Netflix passwords: What are the plans to curb password sharing, why, will people be charged and how often do I need to verify my account?

Netflix is trying to stop people from sharing their account with those outside of their household. Trials for schemes have previously been held in South America, and there are plans to push the scheme further.

Netflix have announced more details about the changes recently. Here is all you need to know about the initiative:

Why is Netflix trying to curb password sharing?

Subscribers will soon have to pay an additional fee to allow other people to access their account from other locations. Viewers can already port their watch history, games, lists and settings to a different account.

Netflix introduced this to try and encourage hesitant customers to set up their own accounts.

It has been common for people to share passwords with their friends and family. Speaking about the decision, Netflix said: ‘After listening to consumer feedback, we are going to offer the ability for borrowers to transfer their Netflix profile into their own account, and for sharers to manage their devices more easily and to create sub-accounts (“extra members”) if they want to pay for family or friends.

‘In countries with our lower-priced ad-supported plan, we expect the profile transfer option for borrowers to be especially popular.’ Currently, Netflix has not shared how much this extra fee will be.

The ‘add an extra member’ option was trialled in Peru, Chile and Costa Rica, where they could share their account with up to two people outside their household. Chileans were charged 2.38 pesos, the equivalent of £2.26. Netflix added that people sharing their accounts ‘impacted’ their ability to invest in new TV shows and films. It has been mooted this change may be come into force in Europe.

What is the new policy?

The streaming service says up to 100 million accounts are currently being shared. A help document on the streaming service’s website says said: ‘To ensure uninterrupted access to Netflix, connect to the Wi-Fi at your primary location, open the Netflix app or website, and watch something at least once every 31 days.

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‘This creates a trusted device so you can watch Netflix, even when you’re away from your primary location.’ Viewers have to set their primary location via the ‘get Help’ section of the account settings.

The new measures will mean accounts cannot be shared with those who don’t live at the primary location. Netflix will seemingly block devices which log in at different locations.

Users who are travelling can request temporary access from different locations, by signing up to the site’s ‘extra member’ scheme. This will allow people who are not at the primary location to use the account.

Netflix viewers have reassured they can still access the account while travelling. Although. if they are away for an ‘extended period of time’, they could be blocked.

If someone is blocked, they will be asked to verify their device. A four-digit verification code will be sent to the primary owner, who has to put it into the device within 15 minutes.

Netflix said this will happen ‘periodically’ if users continue to watch away from home. They have not said how often this would be.

They added people will be checked if they’re in a specific household using ‘information such as IP addresses, device IDs, and account activity from devices signed into the Netflix account.’ No specific information was given on what data will be collected.

Will people be charged for sharing their Netflix passwords?

Several devices in the same household can still be linked to the same account, with the number of them depending on your subscription package. Sharing passwords has always been against Netflix’s terms of service.

‘The Netflix service and any content accessed through the service are for your personal and non-commercial use only and may not be shared with individuals beyond your household,’ it says in the terms and conditions. The definition of a household is not mentioned.

Netflix have not announced when these changes will be made. Plans at this stage are to implement measures where users will have to pay a fee to access another person’s account.

‘This will not be a universally popular move,’ Netflix CEO Greg Peters said. He added they expect to see cancellations when the plans are rolled out. Users could potentially be charged for sharing passwords, if a similar regulations that are being trailed in Latin America are implemented.