In any subscription-based business, payment failures and refund requests are common. Knowing how to manage them effectively, especially partial refunds, ensures a smooth customer experience and preserves long-term relationships.
Wondering why a payment didn’t go through? The image below highlights the top reasons behind failed transactions.
When a payment fails for any of these reasons, Recurpay automatically pauses the customer’s subscription. The customer is promptly notified via email, which contains a secure link to update their payment information. Once the credit card details are successfully updated, the system processes the charge, and once the payment is successful, the subscription renews seamlessly, without affecting the subscription history or billing cycle.
Full vs. Partial Refunds: What’s the Difference?
A full refund is issued when the customer receives the entire amount they were originally charged, typically in situations where they cancel shortly after billing or when a billing error occurs.
In contrast, a partial refund returns only a portion of the original payment. This option is commonly used for scenarios like mid-cycle cancellations or goodwill gestures to maintain customer satisfaction without ending the subscription entirely.
How to Handle Subscription Full Refunds or Partial Refunds - The process of refunds isn’t managed by Recurpay. Instead, merchants are set to initiate all refunds, whether full or partial, within the Shopify admin dashboard.
Go to the Orders section in your Shopify dashboard.
Select the relevant order and click Refund.
Enter the refund amount (either full or partial).
Shopify will process the refund and credit the customer’s original payment method.
A confirmation email will be sent to the customer automatically.
Wrapping It Up: Smooth Sailing with Recurpay 🚀
With the steps above, Recurpay helps merchants easily manage failed payments and confidently handle both full and partial refunds. By understanding the causes of payment issues and managing refunds through Shopify, you protect your revenue and build stronger customer relationships.
Because subscription success isn’t just about collecting payments, it’s about keeping the experience smooth, flexible, and customer-friendly. Stay in control, keep customers happy, and let Recurpay do the heavy lifting 💪.