This article explores how upgrades work, particularly focusing on supported payment platforms like Stripe and Paddle, and the implications of upgrading to a higher plan.

Stripe Billing Upgrades

When using Stripe for subscription billing, the process of upgrading to a higher plan is designed to be seamless. If a user decides to upgrade their subscription, Stripe will typically charge the upgrade amount at the end of the current billing cycle. This means that users can enjoy the benefits of the higher plan immediately, but the additional cost will only be reflected in their next billing statement.

Paddle Billing Upgrades

In contrast, Paddle handles billing upgrades differently. When a user upgrades their subscription through Paddle, they are charged the upgrade amount at the time of the upgrade. This immediate charge ensures that the user is billed for the enhanced service level as soon as they start using it.

Upgrading to a Higher Plan

Upgrading to a higher plan often comes with increased benefits, such as extended limits on usage or access to premium features. For instance, in services that offer AI capabilities, upgrading to a higher plan might increase the AI credits limit and provide access to advanced AI training features. These features can consume credits rapidly, making it essential for users to understand the billing implications. So you will be billed for the upgraded plan, and Stripe will adjust for your previous month's payment.

Understanding Addons Upgrades

When you upgrade an addon, it will be automatically added to your subscription. This means that the upgraded addon will remain part of your subscription upon renewal. If you are using Paddle as your payment processor, the payment for the upgrade will be charged immediately. However, if you are using Stripe, the upgrade will be added to your invoice and the charge will occur in the next billing cycle. You can remove your addon anytime by directly visiting to Billing Page