Recurring Payment Solutions

Recurring Payments: What Every Business Should Know. 👇 If your business offers subscriptions or repeat billing, recurring payments are the lifeblood of your cash flow, but getting them right is about more than just charging a card every month. Here’s what you should consider when setting up or scaling recurring payments: ✅ Support for All Major Payment Methods To reduce friction and increase conversions, offer a range of payment options including: ➡️ Cards: Visa, Mastercard, American Express, Discover ➡️ Direct Debit: A stable, trusted method with strong consumer protection ➡️ Pay by Bank: Increasingly popular for those who prefer instant, account-to-account payments, variable recurring payments remain a work in progress in the retail environment ➡️ Digital Wallets: Apple Pay and others now support recurring billing, ideal for mobile-first customers and at the click of a button 🔄 Ease of Cancellation = Trust Make it easy for customers to cancel. Why? ➡️ Reduces disputes and chargebacks ➡️ Builds long-term brand trust ➡️ Encourages them to return later, rather than churn out frustrated ➡️ Transparency and ease are key to a sustainable recurring model 🔧 Smart Tech Behind the Scenes: Updater Services & Network Tokens Card expirations and replacements used to be a big problem, but now? 🔹 Account updater services (like Visa Account Updater and Mastercard Automatic Billing Updater) automatically update stored card details when a card is replaced or renewed, reducing failed payments and involuntary churn. 🔹 Network tokens take this a step further. They replace card details with a secure, tokenised version that stays valid even when the underlying card changes, offering higher authorisation rates and enhanced security. Together, these innovations keep your billing cycle smooth and your customer experience seamless. 🧠 Why Stability Still Matters Direct debit may feel “old school,” but it remains: ➡️ Exceptionally reliable ➡️ Protected by strong consumer guarantees ➡️ Ideal as a trusted fallback or even primary option in certain markets Combining modern flexibility with stable, regulated solutions is often the smartest approach for long-term success. Recurring payments are not just a billing method, they’re a customer experience. Make it seamless, secure, and adaptable, and your revenue (and reputation) will thank you.

#UPI Autopay is one of the most underrated India-centric innovations of the last 5 years. UPI autopay lets businesses collect recurring payments automatically will lesser hassle(think OTT subscription, Mutual fund SIPs) The impact it has had on subscription-based #startups has been incredible: - UPI Autopay now powers 53% of all recurring payments, compared to just 31% for cards (declining fast) - 4.5 million active subscribers on Kuku FM pay via UPI Autopay (majority in teir 2, tier 3 cities) UPI Autopay is a great example of a #product built for India, solving a very real Indian problem, the lack of credit card penetration. Only about 10 crore Indians have credit cards, while over 50 crore users are registered on UPI. And even among those with credit cards, most are concentrated in the top 10 cities, making it tough for businesses to collect recurring payments from Tier 2 and Tier 3 India. To make matters worse, margins in SaaS or non-subscription #business are already very low in India. A 2%+ MDR on credit cards makes it even harder to stay profitable. This is where NPCI’s UPI E-Mandates come in. They solve a massive challenge; seamless and low-cost recurring #payments at scale. Think of companies like Zerodha or Groww, who collect monthly SIPs, or Policybazaar.com, which collects insurance premiums every month. Without UPI Autopay, these #brands would lose revenue and need to hire teams just to remind users to make payments. All that friction and cost is saved with UPI Autopay. That’s also why many startups can now offer affordable monthly subscription plans instead of locking users into larger annual commitments. #kneeledge

Stop sending "Quick reminder on that invoice" emails forever. Here's how we tie in an automated system for some of our clients: - Connect Xero to Stripe natively or connect Quickbooks to Acodei - Set up recurring invoice templates - Enable auto-pay options for clients - Automate payment matching in your books Results from one agency client: - Reduced payment delays by 84% - Saved 12 hours per month on invoice admin - Improved cash flow prediction accuracy to 94% - Zero additional dollars spent hiring collection agenices Offering auto-pay doesn't just help you - it helps your clients too. I find that MOST clients happily chose auto-pay when given the option because: - No manual processing each month - Simpler expense tracking - Better budgeting on their end But here's what most miss: Don't just automate the invoices. Automate the ENTIRE system: - Payment reminders - Receipt generation - Bookkeeping entries - Revenue recognition - Tax documentation Your time is worth more than chasing payments.

SlimPay is officially part of Trustly! This is another major step in our journey to revolutionise payments with Open Banking. You may wonder where the product synergies are between an #OpenBanking payment method and a #SEPAdirectdebit provider? Open Banking under #PSD2 doesn't support direct debit or recurring payments, does it? Isn't sweeping variable recurring payments (#VRP) in the UK the only form of recurring Open Banking solution? Trustly has offered an Open Banking powered #directdebit solution in the UK and Sweden for several years and Slimpay's technology and expertise will allow us to provide a pan-European solution. You may think "Direct Debit? Really? Old tech, poor onboarding UX, clunky, slow..." And yes you would be right. But Trustly leverages Open Banking to solve these issues and provide a seamless and cost-efficient recurring payment solution: 1. Poor sign-up experience ➡️ Customers simply face id or fingerprint in their bank app to securely populate the direct debit mandate details. Then tap to confirm the authorisation. Seamless and very secure. 2. Costly Mandate checks ➡️ Verified data straight from the customer's bank. Lower cost per check as well as no failed checks (that otherwise you would be charged for). 3. Wait up to 8 days to receive the first payment ➡️ Couple an instant Open Banking payment with the direct debit mandate. Merchants receive instant settlement for the first payment. Customers only need one face id or fingerprint to complete the full payment and mandate journey. Remember there are some great attributes to Direct Debit: 1. Trusted by consumers 2. Simple guarantee protections against incorrect payments 3. Mandates transferred with bank account switching services (CASS) 4. Unlimited payment amount (provided the customer is notified) Next time you look at your Direct Debit mandate verification fees and failure rates, or the cost of your card-based subscriptions, remember there is a better solution waiting for you! Link to the article here: https://lnkd.in/eMkYgbUk

Welcome to 𝐓𝐡𝐞 𝐂𝐚𝐫𝐭𝐞𝐬 𝐁𝐚𝐧𝐜𝐚𝐢𝐫𝐞𝐬 𝐒𝐞𝐫𝐢𝐞𝐬 🇫🇷 — Episode 3 👇 𝐔𝐩𝐝𝐚𝐭’𝐑 by GIE Cartes Bancaires Bancaires is 𝐅𝐫𝐚𝐧𝐜𝐞’𝐬 𝐫𝐞𝐚𝐥-𝐭𝐢𝐦𝐞 𝐜𝐚𝐫𝐝 𝐮𝐩𝐝𝐚𝐭𝐞𝐫 𝐬𝐞𝐫𝐯𝐢𝐜𝐞 — built for recurring payments, one-click checkout, and lower churn. It automatically refreshes card-on-file (CoF) credentials, ensuring businesses never lose revenue due to expired or replaced cards. — 𝐖𝐡𝐚𝐭 𝐢𝐬 𝐔𝐩𝐝𝐚𝐭’𝐑? ► A real-time API-based service that updates CB card data linked to the Primary Account Number (PAN) ► Helps merchants retain subscription customers and reduce failed MIT (Merchant-Initiated Transactions) ► Designed to work with on-us flows — boosting performance within the CB ecosystem ► Aims to replace outdated, costly tokenization setups for most domestic needs → CB equivalent of Visa Account Updater — but simpler, cheaper, and fully local — 𝐇𝐨𝐰 𝐝𝐨𝐞𝐬 𝐔𝐩𝐝𝐚𝐭’𝐑 𝐰𝐨𝐫𝐤? 1️⃣ Merchant queries card updates via their PAT (Payment Acceptance Terminal) 2️⃣ Updat’R connects to the issuing bank via the CB rails 3️⃣ Issuer returns refreshed card credentials (e.g. expiry date, PAN update) 4️⃣ Merchant updates its systems without user friction → Works at scale, in batch or individual calls → Supports recurring billing, subscriptions, and stored cards — 𝐓𝐡𝐞 𝐁𝐞𝐧𝐞𝐟𝐢𝐭𝐬 𝐟𝐨𝐫 𝐌𝐞𝐫𝐜𝐡𝐚𝐧𝐭𝐬 ► +1–2 points conversion rate uplift on MIT payments ► Dramatically reduces involuntary churn ► Fewer payment interruptions → fewer abandoned carts ► Real-time, no-cost model — independent of update volume ► Simpler than full tokenization integration for most use cases 💡 Updat’R also improves lifecycle management and reduces merchant acquisition costs by preserving long-term customer relationships. — 𝐖𝐡𝐲 𝐢𝐭 𝐦𝐚𝐭𝐭𝐞𝐫𝐬 𝐢𝐧 𝐅𝐫𝐚𝐧𝐜𝐞 GIE Cartes Bancaires cards represent 2/3 of French consumer spend. With Updat’R, merchants can confidently manage CoF flows without foreign dependency, and with full compliance and GDPR-aligned data residency. — Next Up → Deep dive into 𝐒𝐚𝐟𝐞’𝐑 — Merchant-controlled 3DS authentication with CB Source: GIE Cartes Bancaires x Connecting the dots in payments... ► Sign up to 𝐓𝐡𝐞 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬 𝐁𝐫𝐞𝐰𝐬 : https://lnkd.in/g5cDhnjC ► Connecting the dots in payments... | Marcel van Oost

What do Spotify, OpenAI, and Canva have in common? These industry leaders thrive on a recurring revenue model, ensuring predictable income and sustained growth. How do they do it? Let's dive into the mechanics of recurring payments for subscriptions and how they can transform your business. How Recurring Payments Work for Subscriptions Creating a successful subscription model is no easy feat. It's not just about setting plans and going live. Once you understand your prospective customers, there are various business models to consider: - Monthly subscriptions / fixed-frequency models - On-demand usage billing - Pay-what-you-want models - Setup fee + subscription - Per seat billing A transparent billing model, like Slack's per-seat monthly billing, ensures customers pay only for what they use. Behind the Scenes of Subscription Engines The subscription engine's complexity depends on the payment method. Platforms typically distinguish between cards and Alternative Payment Methods (APMs), such as cash, bank transfers, and wallets. - Cards: These are synchronous payments, providing near-instant responses regarding fund collection. - APMs: These are asynchronous payments, requiring user action to complete the transaction. Subscription Flow: A Deep Dive. 1. Recurring Payment is Due: The system initiates the payment process when a payment cycle is due. 2. Payment Success Check: - If Successful: Billing date updated, status set to ACTIVE, webhook triggered, invoice sent. - If Unsuccessful: Status set to RETRYING, webhook triggered, customer notified. 3. Customer Action on Failed Payment: - Updates Payment Method: Payment retried, if successful, invoice sent; if failed, smart retries initiated. - Doesn't Update Method: Smart retries start; if all fail, the subscription status changes to "defaulted" at the next cycle. For failed payments, platforms typically retry only "soft rejections" (e.g., insufficient funds). An automatic email invites customers to update their card details via a secure link, allowing the billing process to continue smoothly. The success of a subscription model hinges on creating a seamless payment experience that handles both successes and failures gracefully. By implementing smart retries, sending timely notifications, and providing easy ways for customers to update their payment information, businesses can minimize churn and maintain steady revenue. Have you implemented a subscription model in your startup? What challenges did you face in managing recurring payments? If you're still using traditional one-time payment methods, how are you handling customer retention and predictable revenue? Share your experiences below! #RecurringRevenue #SubscriptionModel #BusinessGrowth #FinTech