Pay By Group allows you to set due deadlines for your purchases when you create or edit them so that you receive funds when you need them, based on your existing business rules. Deadlines are optional for most purchases except those with installments, as every installment except for the first must have a due deadline.
When the first installment does not have a set due deadline, the due deadline for the second payment is the effective deadline for the first. This is useful if you do not want to hold inventory until receiving the first payment, but need strict deadlines for the subsequent installments once the first payment is submitted and accepted.
Pay By Group also automatically creates Smart Deadlines for your purchases, which encourage groups to complete quickly and automatically extend themselves until a due deadline is passed or a purchase is completed or canceled. If you wish, you can set your own Smart Deadlines for your purchases via the Pay By Group API. Please note that if you do so, the Smart Deadline will no longer automatically update itself, and you must do so manually through the API or by contacting email@example.com if the group misses their payment.
You should set due deadlines for your purchases if your business flow depends on receiving funds within a certain date threshold, such as:
- Obtaining payment for a vacation rental at least 30 days before check-in
- A time period in which you hold inventory for your customers prior to receiving full payment (e.g. after the customers pay a deposit)
You should refrain from setting due deadlines and let Smart Deadlines do the heavy lifting for you if your business flow and inventory practices are:
- Less time-frame dependent and you can afford your customers some additional flexibility, or
- You don’t hold inventory for your customers prior to receiving full payment.