Black FridayBlack Friday is almost here and my inbox is being bombarded by web hosting companies letting me know all the great specials they will be running so I better promote them! Thankfully these emails have reminded me to send out a warning to all of you about what the sales actually are.

These sales are intended to get you in the door. Your renewal rate will not be the same as the promotional price. Now, I am not telling you not to sign up because of this. You will be getting some very cheap hosting. However, do your research and see what you will be paying on your renewals. Don’t be surprised if you see a $0.99/month sale with a renewal rate of $9.49/month. This is pretty common.

Web hosting companies are willing to take losses in your first year in hopes that you don’t check what your renewal rates are going to be. In the terms of service they will have something to the effect of “all accounts will automatically renew and there are no refunds on renewals.” This way if they get you on a renewal they legally don’t have to give you anything back.

Long story short, always be sure to read before signing up. Make sure you know what it is you’re buying and make sure what your renewal rates will be.