Violation of EU Consumer Rights – Non-transparent Billing and Usage Limit Practices

Dear Cursor administrators,

I would like to formally inform you that through your non-transparent policies, you are violating the rights of individual consumers in the European Union.

When you advertise “Unlimited agent requests”, this must truly mean unlimited. The vague disclaimer “Usage limits apply for some models” is not sufficient under EU consumer law — it must be clearly defined, including the exact restrictions, affected models, usage thresholds, and reset cycles.

Moreover, the message:

“You’ve hit the rate limit on this model. Switch to a different model, upgrade to Ultra plan for 20x higher limits on Claude / Gemini / OpenAI models, or set a Spend Limit for requests over your rate limit.”

does not provide sufficient clarity for users. It causes confusion and misleads the consumer. At no point can the user know:

  • How much usage is included in the plan;
  • How much has already been consumed;
  • When the rate limits reset.

This violates fundamental EU principles of transparency, predictability, and fair communication.

Furthermore, any change to the pricing structure or usage limitations during an active subscription period is not permitted under EU law unless:

  1. The user was clearly informed in advance (with sufficient notice, typically at least 15 days);
  2. The contract allows for transparent and fair modification procedures;

Legal Basis for Complaint:

  1. Directive 2011/83/EU on Consumer Rights
  • Articles 6 and 8: require clear, intelligible pre-contractual information regarding service terms and pricing.
  • Service providers must not make misleading claims or hide material limitations.
  • EUR-Lex – Directive 2011/83/EU
  1. Regulation (EU) 2019/1150 on Platform-to-Business Relations (P2B Regulation)
  • Articles 3 and 5: require transparency in terms and conditions, including prior notice (min. 15 days) for changes and clear disclosure of usage limits or suspension criteria.
  • EUR-Lex – Regulation 2019/1150

As a citizen of the European Union, I intend to file a formal complaint with the Consumer Protection Authority, as your current practices appear to be in direct breach of both legal texts above.

I kindly request that you:

  • Clearly define all limitations on usage and reset mechanisms;
  • Refrain from modifying pricing or limits during an active billing cycle without proper notification and user acceptation.

Sincerely,
Alin

@truell20

14 Likes

The pricing is indeed opaque and problematic. If you hit a limit, it means it is not unlimited. Therefore, what are the limits per model? How can we see our usage? When are they reset?

Come on, your reporting of usage has been an ongoing problem. Get things clear and straight once for all.

6 Likes

I also noticed that the Ultra plan on the Yearly option (which claims “save 20%”) is still priced at $200. Where is the 20% saving? If the discount doesn’t actually apply to this plan, remove it from Yearly (save 20%) pricing list.

2 Likes

:clap: :clap::clap:

I completely agree. Seeing a message about hitting a rate limit for models, after reading the text in the Blog article with the change makes no sense. This same thing just happened to me today.

By default, the Pro plan will now follow an unlimited-with-rate-limits model, and all limits on tool calls will be lifted.

This is a terrible user experience. When I have no idea what the rate limit is for a tool, how am I supposed to plan requests appropriately? For example, I have to spend a ton of requests just to break Cursor out of being stuck doing something in the background that I can’t see. Previously, I could see my remaining requests so I could budget what I want a model like Claude to handle vs. what I want the Cursor model to handle (to preserve requests).

@datrim it doesn’t work like that: if you provide your services to any specific country, you must follow the laws of that country.

3 Likes

totally agree. And Cursor should refund the usage-based price it charge during this period too, the docs say $0.04 per request, but they charge about $1 for each request now

2 Likes

Since I’ve opted out to old plan, please just confirm something for me. Is it true that the charges are done without a warning, and you don’t know whether you’ll have to pay for that request until you send it and the payment is made?

The $0.04 pricing per request was on the old plan and does not exist on the new plan. The new plan counts resource usage and charges for that specifically, not by the number of requests. You can see your Usage in Dashboard on the Cursor Website after login, there you can position the mouse over the usage line and get a breakdown by token usage in detail which will show how much was used directly.

Usage Based Pricing when turned on is on, there is no warning every time someone uses Usage Based Pricing. This is unchanged from before.

1 Like

If $1 per message, then the new plan ■■■■, I want to switch back to the old plan, but the button is disabled

It still exists on my Business plan. If that’s being phased out, it’s still important information for reviewing past bills.

hi @Majken-at-Tatari in Cursor Docs the Business plan pricing is still unchanged. You can find it under Teams pricing.

@T1000 I have looked there and I promise I just don’t see it. Could you screenshot for me the part that shows what is charged at $0.04, $0.05, $0.03, and $0.08?

@Majken-at-Tatari here is the Teams pricing part on that page (Business).

1 request = 0.04 USD.
2 requests = 0.08 USD.

image

Also some 0.25 requests :slight_smile:

@T1000 most of my usage-based billing is charged at $0.05, you also haven’t shown where it explains what’s charged at $0.03.

I’m not the right person to ask about your direct billing details as I neither have access nor know what is there.

Please contact [email protected] for clarification as only the Cursor Team has access to that information.

[Edit: also you have your own thread about the topic: Understanding Business Plan Billing]

@T1000 I’ve only been talking to you about it because you said the pricing information is still available on the page. I do not have a custom pricing agreement with Cursor, so this is not about my own direct billing details. My topic doesn’t actually cover this topic - transparency in pricing. But at least I think we can agree now the pricing for Business plans is not sufficiently described in the documentation.