Failed payments can be frustrating for both you and your subscribers. Loop’s Backup payment method feature helps ensure your subscription revenue keeps flowing, even when a customer’s primary card fails. With this feature, Loop automatically retries the payment on a backup card, significantly improving recovery rates and reducing churn.
What is the backup payment method?
A backup payment method is a secondary card saved to a customer’s profile. When a charge on the primary payment method fails, Loop automatically attempts payment on the backup card (if available).
This logic improves the chances of a successful transaction while reducing the need for manual recovery and communication.
Enabling the backup payment method
Follow these steps to complete the process.
Navigate to Loop Admin > Retain > Payment Recovery > Retry Settings > Backup payment method
You’ll find two settings here:
Enable backup payment option (Master switch): Allows merchants and customers to add backup cards.
Auto-configure backup payment method: If turned on, Loop will auto-assign a backup method for customers who already have more than one saved card. Otherwise, if turned off, the merchant or customer can add backup card manually in subscription.
How backup payments work?
When a payment fails on the primary card:
Scenario | Behavior |
Backup is not enabled or not available | Loop retries only on the primary card as per your retry settings. |
Backup is enabled and available | Loop immediately retries the payment on the backup card only for first attempt. After that, the system reverts to using the primary card for future charges. |
If the backup card also fails, Loop follows your usual dunning and retry logic on the primary card.
Managing payment methods
You and your customers can manage payment methods directly from Loop Admin and the Customer Portal, with similar controls on both sides.
Admin portal
From Loop Admin > Retain > Payment Methods, merchants can:
Add a backup card
If only one card exists: The action prompts to add a new card first and then add it as backupIf multiple card exists: The action prompts to choose a card as backup or add a new card and then add it as backup
Switch a backup card to primary and vice versa
Remove a card as backup (card remains saved for future use)
View card type (primary or backup) and card details
Delete a saved card (only possible if the card is not primary on any other active subscription)
Customer Portal
Customers can access their payment methods from Customer Portal > Payment Details > Manage. They can:
Add a backup card
If only one card exists: The action prompts to add a new card first and then add it as backupIf multiple card exists: The action prompts to choose a card as backup or add a new card and then add it as backup
Switch a backup card to primary and vice versa
Remove a card as backup (card remains saved for future use)
View card type (primary or backup) and card details
Delete a saved card (only possible if the card is not primary on any other active subscription)
Need help?
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If you have any questions or need assistance, feel free to email us at support@loopwork.co or chat with us using the support beacon at the bottom right of your screen.
Regards,
Loop Subscriptions Team 🙂