How Client Credit Applies to Membership Invoices

This article explains how a client’s account credit is used on membership invoices in Collar. With the updated Memberships feature, a client’s credit is taken off membership invoices as well as bookings and product orders. The card is only charged for what’s left, so your Stripe account shows only that final card amount.

Prerequisites

Access to the client’s profile (Invoices and Credit tabs)
Knowing whether you’re looking at a membership invoice or a booking/order

Overview: How Credit Works on Membership Invoices

Credit is used automatically. When Collar takes payment for a membership invoice (on the billing date, or when someone uses Retry Payment / Collect Payment), the client’s available credit is taken off first. The card is charged for the rest. Staff don’t need to apply credit to each invoice.

Only the remaining amount goes on the card. For example, if the invoice is £128 and the client has £32 of credit, the card is charged £96. This is expected; it isn’t an undercharge. If the credit covers the whole invoice, it’s marked Paid with no card charge.

The credit used is the Order balance. The Credit tab shows two balances, Order balance and Membership balance:

Membership invoices use the Order balance, which is the same credit bookings and product orders use.
The Membership balance is older membership credit. After the membership update, existing membership credit was moved into the Order balance.
In the Add Credit window, Credit type is always Credit. The Membership (credit or debit) option is greyed out, with a note explaining this change.

Important: Credit is only used when Collar actually takes a payment. If the client has no card saved, the invoice goes to Unpaid without using their credit, even if the credit would have covered it. Ask the client to add a card, then use Collect Payment.

How to See Credit Applied to a Membership Invoice

Open the client’s profile in the platform.
Open the Invoices tab. It lists both order invoices and membership invoices.
Click the membership invoice for that billing period.
Check the breakdown: Sub-Total, Total, Credit (only shown when credit was used), Payments and Balance.

Note: In invoice lists (the client’s Invoices tab and Reporting → Billing), a membership invoice shows the amount after credit. For example, a £128 invoice with £32 credit shows as £96. Open the invoice to see the full breakdown.

Tip: The client’s Credit tab shows each use of credit as a Credit used entry.

Don’t rely on your Stripe account alone for the full picture. It only shows the card payment after credit.

If You Didn’t Want Credit Used on Memberships

There’s no setting to stop credit being used on membership invoices. Credit is used by whichever payment comes first: a booking, a product order or a membership invoice. If you add credit meant only for future bookings, it may be used on the next membership invoice while a balance remains.

To remove leftover credit:

Open the client’s Credit tab and click Add Credit.
Enter a negative amount, for example -20. You can’t take the balance below zero.
Add a note if you like, then click Add credit.

It shows in the history as Credit removed.

Important Notes, Tips & Warnings

Note: If a mid-cycle membership change results in a credit for the client, it’s added to the Order balance with the note “Proration credit generated from paid membership invoice”. It will be used on the client’s next payment, whether that’s a booking or a membership invoice.

Tip: If you need a membership billed in full, add credit shortly before the booking it’s meant for, or remove any leftover credit once that booking is paid.

Tip: For agreed membership prices, use Override Total on the membership instead of leaving open credit on the account.

Tip: When card amounts look too low in a renewal month, check the invoice in Collar first.

Warning: Older help articles saying credit can’t be used for monthly or yearly memberships are out of date. Credit is now taken off membership invoices.

Troubleshooting

Issue: Several members were charged less than the membership price this month. Resolution: Open each client → Invoices → the membership invoice. Look for a Credit line (or a discount line from a voucher) before assuming a pricing mistake. Then check the Order balance on the Credit tab.

Issue: Your Stripe account doesn’t show the full membership amount. Resolution: This is expected when credit covered part of the invoice. The Collar invoice shows the full breakdown; Stripe only shows the card payment.

Issue: A large credit balance you expected is no longer on the account. Resolution: It may have been used on recent membership invoices or bookings. Check the Credit used entries on the Credit tab, and the recent membership invoices, rather than only the current balance.

Issue: A member has enough credit, but their membership invoice shows Unpaid. Resolution: The client has no card saved, so Collar didn’t take a payment and the credit wasn’t used. Ask them to add a card, then use Collect Payment on the invoice.