MemberStack.io

What is pro-rated & what happens with upgrades?

@DuncanHamra Need some help here and could use some information added to the help docs. I’m trying to make some decisions on how to structure memberships and pricing of some one-time memberships.

Here’s are some specific cases to regarding what I’m trying to understand:

  1. If a customer signs up for a one-time membership (product) at $59 and then decides to upgrade to a monthly recurring membership at $39 then are they granted a prorated credit for the first and second month?

  2. If a customer signs up for a one-time membership (product) at $59 and then decides to upgrade to a yearly recurring membership at $249 then are they granted a prorated credit for that first year?

  3. If a customer signs up for a one-time membership (product) at $59 and then decides to upgrade to a one-time lifetime membership at $649 then are they granted any prorated credit for the new one-time membership?

  4. Is there any situation where there is an automatic refund?

Hi @jmatias,

Currently there are no prorations for members upgrading from a One Time membership to a recurring membership. There are only prorations when a member changes from a recurring membership to another recurring membership.

So for 1-3, they would pay the full membership price on upgrade.

For 4, there are never any automatic refunds. Money will never be moved from your Stripe account back to a member without you initiating a refund.

For future readers that may be interested in how proration works for recurring memberships here is an example.

Say you have two memberships.

  1. Basic $50/mo
  2. Premium $100/mo

If a member initially signs up for Basic and half way through the month they upgrade to Premium, the upgrade will cost $75. The reason for this is because they only used half of their Basic membership. So technically they have $25 in unused time that will be applied to the Premium membership.

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@belltyler Thanks so much for the quick and comprehensive response. That helps a lot! :+1:

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