How Stripe treats plan downgrades

Hi. I can't quite work out how Stripe treats plan downgrades. Using Laracasts as an example -

Let's say I sign up on a monthly, $9 plan
Two weeks later, I decide to upgrade to an $86 plan. I understand that Stripe will charge an extra $77 ... less a little bit due to pro-rating out the two weeks
Two weeks later I downgrade again to a monthly $9 plan

What happens now? As best I can tell, I don't get a credit / refund. Instead, I am guessing that I get about 8 months worth of monthly subscription until I am billed again in about 8 months time at the monthly $9 rate. Am I correct?

A bit more - lets say I'm six months in ... I'm still on my my $9 monthly plan but, remember, I had an $86 yearly plan about five months ago so I still have some credit. If I now cancel, do I get a refund? Related to that, on a site like Laracasts, does that mean that I'd need to actually request the refund of the remaining credit?

BTW ... I am on a yearly plan at LC but I have no intention of downgrading. I'm doing some Stripe implementation and I am just using LC as a frame of reference.

Many thanks.

schmidtke182

9 years ago

Level 16

I haven't used stripe yet, but usually, on subscriptions, you can upgrade on anytime. But Canceling or downgrading after the end of the contract.

For example. If you have a yearly plan, you could cancel it or downgrate, but it will take effect after the year has passed.

Edit: just saw this on stripe: https://stripe.com/docs/subscriptions/upgrading-downgrading

Still, i would prefer to start with the downgrade After the higher paid period, but allow upgrades on any time.

psmail

9 years ago

Level 5

Thanks for responding. Yeah ... that article suggests that my understanding was correct - that credits are applied to future, updated subscription plan selections until the amount of credit is expired.

Please or to participate in this conversation.