An upcoming installment payment can fail for several common reasons:
- The card has expired.
- The account has insufficient funds.
- The card is no longer valid.
Initial Notification
In the event of a failed payment, our system automatically sends an email notification to both you and the user. The email to the user includes a secure link for them to update their payment method on file.
Automated Recovery Process
The system will attempt to recover the payment in two ways:
- User Action: If the user uses the link to update their card, the system will immediately try to process the overdue installment.
- Automatic Retries: Simultaneously, our payment processor (Stripe) will automatically retry charging the card on file multiple times over several weeks.
Final Failure and Your Next Steps
If the user does not update their card and all automated retries are unsuccessful, the payment plan will be cancelled.
You will receive a final email confirming the cancellation. At this point, it becomes your responsibility to contact the user directly to collect the outstanding payment. You can handle this by:
- Arranging an offline payment (cash, e-transfer, etc.).
- Sending the user a new invoice through the platform.