Using Paypal for monthly payments

13 replies
I have a customer who will be paying me a monthly hosting fee and I'd like to charge him through Paypal. But I want it to be automatic re-occurring invoices. I can't figure out how to manually set someone up to get invoiced every month through Paypal.


Can this be done?


Mike
#monthly #payments #paypal
  • Profile picture of the author dvduval
    Just curious... have you tried Googling that?
    Let me google that for you
    I have 100s that pay me this way every month. Subscriptions are a beautiful thing!
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    • Profile picture of the author 512 Designs
      Originally Posted by dvduval View Post

      Just curious... have you tried Googling that?
      Let me google that for you
      I have 100s that pay me this way every month. Subscriptions are a beautiful thing!


      Yes, I did try Googling it and I know that I can make a "Subscription" button to put on a website. But I just want to send a Paypal invoice each month, or have my Paypal account automatically deduct the monthly fee from his Paypal account each month.


      I was hoping I could set something up within the Paypal website on my end that would automatically send him an invoice or set up a re-occurring payment each month without having to deal with buttons and such.
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  • Profile picture of the author celente
    if you are not doing recurring, you are losing out!!, because with recurring no matter where you are beach, movies, out and about, you get paid.

    Its a great system to be involved with.
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  • Profile picture of the author IMLab
    Originally Posted by 512 Designs View Post

    I have a customer who will be paying me a monthly hosting fee and I'd like to charge him through Paypal. But I want it to be automatic re-occurring invoices. I can't figure out how to manually set someone up to get invoiced every month through Paypal.
    Paypal has a feature ready for that. Simply create a button and define its type as subscription button. More information are also available at the PayPal help pages.

    Wish you all the best!
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  • Profile picture of the author yakim1
    A PayPal invoice does require the customer to send any money. A PayPal invoice does NOT automatically deduct any money. If you look at the way other hosting companies work, they set up some kind of recurring charges that are automatically taken out of your credit card, bank or PayPal account.

    Do NOT depend on PayPal invoices to get paid. I believe the best use for PayPal invoices is to tell a customer that he has X amount of days to reactivate his/her automatic payments because their payment failed for some reason.

    If payment is not received then their service will be suspended.

    To me an invoice is just a reminder that you owe money to some one. Not a reliable way to collect money.

    Best regards,
    Steve Yakim
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  • Profile picture of the author Sid Hale
    Originally Posted by 512 Designs View Post

    I have a customer who will be paying me a monthly hosting fee and I'd like to charge him through Paypal. But I want it to be automatic re-occurring invoices. I can't figure out how to manually set someone up to get invoiced every month through Paypal.
    I know that I can make a "Subscription" button to put on a website. But I just want to send a Paypal invoice each month, or have my Paypal account automatically deduct the monthly fee from his Paypal account each month.
    So which is it? You want it to be automatic - or you want to send them an invoice each month?

    You can send them an invoice via email, but there's nothing automatic (nor recurring) about that. It's a one-time charge and there is no requirement for the customer to honor that invoice w/ an automatic deduction from their account. You would then have to send them another invoice each month.

    You can set them up for a "Subscription" or for "Pre-approved" payments, but in either case you need to set up a "button" with the necessary details of 1) the amount, 2) the frequency of payment, 3) who's to be paid (i.e. your paypal email), etc.

    A Paypal "button" is really a hidden form and the "buy" button is really a form submit button.

    With either the Subscription button or a Pre-approved payment request, the form mentioned above is submitted and the customer is taken to Paypal where he/she approves the arrangement. Surely you understand the necessity of that step.

    Of these 2 "automatic" options, the subscription requires the least effort on your part, as the monthly transfer of funds from their account into your Paypal account is automatic. With pre-approved payments, you are still required to request the funds transfer every month... you just don't have to wait for the customer to approve the charge each time.

    With either of these 2 options, the "button" only has to be created one time so that the user can accept the billing agreement.
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    • Profile picture of the author 512 Designs
      Thanks everyone.


      It looks like it will be best to set up a button on a webpage specifically made for my services.


      With all of your explanations, I decided I would rather have the payments being sent to me each month automatically and not have to worry about sending invoices and hoping to get paid.


      Thanks again. I appreciate it.


      Mike
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  • Profile picture of the author Jouvan Johnson
    Set up the subscription button in paypal and where it give you the button code just click on the tab that says email and you can just email the client a link. I use this instead of putting a button on a web page
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  • Profile picture of the author TrafficMystic
    you could always do it the easy way and use a cart like clickbank or jvzoo.

    That way you just add in your product, set the re-occurring and your good to go.
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  • Profile picture of the author rCaliente
    I have set up monthly and annual plans. Monthly is not such a problem. They budget for it and it doesn't come as a surprise. The annual charges can be significant and a surprise. That's why I set up a list they are put on automatically. It thanks them for buying and sends them a reminder that their annual fee will be due one month and weekly before the new payment will process.

    I've had one customer stop the sub, then restart the next month (skipping a month) and three thank me for the reminders. So far none have dropped it completely.
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  • Profile picture of the author jaycrop
    I know this is the "opposite" question - but is there a way to setup PayPal to make monthly payments to a subscription service ?
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  • Profile picture of the author Vallery
    Yes, paypal recurring billing, I think you need a paypal business account.

    If you mean it is your own business, then 100% paypal business account can do this for you.

    Be advised, paypal will ban your account until you provide valid business credentials if you go that way.

    Please thank me if this post was helpful.
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  • Profile picture of the author jaycrop
    Thanks Vallery - I'll check that out - great advice - I'll setup a business account!
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