How do I renew and charge a recurring payment?

[Elmodea777]

[The title of this thread has been edited from the original: Considering using Square for recurring payments when clients sign up for an annual program]

Considering reoccurring payments for when a client signs up for services which they pay for over the course of a year. The client would have to link their card so that the payment was automatic on the day we agree upon. My concern is what happens if the payment is declined when it is supposed to be charged? Do I get notified? Does the client? Or do I have to track it and connect with the client? I want the contract term to be 12 months, so it would automatically end after the 12 months. But the client may want to renew for another year, how easy would it be to continue on with billing, though it could be a different amount in year two that is charged and paid each month? 

[Alex_]

Hi @Elmodea777,

Thank you for posting in the Seller Community. Welcome! 

You can definitely set up a recurring payment to bill over a 12-month period. After the 12 months end, you would have to set up a new series/invoice for the next 12 months if the agreements, price, or item/services has changed whatsoever. You do not have the option to update any information during the middle of an invoice series. 

In regard to the event in which a customer's card is declined, your buyer gets a few attempts to put in the right payment information (card number, expiration date, etc.). If the card fails after those attempts, both the merchant and buyer are notified by email that that particular transaction failed. The recurring series stays intact and will continue to send the next instances in that series, but the merchant will have to re-send a single invoice if they want to re-try getting payment for the invoice instance that failed.

Feel free to check out our support article for more information, and please let me know if you have any other questions by replying to this thread. 

[Elmodea777]

Thanks very much for your prompt response!!