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PayPal Recurring Payment questions

Question Question | Solved Solved | Emerald 9 | Hits: 736 | Comments: 2 | Bookmarked: 1 | Followers: 7

Jeff VIP
Total posts: 745
27 Aug 2015 05:09

Hi,

I have a couple of questions about using the recurring payment option of the PayPal gateway plugin. Let's say I sell a subscription plan that costs $50/month for a minimum of 6 months.

Scenario 1

People pay $300 straight away. Better for seller because people pay the full amount ahead, but the price might be too high.

Secenario 2

People pay $50 each month automatically. Better for buyer because it is affordable. But:

  1. Does it work?
  2. Does PayPal automatically charge customers each month during the recurrence period?
  3. What happens if someone doesn't pay/cancel there payments after one payment? Does Emerald check this?

Best regards, Jeff

Last Modified: 01 Sep 2015

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Sergey
Total posts: 13,748
28 Aug 2015 07:57

I cannot tell you what scenario is better. I think that depends on mentality of your potential clients. But i nelieve people are tended to pay litle amount monthly then big yearly. And if you pay whole period at once you expect a little discount.

Jeff 1. Does it work?

I hope :)

Jeff 2. Does PayPal automatically charge customers each month during the recurrence period?

Yes.

Jeff 3. What happens if someone doesn't pay/cancel there payments after one payment? Does Emerald check this?

Every time PP charge new period, it sends new IPN to Emerald. Emerald create new subscription for new month. If user canceled subscription, then ne will continue to use your site untill his current month expires. Then he is out.

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Jeff VIP
Total posts: 745
01 Sep 2015 00:35

Thanks, Sergey

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