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How cancellation refunds work

When a customer cancels a subscription with a FIXED billing plan, PayPulse calculates a refund based on your configured cancellation policy.
METERED billing plans do not support refunds — usage is billed as consumed and cannot be prorated.

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Refund types

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No refund (none)

Cancellation takes effect immediately. No money is returned.

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Full refund (full)

The customer receives a full refund if they cancel within refund_window_days of the billing period start. After that window, no refund.

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Percentage refund (percentage)

A fixed percentage of the plan amount is refunded, regardless of timing. Example: Plan costs ₦25,000/month, policy is 50% → customer gets ₦12,500 back.

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Prorated refund (prorate)

Refund is proportional to the remaining time in the current billing period. Example: Plan costs ₦25,000/month, customer cancels 10 days into a 30-day period:
  • Remaining ratio: 20/30 = 0.667
  • Refund: ₦25,000 × 0.667 = ₦16,666.67

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Cancellation fees

A cancellation_fee is deducted from the refund amount. This lets you cover administrative costs while still offering partial refunds. Example: Prorated refund ₦16,666.67 with ₦1,000 fee → customer gets ₦15,666.67.

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Setting a default policy

Each project can have one default policy. When a subscription is cancelled and no specific policy is assigned, the default is used. 
curl -X POST https://api.paypulse.cv/api/v1/cancellation-policies \
  -H "Content-Type: application/json" \
  -H "X-Api-Key: pp_test_xxxx" \
  -H "Authorization: Bearer eyJhbGci..." \
  -d '{
    "name": "Standard Refund",
    "refund_type": "prorate",
    "prorate_refund": true,
    "is_default": true
  }'

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Common configurations

Use caserefund_typerefund_window_daysprorate_refundcancellation_fee
No refundsnone———
30-day money backfull30——
50% refundpercentage——0
Prorated with feeprorate—true1000