During the subscription term, a customer may decide to discontinue their subscription to your company's services. This customer might want to cancel their subscription effective immediately, on a specific date, or at the end of the current term. To stop billing a customer account, you can either create an amendment to remove the applicable products from the subscription, or you can cancel the subscription entirely.
When cancelling a subscription, it is important to choose the correct cancellation effective date to avoid any undesired credits being issued back to the customer or additional charges being billed to the customer beyond the cancellation date.
You can also set the cancellation effective date to be before a renewal term or before the last invoice date. For more information, see Amend or Cancel a Subscription Before the Renewal Term and Amend or Cancel a Subscription Before the Last Invoice Date.
The cancellation effective dates available are End of Current Term, Enter a Date (specify a date), and End of Last Invoice Period.
If you select End of Current Term, customer billing continues through the end of current term for the applicable subscription. For example, a subscription with a term start date of 1/1/2010 and an initial term of 60 months would have a term end date of 12/31/2014. Cancelling using the end of term in this example will result in the subscription continuing to bill through 12/31/2014. For the cancellation effective date End of Current Term, Zuora Billing automatically populates the cancellation date field with the date the current term ends.
If you select Enter a Date and specify a date, customer billing will be discontinued on the cancellation date entered. Check the service period on the last invoice posted for the applicable customer account prior to setting the cancellation date. This is to avoid undesired credits back to the customer or additional charges billed to the customer beyond the cancellation date. For example, if you've billed through a certain period (for example, the service period on the invoice is from 1/1/2010-12/31/2010), and the subscription is cancelled midway through that service period on 6/1/2010 (using cancel effective date), Zuora Billing will issue a credit back to the customer on the next invoice for the period of 6/1/2010-12/31/2010.
If you select End of Last Invoice Period, customer billing is discontinued as of the day after the last invoiced service period. For the cancel effective date End of Last Invoice Period, Zuora Billing automatically populates the cancellation date field with that date.
You can cancel active subscriptions (subscriptions with the
Why cancel a subscription instead of deleting it? Cancelling a subscription preserves the historical data. Additionally, Zuora allows you to delete a subscription only if the subscription does not already have a posted invoice associated with it. Once an invoice is posted, it is considered locked and the related subscription is also locked and cannot be deleted.
You cannot delete a subscription if it has amendments, and if an invoicing has occurred. Even if the invoice was a draft and it was deleted, you cannot delete the subscription or amendments.
To cancel a subscription that is currently active:
A customer can notify you of cancellation today ("contract effective date") and have that cancellation take effect at a future date ("cancellation effective date").
Submit a request at Zuora Global Support to enable this feature or service.
You can cancel subscriptions when certain types of future-dated amendments exist on the subscription.
See Future-dated Amendments for more information about supported types of future-dated amendments.