> For the complete documentation index, see [llms.txt](https://docs.podplay.app/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.podplay.app/memberships/managing-memberships/grace-hold-periods.md).

# Grace / Hold Periods

### Overview

When a monthly Membership charge fails, the Customer can temporarily lose access to Membership benefits until payment is recovered. The system handles most of the recovery automatically, moving the Membership through a `GRACE` period and then a `HOLD` period.

**Once a Membership subscription fails:**

1. The Membership will move into a `GRACE` and then `HOLD` period
2. The Customer receives an email asking them to update their payment method
3. The Customer is blocked from booking Reservations or joining Events while payment remains unresolved

In the Customer page of the Dashboard, these Members will be in an `At Risk` status.

<figure><img src="/files/PzEw9wjnEFOpSk3yyN2d" alt=""><figcaption></figcaption></figure>

### Failed-payment flow

When a Customer's charge for their Membership fails, a few things happen in sequence.

#### The Customer immediately receives an email.

The email says "your membership charge has failed, to resubscribe click here." **This email is sent only one time, when the failed charge first happens**.

If you notice a Membership charge has failed, you can ask the Customer to click on this email and complete the charge. If the Customer completes the charge through this email, the Membership is reinstated and the Customer keeps their Membership active.

Here is a drafted email asking the Customer to address the failed subscription.

> Hi \[First name],
>
> We tried to process your Membership charge and it didn't go through. Your Membership is still active, and if payment isn't recovered, you'll lose access to Membership perks until it's resolved.
>
> To fix it,
>
> 1. Look for the email from us titled "**Please Update Your Payment Details**"
> 2. Click the "Update Payment" button inside the email
> 3. Tap the button to update your card on file now that you're inside the App
>
> If your bank requires authentication, you'll be prompted for it right there, either with a push notification, email, or text message from your bank, which triggers an immediate charge and confirms your new card in the same step.
>
> This is the fastest way to clear it.
>
> Once resolved, your Membership continues without interruption!
>
> If you have questions or run into any trouble with the update flow, reply here and we'll take care of it.
>
> Best,

#### The Membership enters a Grace Period (default lasts 15 days).

During the `Grace` period, **the system retries the charge every other day**.

The Customer still has their Membership perks, like an advanced Booking Horizon.

* If the Customer tries to book anything during the Grace Period, they will receive a prompt to add a new credit card and then can complete their booking.
* If a Customer adds a new credit card, they will be charged for their previously missed Membership payment. If that charge succeeds, their original anniversary date is retained.

**This Grace Period lasts 15 days**. If you want to shorten it, it is edited inside the Company Settings page of the Dashboard.

#### After the Grace Period is a Hold Period (lasting 30 days).

During the `Hold` period, **the system retries the charge once every 3 days, for up to 10 attempts (default setting, and it can be adjusted by a PodPlay Admin if desired)**.

The Customer loses their Membership perks at the start of the Hold Period but retains their Membership flag.

* If the Customer tries to book anything during the Hold Period, they will receive a prompt to add a new credit card and then can complete their booking.
* If a Customer adds a new credit card, they will be charged for their previously missed Membership payment. If that charge succeeds, this new date of payment becomes the new anniversary date.
* If the Customer does not update their credit card, they lose their Membership status and perks, become a Non-member, and receive another email saying their Membership has been canceled.

When they next try to book, the system prompts them to enter a card. The system will not prompt them to buy a Membership again.

**This Hold Period lasts 30 days** (10 charges, with 1 charge every 3 days).

#### ACH recurring Membership behavior

For recurring Memberships paid by ACH:

* A successful ACH charge can remain in a `Pending` flag state for multiple days.
* During this period, the next Membership charge date is not advanced yet.
* PodPlay finalizes the result automatically after settlement completes.

#### Immediate recovery after ACH failure

When PodPlay detects an ACH failure, it immediately tries to recover the same Membership charge with any card on file.

* If card recovery succeeds, the Membership billing cycle is finalized, charge dates are updated, and no action is needed.
* If card recovery fails, the Membership remains in failed-payment handling (the Grace/Hold flow above).
* If no usable card is on file, the Customer is prompted to add one during their next App flow, and the missed Membership charge is retried automatically during that next booking attempt.

#### Adjusting Grace and Hold Period settings

The Grace Period length, the Hold Period length, and the number of Hold Period retry attempts are all configurable. To change any of them, you need the Owner role and can make changes in the Company Settings page of the Dashboard.

<figure><img src="/files/3SEflqcFgdNPut1dGrC8" alt=""><figcaption></figcaption></figure>


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