Shopify and payments through their system
When you first sign up with us with your shopify webshop, you may notice that payments to our party for our services are done via their system. Perhaps this raises some question like: *What happens when I cancel/upgrade/downgrade a running subcription?
*Can I still add or remove additional services?
So..enough to be curious about! Luckily Shopify provides some information for companies like us that use their system for these payments when it comes to our shopify webshop members. We will share what we feel may be interesting for our users aswel: Upgrades. When a merchant (for future refferance, this is you) upgrades their plan by moving from a less expensive charge to a more expensive charge, the charge is prorated based on the difference in price and the number of days remaining in the billing cycle.
For example, a merchant begins a 30-day billing cycle on a $5.00 plan, and then upgrades to a $15.00 plan on day 15 of the billing cycle. The merchant would be charged $5.00 + ($15.00 – $5.00) * (15/30) = $10.00 USD.
Downgrades. When a merchant downgrades their plan by moving from a more expensive charge to a less expensive charge, the merchant is automatically offered an application credit based on the difference in price and the number of days remaining in the billing cycle.
This application credit can be used towards any future application purchase on Shopify. For example, a merchant begins a 30-day billing cycle on a $20.00 plan, and then downgrades to a $10.00 plan on day 15 of the billing cycle. The merchant would be offered an application credit for ($20.00 – $10.00) * (15/30) = $5.00 USD.
Note that downgrading gives you credit in return, said credit can be spent in the shopify appstore. It’s simply one of the terms we have to abide to when using their system. Billing cycle.
Merchants are invoiced every 30 days for their Shopify subscription, and they pay in advance for the following 30 days. In this example, the merchant receives their Shopify invoice April 5th. Since April has 30 days, the cycle will terminate at the end May 4th. On May 5th, the merchant will be billed again on June 3rd (because May has 31 days). June’s cycle will start on June 4th.
Oke so..via Shopify you are invoiced every 30 days, this is different from how we do it ourselves and have built our system. The quarterly payment period therefor isn’t available to TrustProfile users with a Shopify shop.
So all in all it’s safe to assume that payments through Shopify are a well thought out process, still we would be happy to try and answer any qustions concerning it!