Survey: 40 Percent of Netflix Passwords Are Being Resold

New data shows that 40 percent or 4 in 10 Americans are reselling their Netflix passwords.

Red Points, a firm that helps companies fight piracy and fraud, says that 40 percent of its surveyed adults in the United States disclosed that they don’t just share their passwords with others, they actually resell them, according to a report by The Wrap.

Netflix’s $12.99 per month Standard plan allows users to stream up to two devices on one account, while its $15.99 per month Premium plan let users stream up to four devices simultaneously on one account.

Selling login information is especially popular among younger customers, as two-thirds of respondents ages 18 to 30 admitted to paying someone else’s password for at least one service.

“It’s not necessarily against the law, but against the service’s license agreement, which makes it a bit more complex to deal with,” said Sergei Garcia of Red Points.

Last month, it was reported that the streaming giant is considering cracking down on its users sharing their account passwords with friends and family.

Some Netflix users have said they’ve seen a screen when logging into their account, which states, “If you don’t live with the owner of this account, you need your own account to keep watching.”

“This test is designed to help ensure that people using Netflix accounts are authorized to do so,” a Netflix spokesperson said in a statement.

Netflix is not the only company seeking to crack down on users sharing their login information with others.

In 2019, The Walt Disney Co. and Charter Communications reportedly joined forces in an effort to prevent consumers from sharing their streaming passwords.

You can follow Alana Mastrangelo on Facebook and Twitter at @ARmastrangelo, on Parler @alana, and on Instagram.