Auto Payments in Recurring Invoice Templates

Auto payments in recurring invoice templates are a streamlined solution for billing

With the auto payment feature in our recurring templates, you can ensure timely payments without the hassle of waiting for your customers to take action.

This innovative feature allows you to automatically deduct the invoice amount from your customer's credit card on the due date. 

Auto Payments in Recurring Invoice Templates

Streamlined Billing Process

• Simplify Customer Payments: Manage recurring invoices effortlessly with automated billing.
• Eliminate Manual Follow-Ups: No need to chase down payments; the system handles it for you.

Automatic Deduction

• Timely Payments: Automatically deduct the invoice amount from your customer’s credit card on the due date.
• Efficient Processing: Ensures payments are processed promptly and on schedule.

Enhanced Convenience

• Reduce Hassle: Customers do not need to take action, making the payment process seamless and hassle-free.

Note: This article will assume that you have already set up Recurring Invoices. For a detailed overview of how to set up Recurring Invoices, see our article “Creating Recurring Invoices”.

Setting up your Auto Payment

• Navigate to the Payments tab on the left > hover over the Invoices & Estimates section > select ‘Recurring Invoices’.

• In the Recurring Invoice Builder, click the three dots in the top right corner of your window then select Manage Auto Payment

• The Auto Payment setup window will appear. Here you can set up auto payments for your customer.
• This setup also appears in the Schedule Confirmation window when scheduling a new Recurring Invoice.
• In the Auto Payment window, you will see several options
  • Ensure that the “Enable auto payment” toggle switch is turned on
    • This toggle switch can turn auto payments on and off throughout the life of the recurring invoice setup
  • The “Amount to be paid” parameter will automatically pull the price that is listed in your invoice. This number cannot be changed in this window so it will not be editable.
  • Select your desired payment card option. When setting these up, you have three options for selecting the payment card:
    • Customer card - Allows to automatically charge the customer on the same card which is used to make the first payment for the recurring template
    • Saved card - If any saved cards exist for the end customer, you can use that card to automatically charge the end customer on every due date for the recurring template
    • New Card - You can also enter new card details to charge the customer on that specific card whenever an invoice is due in the recurring template
  • Once your Auto Payment options are set up, press Save and your Auto Payment will be set up!

Auto Payment Notifications

• Notification will be sent to you and the end customer upon every success/failure instance of an invoice in the recurring template.
• The end customer will also be notified before deducting the charge automatically. This notification will be sent "x" days in advance, defined in the recurring frequency setting.
• If any invoice is updated before deducting the auto-charge, then the payment will not be processed automatically. In such a case, you would be informed of this via mail, and you should share the updated invoice with the end customer to avoid any lost recurring revenue.

What Happens if There is an Auto Payment Failure?

• In case of auto-payment failure from the defined card, the end customer and invoice sender would be notified via mail.
• If the customer successfully pays with a new card upon notification of auto-payment failure, then this new card will be updated to deduct auto-payment for all future invoices.
• After the first payment failure, the payment will be retried two more times, at 24-hour intervals. If the payment still is not processed, no further attempt will be made automatically for this payment, and the customer will be required to pay the invoice manually.

Here's a breakdown of the common failure messages you might encounter:

Insufficient Funds: This message indicates that the client's account doesn't have enough funds to process the payment. In such cases, the client should ensure there are sufficient funds in their account.

Authentication Required: When you see this message, it means that payment requires authentication. We recommend asking the client to log in and complete the necessary authentication steps to proceed with the payment.

No Default Payment Method: If you come across this message, it means there's no default payment method set for the client. In this situation, kindly ask the client to log in and choose a default payment method to ensure seamless payments.

Card Declined by Bank: This message indicates that the bank has declined the card used for payment. Please notify the client to consider re-attempting the payment or changing the card details on the platform for a successful transaction.

Other Card Issues: If the card was declined for unspecified reasons, it's advisable to guide the client to log in, re-attempt the payment, or update their card details to resolve any potential issues.

Understanding these failure messages will help you take appropriate actions to address auto-payment issues promptly and ensure a smoother billing experience for both you and your clients.

FAQ:

1. How do I set up auto payments for recurring invoices?

To set up auto payments, navigate to the Payments tab, select 'Recurring Invoices,' and manage the auto payment settings in the Recurring Invoice Builder. Ensure the "Enable auto payment" toggle is turned on and select your preferred payment card option.

2. What happens if there’s an auto-payment failure?

If an auto-payment fails, you and the customer will be notified. The payment will be retried twice at 24-hour intervals. If the payment still fails, the customer must manually pay the invoice.

3. Can I change the payment card used for auto payments?

Yes, you can update the payment card by selecting a new card or using a saved card when setting up or updating the auto payment.

4. How will I be notified about auto payment successes or failures?

You will receive notifications via email when an auto payment is successful or fails, and the customer will also be notified, including any necessary actions to resolve payment issues.