Why is my invoice marked 'Paid' if the GoCardless payment failed?

This article applies to invoices paid via Direct Debit (GoCardless).

An invoice is marked 'Paid' in White Fuse as soon as we successfully send the payment instruction to GoCardless. This status simply means the instruction was sent correctly.

The actual collection of funds is handled by GoCardless. If they are unable to collect the money, they will mark the payment as 'Failed' in their system only.  

The Payment Workflow

1. Instruction: When a member's subscription or renewal is due, White Fuse generates an invoice. It then verifies a valid Direct Debit mandate exists before sending a 'collect payment' instruction to GoCardless.
2. White Fuse 'Paid' Status: Once that instruction is successfully sent, White Fuse marks the invoice 'Paid'. This ends White Fuse's part in this transaction.
3. GoCardless Collection & Failure: GoCardless then attempts to collect the funds from the member's bank. If this fails (e.g., insufficient funds), GoCardless will mark the payment as 'Failed' and notify you directly by email. This failure is not automatically reflected in White Fuse.

What to do when a payment fails

You will need to manage all failed payments from your GoCardless dashboard.

1. Review the failure: The email notification from GoCardless will explain the reason. You can also see this information by logging into your GoCardless dashboard.
2. Retry the payment: You can usually retry the payment from within the GoCardless interface.
3. Contact your member: If the payment fails again, contact the member directly. Give them the failure reason from GoCardless so they can fix the issue.
4. Update White Fuse (if needed): If the payment has permanently failed, find the relevant invoice in White Fuse and remove the payment record. This reverts the invoice status to 'Unpaid'.

Key Responsibilities

• White Fuse: Generates invoices and sends payment instructions.
• GoCardless: Manages mandates, collects funds, and notifies you of failures.