Automatic payments
Automatic payments
Subscriptions
Payments taken automatically from a customer's saved card or bank account on a schedule they agreed to.
What is Automatic payments?
Automatic payments, often called autopay, remove the need for customers to pay each bill by hand. They can come from a saved credit or debit card, a digital wallet or a bank account through a direct debit such as ACH in the US.
Consent matters. Customers must clearly agree to the amount, schedule and how to stop the payments, and many places have rules about how this is disclosed. Sending a reminder before larger or less frequent charges cuts down on surprise charges, disputes and chargebacks.
Example
For example, a customer on a quarterly plan of $90 might get a reminder email 7 days before each charge. The payment then runs automatically on the renewal date with no action needed.
Why Automatic payments Matters
Autopay keeps revenue flowing without friction, as long as customers trust that they will not be surprised.
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