How do re-billing and cut-off dates work?
You can set what day of the month you want to charge your customers credit card for their subscription. As of just now we support the following options:
- 1st of the Month
- 15th of the Month
- The same day of the month that the customer originally signed up
Please note: As of writing, you can only apply set re-billing dates to monthly plans. We are adding more in the near future.
When setting a re-billing date you need to choose a cut-off day. This will usually be some days after the re-billing date. This is to help with stock control and planning for shipments. If a customer signs up after the cut-off date in any given month, then they will miss the current month's shipment and their subscription will be re-billed the month after the next month. The customer will always be billed immediately for their first order, but the first shipment date will be dependent on the cut-off date as well. If the customer signs up before the cut-off they will receive the current month's shipment, if they sign up after, they will receive the next months shipment as their first shipment.
Here is an example to make it more clear
Re-billing date: 1st of each month
Cut-off date: 12th of each month
Shipping date: 15th of each month
Customer signs up before our shipping cut-off, the 12th. They receive their first box on the 15th of the current month and are re-billed on the first of the following month, and the first of each month going forward.
Customer signs up after the shipping cut-off, the 12th. They are shipped their box the 15th of the following month and are re-billed on the 1st of the month after that. This will stop customers being billed twice before receiving a box.
The shipping date is the day of the month you ship your box to your customers.
FAQs & Important Information
Question: How do I change my existing subscriptions onto the new re-billing cycle?
We are currently working out a way to synchronise existing subscriptions to your chosen re-billing schedule. We are looking for input on how to achieve this. Please contact us for more to discuss.
Note: Adding re-billing, cut-off and shipping date settings to existing subscriptions
Also please note, when adding a shipping date, existing subscriptions charged on other days of the month will have new order's shipping dates set as the newly configured shipping date. So for example, if the customer is billed on the 7th of the month at the moment then their order due date won't be the 7th as before, it will now become the 15th as per the example above. So this will effectively ignore the cut-off logic which is applied at the time of subscription.
Question: Can I change the re-billing settings?
Yes, you can. But please note it will not affect existing subscriptions, also please be careful drastic changes in shipping date may cause issues with existing subscriptions.
Note: Failed payments and shipment dates
As of writing, if a customers payment continues to fail past the current cycles shipping date and the charge eventually succeeds, their shipment date will be the next month's. Please also note they will be billed for the next month so will effectively have 2 orders that month. We realise this is an undesirable behaviour but we are designing and implementing a solution. We are open to input on how to handle this, so please do reach out.
As a suggestion just now we recommend in Stripe to set your failed payment retry settings to try 3 times before your shipment date and to automatically cancel at the end of the 3 attempts.
Question: It shows subscriptions as on a trial inside of my Stripe dashboard?
Please do not panic, this is correct, and please do not end the trials earlier than they are meant to.