What is dunning? How businesses recover failed recurring payments
By SendPay Business · · 2 min read
- 1Set up the plan once
- 2It renews on the same day each month
- 3Payments arrive without chasing
Dunning is the process of chasing payments that have failed or are overdue, especially for subscriptions. Done well, it recovers money from customers who still want the service but whose card simply failed.
Why recurring payments fail
Common reasons include expired or replaced cards, not enough balance on the day, and fraud checks at the card issuer. Customers who leave because of a failed payment, not because they chose to, are often called involuntary churn.
How a dunning process works
- The payment fails and the system records the reason.
- It retries the payment after a few days, when funds may be available.
- The customer gets a friendly email or message with a link to update their card.
- If payment still fails, access is paused or the subscription ends after a final notice.
Try it
Name your platform and watch it come to life
Type a name, tap a colour and pick what it does. The phone changes as you go.
Colour
What it does
Design and preview your whole platform free, then launch when you are ready.
Keeping it customer-friendly
Clear, polite messages work better than threatening ones. Say what failed, how to fix it in one click, and when access will change, and avoid charging late fees on a first failure.
Where SendPay fits
SendPay platforms include subscriptions, invoicing and payment links under your own brand, powered by licensed partners. SendPay tells you in writing which licences apply to your platform before you launch.
How it works
Your own money app- 1Name it and pick your colours
- 2Choose what it does
- 3Launch when you are ready
Why sign up
Create your free SendPay account
It's all about creating your own financial platform with ease. Start with a free account today.
- 🪪A free business accountOpen it in about a minute with your business name, email, password and mobile. No card and no documents to start.
- 💳Get paid from day oneTake card payments, and share your own payment link and invoices so customers pay in a click.
- 🌐A free business websiteFree to build, free to publish and free to keep, with unlimited visits.
- 🚀Your own financial platformDesign and preview your whole platform free, then launch when you are ready.
SendPay Business is a technology company, not a bank. Accounts, cards and payments are powered by licensed partners.
Questions people ask
What do failed subscription payments cost me?
Work out what failed renewals cost a month and a year, and what winning more back is worth.
Failed subscription payment calculator →How do I chase an unpaid invoice?
Four polite reminder emails, filled in with your details.
Payment reminder templates →Read next
Spotted a mistake or something out of date? and we'll fix it. How our guides are made
This guide is general information, not legal or financial advice. SendPay Business is a technology company, not a bank, and does not take deposits; regulated services on the platforms are provided by licensed partners. Other companies named in this guide are reference points only and are not affiliated with SendPay Business.