#truuutipz-subscription-cancellation
heavy sentinel
tired dune
Hi there!
old cave
Hello @tired dune
tired dune
Do you know if customers are billed at the beginning or end of the month in your case? Do you use usage-based billing?
old cave
it varies. it depends what day they subscribed
how do I know if usage-based billing is enabled? We do create_prorations everytime a customer updates their subscription and I think create_prorations is set to true by default for Create Subscription on Stripe. is that right?
tired dune
Do you track customer usage and then report that to Stripe in order to charge x amount for y used at the end of the month?
old cave
I believe we use usage-based billing
We use create_prorations by default in Create/UPdate Customer Subscription API on Stripe
We also use Stripe Checkout Hosted Page as well. I think that automatically sets to usage-based billing?
tired dune
Got it! I think the order in which you want to do this then is report the customer's usage up until that point in time: https://stripe.com/docs/products-prices/pricing-models#reporting-usage
Then cancel the subscription with invoice_now and prorate as true.
They should receive an email from Stripe if you've enabled the setting to email finalized invoices to customers
old cave
Is it required to report the customer's usage up until when they cancel the subscription? Does just invoking this API, not calculate the prorate amount in their invoice for them?
const deleted = await stripe.subscriptions.del(
subscription.id
subscription.id,
{
invoice_now: true,
prorate: true
}
);
Also, where could I enable on the Stripe Dashboard settings to send an email of their finalized invoices to customers?
tired dune
If you use usage based billing and don't report usage before canceling, their final usage won't be included in the final invoice. you would use proration if you also charge customers a flat fee for the month (on top of their usage)
Here's where you turn on emailing finalized invoices to customers, under "Manage invoices sent to customers": https://dashboard.stripe.com/settings/billing/automatic
brittle meadow
truuutipz-subscription-cancellation
old cave
I see, I think I definitely misunderstood the question you asked. My mistake, we follow Flat Rate actually: https://stripe.com/docs/products-prices/pricing-models#flat-rate
We charge a flat fee when a customer begins one of our subscriptions
brittle meadow
So when you cancel, we'd prorate and give them credit back by default, so no email in that case
old cave
When you mean give credit back by default, do you mean a refund of the remaining amount of the subscription they didn't use?
Also they would get set an invoice via email if they were to cancel their subscription and if invoice_now is true. Is that correct?
old cave
I see, how would they apply their credit to the next subscription they subscribe to or does Stripe API automatically do they if they were to create a new subscription or update their subscription?
brittle meadow
we automatically apply that credit/balance to their next Invoice
old cave
I see, their next invoice regardless of new subscription or updated subscription. Is that right?
brittle meadow
yes
old cave
Thanks. One last question, if we set invoice_now and prorated is true, if they're used the subscription for 15 days and decided to cancel, don't they just get charged the prorated amount of the 15/30 days they've used the subscription?
So for example, if I subscribe to a subscription thats $100/month and I only used 15/30 days of the subscription and decided to cancel, wouldn't I get charged ~$50?
brittle meadow
no you get charged $100. And then you get a $50 credit back when you cancel
old cave
Got it, that's my last question. Thank you so much!