed from the streaming platform, and their accounts could be used to enter a four-digit verification code that must be entered on all affected devices in a move to prevent unauthorized access.

If you use an account on a different network, you’ll have 30 days before Netflix acts on it, after which it’ll prevent access and force users to pay the additional member fee. It’s worth noting that this fee is lower than a new subscription (depending on the tier you sign up for), and provides the same benefits, except there is now an additional fee.

Netflix stores IP and other addresses to check on each device, profile, account, and user, and once the system detects a member from using a device outside of the usual household, it’ll notify the account holder.

Where is the Password Sharing policy available?

The Password Sharing policy is available in more than 100 regions, including North America, Europe, Latin America, Asia, and more. The additional member fee is localized and will vary from each country.

Here’s how it works, how members can be added, and some of the limitations:

  • Account owners on a Standard or Premium plan in many countries can share Netflix with someone who doesn’t live with them by adding an extra member to their account.
  • The account owner will need to purchase an extra member slot, then invite an extra member to use the extra member slot.
  • The extra member must be activated in the same country where the account owner created their account.
  • Extra members cannot be added to Netflix-included packages or third-party billed accounts.
  • Extra members cannot be added to ad-supported plans.

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