Cash collection across payment providers

Cash collection is the set of tools Lago uses to get invoices paid: payment retries, dunning reminders, progressive billing on high-usage accounts, and payment-provider integrations. The automated collection steps depend on which provider connection is configured.

Connect Stripe, Adyen or GoCardless, then assign each customer to one provider connection. Lago sends finalized invoices for collection and updates their payment status when the provider reports back. For another processor, your team must build and test the webhook and API integration, including refunds and reconciliation.

A failed payment shows up as invoice.payment_failure, and the invoice can be resent for collection from the UI or the API. Lago also generates a payment URL valid for 24 hours that a customer can use to pay directly, and a successful retry updates the invoice status automatically through the invoice.payment_status_updated event.

Progressive billing invoices a customer automatically once their cumulative usage crosses a threshold, instead of waiting for the billing cycle to end. This limits how much unpaid usage a high-consumption customer can rack up before being billed, which reduces the risk of unpaid invoices or fraud on usage-based plans.

Yes, two ways. Standard automatic dunning sends reminder emails on a defined delay and attempt count once an account crosses an overdue balance threshold. Lago's Dunning Agent goes further: it reads a customer's payment history and reliability before deciding whether to send a reminder, retry a charge below a set cap, or escalate to a person, rather than applying the same timeline to every account. The Dunning Agent is available by request.

Yes. Prepaid credits let a customer pay upfront and draw down against that balance as they use the product, reducing exposure to unpaid usage. Wallet alerts and threshold top-ups help customers refill before they run out. Your product must decide what happens when a balance reaches zero or a top-up payment fails.

Lago sends billing records to NetSuite or Xero. Supported objects include customers, invoices, credit notes and payments, depending on the integration setup. The sync runs from Lago to the ERP; your general ledger stays there. Check field mapping and payment reconciliation during setup.

Yes. The same collection tools (payment retries, dunning, provider integrations) apply regardless of whether a plan is a flat subscription, pure usage-based, or hybrid. Progressive billing and prepaid credits are the two tools specific to usage-heavy plans, since that's where unbilled consumption risk is highest.