What Can Be Updated in a Subscription
You can update following parameters of a Subscription that isactive:
-
Planlinked to the Subscription. -
Quantity, that is the number of times the amount should be charged to the customer per billing cycle. For example, this would be the number of users for a software product. -
Subscription Start Datefor the updated Subscription details. This can either be immediate or any future date. You can choose to update a Subscription: -
Total count, that is the number of billing cycles. This determines the duration of the Subscription. -
Offer, this is the offer linked to the Subscription.
Update Subscriptions Immediately
When you update a Subscription immediately, you may have to perform the following: If the remaining amount for the original Subscription is the same as the amount to be charged for the updated Subscription, no charge or refund needs to be done.Handy Tips
- If you are updating a Subscription, ensure that the prorated amount difference between the existing and new plans is at least 50 currency subunits, that is, 0.5. You will get an error if the amount difference between the two plans is less than 0.5.
- This is valid only when you update a Subscription immediately.
Charge a Customer Extra
When upgrading a plan or increasing the number of users, you may have to charge a customer an extra amount. In such scenarios, Razorpay creates an invoice and charges the customer the difference amount.- If the charge is successful, the invoice is sent to the customer only if Razorpay handles the customer’s notifications. You will be notified via the
subscription.updatedwebhook. - If the charge fails, the Subscription is not updated.
Refund Money to a Customer
When downgrading a plan or reducing the number of users, you might have to give the customer a refund. In such scenarios, Razorpay refunds the amount to the customer. You will be notified about this via thesubscription.updated webhook.
Credit Note
A refund to a customer is done using a Credit Note. Credit notes help you in reconciliation.- Credit notes are not created against invoices. They are created against the total value of payments made by the customer. This means that only one credit note is created even if refunds have to be made against multiple invoices.
- You can view credit notes on the Dashboard against the respective Subscription.
- The credit notes are refunded automatically.
created: The initial state of a credit note. A credit note stays in this state until a full refund is made to the customer.refunded: The final state of a refund. A credit note moves to this state once the refund is successfully processed.
Same Billing Frequency Example
In the below examples, the Subscription is updated immediately, and there is no change in its billing cycle.Example 1
In the below example, we reduce theplan amount but increase the quantity. This change is done on the 1st day the Subscription becomes active. The updates take effect immediately.
Subscription Details | Original Plan | Updated Plan
Plan amount | 300 | 150
Quantity | 1 | 2
Billing Frequency | Monthly | Monthly
Frequency at which the amount should be charged in days | 30 | 30
Plan amount per day | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 10 | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 10
Plan change day | 1 | N/A
Days to be charged | Plan change day - 1 = 0 days (since customers are charged at the end of the day) | Remaining days (original plan) = 30
Remaining days | Frequency at which the amount should be charged in days - Days to be charged = 30 | N/A
Amount to be charged | Plan amount per day x Days to be charged = 0 | Plan amount per day x Days to be charged = 300
Remaining amount | Plan amount per day x Remaining days = 300 | N/A
Amount to be charged/refunded | N/A | Amount to be charged (new plan) - Remaining Amount (original plan) = 0 In this example, you neither have to charge the customer an extra amount nor give them a refund.Example 2
In the below example, we reduce theplan amount but increase the quantity. This change is done on the 15th day after the Subscription becomes active. The updates take effect immediately.
Subscription Details | Original Plan | Updated Plan
Plan amount | 300 | 150
Quantity | 1 | 2
Billing Frequency | Monthly | Monthly
Frequency at which the amount should be charged in days | 30 | 30
Plan amount per day | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 10 | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 10
Plan change day | 15 | N/A
Days to be charged | Plan change day - 1 = 14 days (since customers are charged at the end of the day) | Remaining days (original plan) = 16
Remaining days | Frequency at which the amount should be charged in days - Days to be charged = 16 | N/A
Amount to be charged | Plan amount per day x Days to be charged = 140 | Plan amount per day x Days to be charged = 160
Remaining amount | Plan amount per day x Remaining days = 160 | N/A
Amount to be charged/refunded | N/A | Amount to be charged (new plan) - Remaining Amount (original plan) = 0 In this example, you neither have to charge the customer an extra amount nor give them a refund.Example 3
In the below example, we reduce theplan amount and the quantity. This change is done on the 6th day after the Subscription becomes active. The updates take effect immediately.
Subscription Details | Original Plan | Updated Plan
Plan amount | 1000 | 400
Quantity | 2 | 1
BillingFrequency | Daily | Daily
Frequency at which the amount should be charged in days | 8 | 8
Plan amount per day | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 250 | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 50
Plan change day | 6 | N/A
Days to be charged | Plan change day -1 = 5 days (since customers are charged at the end of the day) | Remaining days (original plan) = 3
Remaining days | Frequency at which the amount should be charged in days - Days to be charged = 3 | N/A
Amount to be charged | Plan amount per day x Days to be charged = 1250 | Plan amount per day x Days to be charged = 150
Remaining amount | Plan amount per day x Remaining days = 750 | N/A
Amount to be charged/refunded | N/A | Amount to be charged (new plan) - Remaining Amount (original plan) = -600(refund) In this example, you have to refund the customer 600.Different Billing Frequency Example
In the below examples, the Subscription is updated immediately, and there is a change in the billing cycle.Example 1
In the below example, we are increasing theplan amount, keeping the quantity same and reducing the billing frequency. This change is done on the 1st day the Subscription becomes active. The updates take effect immediately.
Subscription Details | Original Plan | Updated Plan
Plan amount | 350 | 350
Quantity | 1 | 1
Billing Frequency | Daily | Weekly
Frequency at which the amount should be charged in days | 7 | 1
Plan amount per day | (Plan amount x Quantity)/Frequency at which the amount should be charged in days = 50 | N/A
Plan change day | 1 | N/A
Days to be charged | Plan change day -1 = 0 days (since customers are charged at the end of the day) | N/A
Remaining days | Frequency at which the amount should be charged in days - Days to be charged = 7 | N/A
Amount to be charged | Plan amount per day x Days to be charged = 0 | Plan amount x Quantity = 350
Remaining amount | Plan amount per day x Remaining days = 350 | N/A
Amount to be charged/refunded | N/A | Amount to be charged (new plan) - Remaining Amount (original plan) = 0 In this example, you neither have to charge the customer an extra amount nor give them a refund.Example 2
In the below example, we are increasing theplan amount, keeping the quantity same and reducing the billing frequency. This change is done on the 245th day the Subscription becomes active. The updates take effect immediately.
Example 3
In the below example, let us increase theplan amount, quantity and the billing frequency. This change is done on the 27th day the Subscription becomes active. The updates take effect immediately.
Update Subscription at the End of the Current Billing Cycle
When you update a Subscription at the end of the current billing cycle, there is no need for any amount adjustment with the customer. The Subscription is updated with the new values when the current billing cycle ends.Update a Subscription From Dashboard
To update a Subscription:1
Step 1
Log in to the Dashboard and click Subscriptions under PAYMENT PRODUCTS in the left menu.
2
Step 2
Click the Subscription Id you want to update. The details of the Subscription appear in the right pane. You can update the Notify flag from this tab. If enabled, notifications are sent to the customers. If disabled, you need to update the customer.
3
Step 3
Click Update to update any of the following parameters:
- Plan
- Quantity
- Subscription Start Date
- Total count
- Apply changes
- Offer applied on the Subscription
4
Step 4
Select Immediately or End of Cycle to update the offer immediately or at the end of the current billing cycle.
Handy TipsThe new offer will be linked to the Subscription only at the end of the cycle. It is not possible to update an offer linked to a Subscription immediately.
- Click Next. Review the changes are made and click Update.