The Thousand Solutions Blog

Failed Payments What to Do About It? Within Your Membership Website

Jul 28, 2022

Table of Contents

When you create an online membership website and you're excited to finally create passive income with an online company. But, there will be times when problems may arise, like failed payments, that put a pause in your regular earnings.

This can be a stressful circumstance, but be assured that there are simple methods to deal with this situation!

In this blog we'll look at the factors that lead to the online payment process may not work in your membership site.

Also, we'll discuss the ways your online business can deal with these unpaid payments as gracefully as possible, and we'll go over some ways to avoidfailed payments at all costs.

Let's go!

What are the causes of failed payments?

The beauty of having an online company is that you can accept payments in a number of different ways (credit/debit card, Stripe, PayPal, digital wallets, and so on. ).

But, when a failed payments occurs, the business owner quickly learn that these convenient payments can be an opportunity and a drawback.

Most common reasons for failed payments comprise:

  • The card is canceled or expires. card
  • Insufficient funds on the debit or credit card
  • The incorrect bank account or card details
  • There is a problem with your payment processor
  • The hold was placed on the account or card of the customer because of the bank's security prevention

What are the consequences of failed payments for My Business?

If a missed payment is your fault the negative impact it has on the business of your member.

  • You may not have the ability access your money whenever you want, or you may lose that income altogether.
  • A member whose payment fails might not wish to go through the trouble of returning to make another payment. Therefore, you may turn away a potential customer.
  • The customer may lose confidence in your business if the payment is not successful, and they may not want to come back.

Losing a customer can be a severe loss. If your site experiences a lot of failed payments The consequences are devastating. So it's important that you understand what to do when your site experiences a lot of failed payments.

How do I handle a Failed Payment?

Failure to pay is a common occurrence. It's a normal part of doing business on the internet. When they occur to you, ensure you're well armed to handle the situation.

Here are some helpful tips.

Don't panic.

The first thing you need to do when a situation of payment failure comes up is keep your mind on the right track.

As we mentioned, failing payment can happen even to the most seasoned of us. If you're calmer the better chance that you don't upset your client with your overreaction. It's okay to be alarmed, but make sure you're at ease so that you can manage the situation in a manner that is appropriate.

Make sure everyone is informed.

This is a crucial issue! If a payment is not made, don't assume your customer is aware of it.

So first, call your customer to let them know of the problem. Not only is this good customer service but also lets your customers know that you're aware of them and also that you value them to you.

Provide an answer.

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

If the issue is at your own end, inform them know that you've resolved the problem. If it's something at their side, offer simple steps to fix the problem.

The easier and clearer your instructions, the better the chance that your client will adhere to your instructions.

Be professional.

In the event of a failed payment, it could be embarrassing for you and your client. It's essential to stay professional - for the good of the client as well as your own good.

Never take a failed payment or an insufficient reply from your client to the heart. What you need to do is communicate the problem with a solution and let the customer wait. There is no way to force a customer to return to your account, and they wouldn't want to anyway!

Learn from this experience.

Last but not least, take the opportunity to learn from this incident. If it was a problem at your own end and/or not, you are able to make use of the incident as a learning experience to improve your performance in the future!

What can you do to avoid failing payments In the First Place

The saying goes: Prevention is the best medicine. Same goes for failed settlements.

Fortunately, there are a number of options to get ahead of the failed-payment problem prior to it arising.

includes features to assist with failed repayment recovery, which work with the payment gateway.

Below, we'll go over general settings for failed payments as well as some specific solutions for gateways. We'll also let users into an amazing plugin that will continue to capture lost payments long until the gateway is no longer able to process them.

configurations for payment failures

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

If you look through the list of automatic emails, there's an option that reads, "Send Failed Transaction Notice". Just check the box to activate the option.

When enabled, this feature will be able to send an email anyone whose payments have failed.

The default message is displayed from the beginning, but you can edit the text however you'd would like. For example, you might include a hyperlink to the account of the user so they can easily and quickly change their account information.

Recovery of failed payments using Stripe

If you use this Stripe payments gateway you can configure the possibility of establishing a custom retry schedule.

To enable this function you must go to the Stripe Dashboard > Settings > Payments > Subscriptions and Emails > Manage failed payment, and set it up so that a user's credit card gets charged at the end of X time.

You can also utilize Stripe's Smart Retries. This awesome feature allows you to determine an optimal time and will attempt to charge the customer's card again at that time.

Recovering failed payments with PayPal

It's not necessary to setup or customize with PayPal-specific payment recovery.

In the event of a failed transaction, PayPal will complete three attempts over 15 days (each attempts five days apart). If all attempts fail after the 15 days, the subscription cancels automatically.

Recovery of failed payments using Authorize.net

When it comes to payment recovery it is the Authorize.net payment gateway is fairly simple (though nevertheless, it's a great option! ).

If you turn on this Automatic Retry feature, a subscriber's account will be in an "pending" condition until the card's update.

The Churn Buster Plugin

And of course, long after your payment gateway has stopped working, Churn Buster is still active in regaining any failed payments that occur. There are even options that will improve the strategic timing and frequency of the retries - resulting in greater success.

Churn Buster's optimized retry schedule is highly effective in helping in recovering failed payment attempts due to things such as daily spending limits, temporary holds, and processing timeouts.

The best part? Churn Buster gives new customers a free 14-day trial.

Final thoughts

Whatever kind of business online you have, failed payments can be a surprise in any moment. Be sure to remain at peace and deal with the issue calmly and professionally.

And remember, prevention really is the most effective treatment. Hope that these tips aid you to handle those unpaid bills like a pro!

Did you have to resolve a late or a late payment? How did you handle it?