How Do Refunds and Cancellations Work in Arketa?
Arketa provides clear policies and processes for handling subscription cancellations and refunds. Below is an overview of how these processes work, including key guidelines and common scenarios.
Overview of Arketa’s Refund and Cancellation Policies
Cancellation and Refund Are Separate Actions: Canceling a subscription does not automatically trigger a refund. These are distinct processes that must be handled separately.
No Automatic Refunds: When a membership is canceled, the system does not issue a refund automatically. Refunds must be processed manually through the client’s profile. However, during immediate cancellations, a prompt may appear asking if you want to refund the current billing period.
No Prorated Refunds: Arketa does not offer prorated refunds or credits for partial billing cycles. Customers retain access to their subscription until the end of the current billing period, and no further charges occur after cancellation.
Refunds Cannot Be Reversed: Once a refund is initiated, it cannot be canceled or reversed. If a refund was issued by mistake, you may need to recharge the customer with their consent.
Steps to Cancel a Subscription
Canceling a subscription in Arketa revokes the customer’s access to the pricing option. Depending on the selected option, the cancellation can take effect immediately or at the end of the billing period. However, it does not automatically issue a refund. To cancel a subscription:
Open the client’s membership in your Arketa dashboard.
Click the three dots (more options) next to the membership.
Select “Change cancellation.”
Choose “Immediately” to make the cancellation take effect right away.
How to Process Refunds Manually
If a refund is required, follow these steps to process it manually:
Go to Customers → Clients and open the client’s profile.
Click the Payments tab.
Locate the most recent membership payment and select Refund Payment.
Enter the refund amount, choose the original payment method, add an explanatory note, and confirm the refund.
Canceling a Membership and Issuing a Refund
To cancel a membership, issue a refund, and make the slot available for another client:
Cancel the subscription:
Navigate to Customers → Clients → open the canceling client’s profile.
Open their active subscription.
Click "Cancel subscription" and choose "Immediately."
If prompted, select "Yes" to refund the current billing period.
Process a manual refund (if no prompt appears):
Open the client’s profile and go to the Payments tab.
Locate the most recent membership payment and click "Refund Payment."
Enter the refund amount, choose the original payment method, add a note for context, and confirm.
Free the slot for a new client:
Once the membership is canceled, the slot becomes available immediately. Use your normal signup flow to sell a new membership to the next client.
Tip: If the situation is temporary, consider pausing the membership instead of canceling it to preserve the client’s spot while pausing charges.
Common Scenarios and FAQs
Stopping Automatic Payments
For Clients/Students
To stop future auto-billing:
Log in to the booking site you used to sign up.
Open your profile and navigate to the Account section.
Go to Active Packages.
Find the subscription you want to stop and click "Cancel," then confirm.
For Instructors/Business Owners
To stop automatic payments for a client:
Open the client’s profile in your Arketa dashboard.
Navigate to Packages or Subscriptions and select the active package.
Open the package details and choose "Cancel Subscription."
Select when the cancellation should take effect and confirm.
Why Was I Charged If I Intended to Cancel?
Charges occur when a subscription remains active on the renewal date. To avoid charges, ensure the subscription is canceled before the charge date. Refunds are not issued for subscriptions that were active at the time of billing, in accordance with Arketa’s refund policy.
Can I Get a Refund After Canceling Mid-Billing Cycle?
No, Arketa does not provide prorated refunds or credits for partial billing cycles. You will retain access to the subscription until the end of the current billing period.
Can I Cancel a Refund After It Has Been Initiated?
No, refunds cannot be canceled or reversed once initiated. If a refund was issued in error, allow it to complete and recharge the customer with their consent if necessary. By understanding these policies and following the outlined steps, you can effectively manage cancellations and refunds in Arketa.
Managing Client Payment Methods
To cancel a client’s membership and remove their saved payment cards:
Resume payment collection on the client’s bundle, then immediately set the bundle to "Cancel."
Open the client’s payment methods in their profile.
Click the three dots next to each saved card and select the trash can icon to delete it.
Repeat for all cards on file.