When a user subscriptions has a payment method with a card that is about to expire does cheddargetter/cheddargateway still try to run the transaction or does it not try and cancel the subscription right away?
I'm asking because I read this recently and was surprised to learn that payments would still go through http://www.braintreepayments.com/blog/credit-cards-arent-like-milk-...
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Support Staff 1 Posted by Marc Guyer on 12 Jan, 2012 02:15 PM
Hi Chris -- Yes, CG auto-cancels a subscription which has an expired payment method as of the bill date of the invoice. In other words, if the customer does not update their card before the next bill, the subscription is canceled. CG provides automated email reminders to subscribers with expiring cards to help with this.
I've seen numbers like Braintree's before. The reason why only 66% of transaction attempts on expired cards fail is because they're supposed to fail. Any processing entity, financial institution, gateway or other service provider may be violating credit card association rules when honoring an expired card. Shifted liability issues are likely in the event of fraudulent transactions on expired cards.
In short, we're not comfortable with doing that. More research needed.
2 Posted by Chris on 12 Jan, 2012 03:01 PM
So what Braintree is doing is wrong? I also read a talk from Recurly recently that stated:
Is Recurly doing it wrong too? In the comments a guy using Braintree states you can change a customers expiration on their system.
Dean closed this discussion on 18 Jan, 2013 04:06 PM.