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The Hidden Costs of 'Free' Gaming: How In-Game Purchases Impact Children

By MoneyTiseMay 30, 2025 – London, UK
The Hidden Costs of 'Free' Gaming: How In-Game Purchases Impact Children

The Hidden Costs of 'Free' Gaming: How In-Game Purchases Impact Children

⏱️ Read Time: 5 minutes

Free-to-play games have revolutionized the gaming industry, offering accessible entertainment to millions worldwide. However, beneath the surface of these seemingly cost-free games lies a complex web of in-game purchases and subscription models that can have unintended consequences, especially for younger players.

The Allure of In-Game Purchases

Games like Fortnite have popularized the use of in-game currencies and cosmetic items, enticing players with exclusive skins, emotes, and battle passes. While these items don't necessarily impact gameplay, they hold significant social value among peers, leading to increased pressure on children to make purchases to fit in. A study by Oslo Metropolitan University found that children often experience social pressure to buy in-game items to avoid being labeled as "default" or less skilled by their peers.

Unauthorized Spending: A Growing Concern

The ease of making in-game purchases has led to numerous instances of children spending large sums without parental consent. A LendingTree survey revealed that nearly half of parents (46%) have caught their children using their credit or debit cards without permission for such purchases. In one notable case, a 10-year-old boy in the UK accumulated £1,200 in charges on Fortnite, believing his success in the game was due to skill rather than the money spent.

Regulatory Actions and Industry Response

In response to these issues, regulatory bodies have taken action against game developers. Epic Games, the creator of Fortnite, faced a $520 million settlement with the U.S. Federal Trade Commission (FTC) over allegations of deceptive practices related to in-game purchases and children's privacy violations. As part of the settlement, Epic agreed to pay $245 million in customer refunds and implement changes to prevent unauthorized charges.

Parental Controls and Education

To combat unauthorized spending, many platforms now offer parental controls and tools to monitor in-game purchases. However, awareness and utilization of these tools vary. A study by Video Games Europe indicated that while 95% of parents whose children spend on in-game extras claim to have an agreement with their children about spending, the effectiveness of these agreements depends on consistent monitoring and communication.

The Path Forward

As the gaming industry continues to evolve, it's crucial for developers to prioritize ethical monetization practices, ensuring transparency and safeguarding younger audiences. Parents, on their part, should stay informed about the games their children play, utilize available parental controls, and engage in open discussions about responsible spending. By working together, stakeholders can create a gaming environment that balances profitability with the well-being of its youngest players.