Recurly RevRec supports three types of credits — Goodwill, On-account, and Prepayment — each serving a distinct purpose in your revenue recognition workflows. Use this page to understand the credit types, configure whether credit event transactions flow into RevRec, and navigate to each dedicated guide.

Available as part of Recurly RevRec

1Definition 2Key details 3FAQ

Additional costTo access these features, you must have an active subscription to either Recurly RevRec or the Standard edition. Contact your Recurly account manager or [email protected] for pricing details.

Prerequisites

A cancellation and refund policy that supports account crediting.

Limitations

Prepayment credits can only be used for purchases and can't be refunded.
Goodwill credits are non-transferable and must be used within the issuing account.
Credits may have expiration dates or usage conditions, depending on your business policy.

Definition

Recurly RevRec supports three distinct credit types: Goodwill Credit, On-account Credit, and Prepayment Credit. Each serves a unique purpose — from enhancing revenue recognition to enabling customer retention strategies. You can choose whether to include credit event transactions in your revenue recognition instance.

Key details

Incorporating credits in revenue recognition

You can choose whether to include credits in your RevRec instance.

Navigate to Profiles

Go to Setup → Profiles.

Set the Ignore Credit Event Transactions option

Under "Ignore Credit Event Transactions," select Yes to exclude credit events from RevRec, or No to include them.

Credit types

Goodwill credit

Balance added to a customer's account to acknowledge loyalty, resolve issues, or offer compensation. Integrated into revenue recognition reports.

On-account credit

Issued instead of refunds when subscriptions are canceled, helping retain customers and improve financial reporting accuracy.

Prepayment credit

Customers pay in advance for services or products. Prepayments are tracked and reported in revenue recognition for better forecasting.

FAQ

What are the credit-event lines that appear in some contracts?

When a credit transaction flows from Recurly into RevRec, a credit-event line is created to track that credit and to balance it once it's fully used.

How are credit events shown in RevRec?

Credits can arise in different ways, and RevRec treats them accordingly:

Goodwill credit: A free, promotional credit that appears as a Credit Invoice in Recurly. It enters RevRec as one line; each redemption posts as a separate line. Identify via origin = credit-event and plan code.
On-account credit: Typically issued instead of a cash refund — for example, post-cancellation. It enters as one line; each redemption is a separate line. Identify via origin = credit-event.
Prepayment credit: Customer-funded advance for future services. In RevRec it appears as one SO line with two invoices; any credit adjustment posts as a new line.

How can I see a customer's total available credit balance?

In Recurly, open the customer's account page. The sum of the Sell Price for all active credit lines equals the customer's total credit balance.

How can I identify credit-related transactions in RevRec?

Filter by line-item origin = credit-event. The specific credit type or action — such as redemption or void — can be determined from the plan code.