Failed Payments

Understanding how to manage failed payments is crucial for maintaining your subscription services smoothly. This guide will walk you through the options and behaviors associated with failed payments, whether the first or subsequent payments. Let's dive in!

When the first payment for a subscription fails, it is essential to note that:

• The subscription has just started, and there have been no other successful payments on the subscription.

• A month fully covered by a voucher will still be a successful payment.

If the first payment fails, there is a window of about 23 hours to correct the issue. If a successful payment is not received within this timeframe, the subscription will be automatically canceled, and a new one must be created.

The payment method cannot be updated once the 23-hour period has passed and the subscription is canceled.

If the failed payment is not the first payment on a subscription, the following process will occur:

• The failed payment will be retried 4 times over the next 21 days.

• After each failed payment attempt, the end-user will receive email notifications prompting them to update their payment method.

• After the 4th failure, the subscription will be ended immediately.

For some context, Stripe employs 🔗 smart retry logic to optimize the success rate of payment collection attempts. Because of this, there is no way to trigger a payment retry manually. However, if a payment method is updated, Stripe will immediately attempt to collect any outstanding payments, effectively forcing a retry on a failed payment.

To update a payment method, please have your end-user follow these steps:

1. Sign in to Connect by inputting your one-time password (OTP).

2. Click on Settings in the top right corner.

3. Under Billing Information, click on Payment Method.

4. Finally, click on Update Card in the top right corner.

By following these guidelines, you can effectively manage failed payments and ensure a seamless experience for your subscribers!