PayerMax Manage Subscription Plans

1. Interaction Process

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sequenceDiagram
    participant User as User
    participant MServer as Merchant Server
    participant PM as PayerMax

    %% Initial Payment Logic Box
    rect rgb(235, 245, 255)
        Note over User, PM: Initial Payment
        User->>MServer: 1. User selects payment method
        MServer->>PM: 2. User initiates payment and binding request
(via API)
        PM-->>MServer: 3. PayerMax returns
payment and binding success info
        MServer-->>User: 4. Notify user of successful payment
and completed binding
    end

    %% Subsequent Payment Logic Box
    rect rgb(235, 245, 255)
        Note over User, PM: Subsequent Payment
        MServer->>PM: 1. Merchant requests deduction from PayerMax
        PM-->>MServer: 2. PayerMax completes payment and
returns payment success info
        MServer-->>User: 3. Notify user of successful payment
    end

2. Subscription Plan Rules

PayerMax Subscription Plan service provides merchants with a flexible periodic payment deduction solution. It supports various subscription models to meet the needs of different business scenarios.

2.1 Supported Subscription Types

• Standard Subscription: An automatic payment deduction service at fixed intervals.

• Trial Subscription: Services that offer free or low-cost trial periods before transitioning to paid subscriptions.

• Promotional Period Subscription: A service where the initial periods are offered at a discounted price.

2.2 Service Limitation Descriptions

Special Reminder:

The total duration of a single subscription plan managed by PayerMax must not exceed 3 years.

Subscription plans must be activated within the specified time frame. The specific requirements are as follows:

1. The subscription plan must be activated within 24 hours of its creation;

2. Subscription plans not activated within the specified time will be marked by the system as Expired - Not Activated, and PayerMax will send an expiration notification to the merchant.

2.3 Payment Deduction and Notification Rules

2.3.1 Payment Deduction Result Notification Rules

Deduction Result	Notification Timing	Description
Payment Success	Immediate Notification	Upon successful payment, the system immediately sends a notification to the merchant.
Payment Failure	Delayed Notification	A notification is sent to the merchant only after the final deduction attempt for that period has failed.

2.3.2 Payment Failure Retry Mechanism

When a payment deduction fails, PayerMax automatically executes a retry mechanism:

• The system will not send failure notifications to the merchant during the retry period to avoid frequent notifications impacting the merchant's system.

• The retry strategy is executed automatically based on the merchant's configured deduction strategy (default strategy / early payment strategy / grace period strategy).

• A final failure notification is sent only after all retry attempts have failed.

2.4 Payment Failure Handling Strategies

2.4.1 Default Handling Strategy

Strategy Description:

After the subscription is activated, subsequent payments are automatically initiated by the PayerMax system. If a deduction fails, PayerMax will perform retry attempts. If the deduction still fails after retries, the subscription plan will be terminated.

2.4.2 Non-Termination on Payment Failure Strategy

Strategy Description:

If the final retry attempt for a period fails, the subscription plan does not terminate. The subscription status remains active. Payment for that period cannot continue, but when the next period begins, the system will initiate payments normally.

Configuration Method:

This strategy requires configuration by contacting the PayerMax technical support team. The configuration takes effect at the merchant account level. Once configured, it applies immediately to all subscription plans under that merchant account.

2.5 Payment Timing Strategies

Special Reminder:

If the merchant does not contact PayerMax technical support to configure a grace period deduction strategy, PayerMax will execute the default deduction strategy.

2.5.1 Default Payment Strategy

Execution Process:

1. The system generates the next period's payment invoice 1 day in advance.

2. The payment deduction is initiated immediately after the invoice is generated.

3. PayerMax will retry automatically after a deduction failure.

4. If all retry attempts are unsuccessful, relevant measures will be adopted per the deduction failure rules, including subscription termination or non-termination.

2.5.2 Grace Period Payment Strategy

Strategy Description:

The grace period payment strategy refers to the system continuing to attempt payment during a grace period after a normal payment failure. This provides users with an additional payment window, preventing immediate subscription termination due to short-term financial issues.

Configuration Method:

Contact the PayerMax technical support team for configuration.

• Configuration Level: Applied at the merchant account level.
• Effective Timing: Takes effect when generating the next period's payment invoice after configuration is complete.

Execution Process:

1. The system generates the payment invoice and initiates the deduction 1 day in advance.

2. PayerMax will retry automatically after a deduction failure.

3. If all retries fail, the subscription will enter a grace period.

4. If the deduction still fails on the last day of the grace period, it shall be handled in accordance with the payment failure processing policy (subscription termination or non-termination).

Grace Period Deduction Date Rules:

Subscription Period Type	Period Count Range	Deductible Dates in Grace Period
periodUnit=Day(D)	1 ≤ periodCount < 7	Day 1
	7 ≤ periodCount < 30	Days 1, 2, 5
	30 ≤ periodCount < 90	Days 1, 2, 5, 7, 10
	periodCount ≥ 90	Days 1, 2, 5, 7, 10, 15
periodUnit=Week(W)	1 ≤ periodCount < 4	Days 1, 2, 5
	4 ≤ periodCount < 12	Days 1, 2, 5, 7, 10
	periodCount ≥ 12	Days 1, 2, 5, 7, 10, 15
periodUnit=Month(M)	1 ≤ periodCount < 3	Days 1, 2, 5, 7, 10
	periodCount ≥ 3	Days 1, 2, 5, 7, 10, 15
periodUnit=Year(Y)	1 ≤ periodCount ≤ 3	Days 1, 2, 5, 7, 10, 15

Examples:

• Example 1: Subscription period is every 7 days, with a 5-day grace period.

  • After normal payment failure, the system performs 1 deduction attempt on Day 1, Day 2, and Day 5 after the period starts.
  • If any deduction is successful during this time, subsequent attempts are stopped.
  • If all grace period deductions fail, the payment failure handling strategy is executed.

• Example 2: Subscription period is every 3 months, with a 15-day grace period.

  • After normal payment failure, the system performs 1 deduction attempt on Day 1, Day 2, Day 5, Day 7, Day 10, and Day 15 after the period starts.
  • If any deduction is successful during this time, subsequent attempts are stopped.
  • If all grace period deductions fail, the payment failure handling strategy is executed.

2.6 Strategy Configuration Instructions

2.6.1 Configuration Level

All payment strategy configurations are applied at the merchant account level. Once configured, they take effect for subscription plans under that merchant account.

2.6.2 Configuration Effective Timing

Strategy Type	Effective Timing
Payment Failure Handling Strategy	Takes effect immediately for all subscription plans after configuration.
Grace Period Payment Strategy	Takes effect when generating the next period's payment invoice after configuration is complete.

3. Subscription Plan Status

Status Value	Status Description	Remarks
INACTIVE	Inactive	After creating a subscription plan, the status is Inactive
ACTIVE_FAILED	Activation Failed	Status after failed activation
ACTIVE	Effective	Status after successful activation
TER MINATE	Subscription Termination	If a payment for a certain period fails, the subscription plan will be terminated
CANCEL	Subscription Cancellation	Actively cancel the subscription plan
FINISH	Subscription Completion	All subscription periods have been deducted
EXPIRED	Expired and Not Activated	The subscription plan has not been activated after the first payment period has started

4. Subscription Deduction Status

Status Value	Status Description
PENDING	Debit in Progress
SUCCESS	Debit Successful
FAILED	Debit Failed