Zuora Product News: One Simple Method to Combat Credit Card Failures Worldwide

We’ve all been there, that time you lost your credit card and had to hastily order a replacement with expedited shipping. The card arrives, and now you are faced with the daunting task of updating your credit card information across all the apps and websites that you have saved it in.


For a subscription business like yours, a valid credit card is key for automatic recurring payments. Once a customer’s card is lost, expired, or fraudulent, your business can no longer collect payments from that customer. Unfortunately, hundreds of thousands of companies experience this every day. Billings teams and support reps have to reach out to the customer directly and ask for a new credit card number. You can imagine how that might go.

The whole process is cumbersome and time-consuming, and businesses lose money as a result.

We released the Payment Method Updater (PMU) last year to solve this problem. PMU is a service that updates invalid credit card numbers on a regular cadence. That means:

  1. your team doesn’t need to waste hours reaching out to customers for new credit card numbers and
  2. your businesses can take a more proactive approach towards credit card failures by finding invalid credit cards ahead of time.

We’ve had a lot of success with our Payment Method Updater, especially for B2C brands that receive credit card payments at a high volume. From observing our customers, we’ve learned that credit card patterns differ in every region. In Europe, some of our customers prefer to set the Payment Method Updater on a monthly cadence. In the United States, where over 95% of consumers have a credit card, our customers prefer to run PMU much more frequently. Because of the different payment habits around the world, global businesses need to have the flexibility to use PMU differently in each region.

That’s why we’ve recently released the capability to run multiple instances of PMU at once. That means an international company with businesses in North America, APAC, and EMEA can use different PMU rules to ensure the highest success rate of automatic recurring payments in each of their regions. No need to make one rule fit all, now you’ve got added flexibility to combat credit card failures in every region. To learn more about the Payment Method Updater, you can about it on our knowledge center.



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