Creative tips and tricks

Failure to pay: How to Handle Them In Your Membership Site

Jul 28, 2022

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When you build an online membership website it's exciting to earn a the passive income you want from an online-based business. There are instances where problems can occur, such as failed payments or a delay in your regular earnings.

It can be an extremely stressful situation, but rest assured that there are simple ways to handle this problem!

In this blog, we'll discuss the factors that lead to payment online might fail in your membership site.

Also, we'll discuss the ways your business online can deal with these unpaid payments in the most graceful way possible and we'll go over some strategies to keep fromfailed payment from the beginning.

Let's get to it!

How do you avoid a failed payment?

The benefit of running an online business is that you can accept payment in a variety of ways (credit/debit cards, Stripe PayPal, digital wallets, and so on. ).

But, when a failed payment occurs, business owners quickly learn that these convenient payment options can be both an opportunity and a drawback.

Common causes for failure to pay comprise:

  • An expired or canceled debit/credit card
  • An insufficient amount of money on the credit/debit card
  • A mistake in the bank account, or card details
  • There is a problem with your payment gateway
  • The hold was placed on the card or account of the client due to the bank's fraud prevention

What are the consequences of failed payments for My Company?

No matter if a failed payment is your fault, it can negatively affect your business as a member.

  • There is a chance that you will not have the ability to withdraw your cash as soon as you like, or you may have to forfeit that money completely.
  • If a customer's payment is not successful, they may not want to go through the trouble of making a new payment. You could turn away a potential customer.
  • A customers might lose trust in your business if a payment fails or is not received, and may never return.

A customer's loss is an extremely serious repercussion. If you have a website that has a lot of failed payments the consequences could be catastrophic. Therefore, it's crucial to know what you can do if the payment fails to be made.

How do I handle the issue of a failed payment?

Failure to pay is a common occurrence. This is a common occurrence when being a business online. When they occur to you, ensure you're ready to deal with any situation.

Following are a few helpful ideas.

Don't panic.

First thing to take when the possibility of a missed payment arises is keep your mind on the right track.

We've said it before, failed payments happen to the best of us. If you're calmer the better chance you won't offend your customer by overreacting. There's no need to panic however, you must be calm enough to handle the situation properly.

Be sure that everyone is aware.

This one is super important! If a payment is not made do not assume that your client has no idea about it.

First, you should contact your client and inform them about the problem. This is not only good customer service, but it lets your customers know that you're mindful of their concerns and that they're important to you.

Offer an answer.

Once you've alerted your customer to the issue You'll need to provide the solution to solve the issue.

If the issue is at your own end, inform them know that you've solved the problem. If it's that they can do, give them easy-to-understand steps on how to get things squared away.

The more simple and concise your instructions are, the greater the chance that your client will be able to follow your directions.

Make sure you are professional.

In the event of a failed payment, it can be embarrassing for both you and your client. However, it's crucial to remain professional - for the good of your customer as well as for your own good.

Do not take a failed transaction or an insufficient reply from your client to the heart. What you need to do is communicate the problem, offer a solution, and let the customer wait. There is no way to force a customer returning to your account, and they don't need to!

Take a lesson from it.

Last but not least, take the opportunity to learn from this mishap. Whether it was an issue that you caused or not, you can always use the situation to gain knowledge and improve your performance in the future!

Tips to Prevent Failed Payments from the beginning

The saying goes: Prevention is the best medicine. This is also true for unsuccessful payment.

Fortunately, there are a number of things you can do to get ahead of the issue of failed payments prior to it arising.

comes with built-in functions for unsuccessful repayment recovery, which work with the payment gateway.

We'll then go over general settings for failed payments as well as a few gateway-specific solutions. We'll also let into a fantastic software that continues to capture lost payments long until the gateway is no longer able to process them.

Settings for payments that fail

It has an excellent setting for recovering your failed payments. For access, go to the WordPress dashboard > Settings > Emails tab.

When you are looking through the list of automated emails, you'll see an option that reads, "Send Failed Transaction Notice". Just check the box to allow this setting.

When enabled, this feature will be able to send an email every customer who has a problem with their payment.

There's a default message that comes with the program However, you're able to edit the text however you'd like. You could, for instance, include a hyperlink to the member's account page in order to let them easily and quickly change their account information.

Rectifying failed transactions with Stripe

If you are using Stripe as your Stripe payments gateway you can create an custom retry schedule.

To get this functionality you must go to the Stripe Dashboard > Settings > Billing > Subscriptions and emails Manage payments that fail Set the system so that a customer's account is charged within X number of days.

It is also possible to utilize Stripe's Smart Retries. This super cool feature determines an optimized time, then attempts to charge a card of the customer at that moment.

Paying back failed transactions with PayPal

There's nothing to set up or alter with PayPal's payment recovery.

After a failed payment, PayPal will complete three Retries in fifteen days (each attempt will be five days apart). If the attempts all fail within the 15 days, the subscription cancels automatically.

Recovery of failed payments using Authorize.net

When it comes to payment recovery, the Authorize.net payment gateway is also pretty easy to use (though still useful! ).

If you activate this Automatic Retry feature, a member's subscription will remain in an "pending" state until the card's update.

The Churn Buster Plugin

In the end, even after the payment processor is gone, Churn Buster is still busy working hard to recover the failed transactions should they occur. It even has capabilities that enhance the timing of strategic transactions and frequency of retries to cards - resulting in greater success.

Churn Buster's optimized retry schedule can be extremely effective when helping to recuperate failed payments that are due to things such as daily limits on spending, temporary holds, and processing timeouts.

The best part? Churn Buster provides new customers with the opportunity to try a 14-day free trial.

Final Thoughts

What ever sort of online business run, insolvent payments could appear on your doorstep in any moment. Be sure to remain calm and handle the situation with a sense of professionalism and calmness.

Remember, prevention is the most effective treatment. Hope that these tips help you handle your payment problems like a boss!

Did you have to deal with a failed payee? What did you do?