@lisaning68
Whenever you checkout somewhere, read the checkout screens carefully as there may be fine print that says a billing agreement, subscription, or automatic payment will be set up. And always check your automatic payments profile after payment is complete to deactivate these if you don't want any future surprise charges:
PayPal will email you after you deactivate a billing agreement, subscription, or automatic payment. You can also check your account at the merchant site to cancel any service you don't want.
Billing agreements can continue indefinitely until you cancel but subscriptions only go up to a certain time duration: week, month, year and have to be renewed.
To give an idea of what billing agreements/subscriptions are:
Recurring payments are becoming more important as more businesses adopt a subscription model, including:
- Television and internet providers
- Gyms for monthly membership fees
- Magazines, newspapers and other media
- Food delivery services
- Home services like lawn care or housecleaning
- Financial services
- Automotive tools
- Non-profit organizations that accept recurring donations
- Monthly software services
Types of recurring billing.
There are several types of recurring billing models:
- Fixed amount subscriptions – an agreed upon subscription price that stays the same each month. Membership dues are a great example of this type of recurring billing.
- Variable amount subscriptions – the amounts for these types of subscriptions could change month to month, like bill payments.
- Preapprovals and reference transactions – examples of this type of recurring billing include online gaming, usage-based charges like Uber, and payments for per-use access to your app store.
Kudos & Solved are greatly appreciated. 🙂
