Prepaid balance Drawdown behavior
This topic explains how Zuora draws down prepaid balances at billing time, including when drawdowns occur for different charge types and how balances are applied when multiple charges share the same prepaid balance.
Zuora draws down the prepaid balance at billing time based on the type of charge being billed. When multiple eligible charges draw from the same prepaid balance in a single billing run, Zuora applies the balance in a defined sequence to ensure consistent and predictable results.
Drawdown timing
Prepaid balance drawdown occurs at billing time, when Zuora generates the billing document during a bill run. The drawdown timing for a contribution charge depends on whether the charge is billed in advance or in arrears, as specified in the following table
|
Charge Type |
Drawdown behaivor |
|---|---|
|
One-time |
Billing item service start date. |
|
Recurring (in advance) |
Billing item service start date of the billing period, without proration. |
|
Recurring (in arrears) |
Billing item service end date of the billing period, without proration. |
|
Usage |
Billing item service end date of the billing period, based on actual usage at billing time. |
Drawdown sequence
When multiple eligible charges draw from the prepaid balance in the same billing run, Zuora applies the balance in the following sequence:
First in, first out (FIFO).
By charge effective date.
By charge number.