Payment schedules control how and when your clients pay for trip activities and packages. Every activity or package automatically gets a payment schedule when you create it. You choose the structure, set due dates, and track what's been paid.
Before we jump in
A few terms to know:
Payment schedule: The payment structure assigned to an activity or package. It defines how many payments are expected and when they're due.
Expected payment: A single payment milestone within the schedule (e.g., a deposit, an installment, or a final balance).
Authorization: A hold placed on your client's credit card for an expected payment amount. Authorizations expire after 30 days.
Final balance: The remaining amount due after all other expected payments. This is always auto-calculated and cannot be manually edited.
Schedule types
Every payment schedule uses one of four types. Choose the type that matches how the supplier expects to be paid.
In Full
One payment for the total amount. The client's card is charged immediately when they authorize.
Use this when the supplier requires full payment at booking (e.g., concert tickets, tours with immediate confirmation).
Deposit + Final Balance
Two payments: an upfront deposit you set, plus a final balance due later.
Use this when the supplier requires a deposit to hold the booking (e.g., a resort that requires 30% upfront). You set the deposit amount and due date. The final balance is auto-calculated as the total cost minus the deposit.
Set Installments
Multiple custom payments spread over time, plus an auto-calculated final balance.
Use this when your client wants to break a large trip cost into smaller payments (e.g., three monthly payments before departure). You control how many installments, what each one is called, how much each one is for, and when each one is due. The final balance auto-calculates from whatever remains.
Guarantee
The full amount is authorized upfront, but the charge happens later.
Use this when the supplier charges at a later date (e.g., a hotel that charges at checkout). Your client's card is authorized for the full amount, but the payment isn't captured until the supplier charges it.
Setting up a payment schedule
Open the activity or package in your trip.
Go to the payment schedule section. You'll see tabs for each schedule type: In Full, Deposit + Final Balance, Set Installments, and Guarantee.
Select a schedule type by clicking the corresponding tab.
Set payment details based on the type you chose:
Deposit + Final Balance: Enter the deposit amount and due date. The final balance auto-calculates.
Set Installments: Add installments with custom names (e.g., "First payment"), amounts, and due dates. Add more installments as needed. The final balance auto-calculates.
In Full and Guarantee: No additional setup needed. The full amount is used automatically.
Set due dates for each expected payment. Due dates determine when your client sees the payment as due and when overdue warnings appear.
Editing a payment schedule
You can change a payment schedule at any time before payments are recorded.
Change the schedule type: Switch between any of the four types. If you switch from Deposit to Installments, the deposit becomes the first installment.
Edit deposit amounts: Click the deposit amount to update it. The final balance recalculates automatically.
Edit installments: Change the amount, name, or due date of any installment. You can also add or remove installments.
Final balance: This always auto-calculates. You cannot manually edit it.
Note: You can only change the currency on a payment schedule if no payments or authorizations have been recorded against it.
Tracking payments
The Expected payments section shows each payment milestone with its status and balance.
Status indicators
Unpaid means no payment or authorization has been recorded.
Authorized means the client's card has been authorized for this amount.
Paid means the payment has been received.
Overdue means the due date has passed and the payment is still unpaid.
Expired means a previous authorization expired (authorizations last 30 days).
Balance due shows the remaining unpaid amount for each expected payment.
The Past payments and authorizations section shows a full transaction history with dates, amounts, and statuses.
Payments are applied in order: deposits first, then installments (by date), then the final balance.
Collecting authorizations from clients
Once your payment schedule is set up, you can collect credit card authorizations from your clients.
Prerequisites
Before you can collect authorizations, you need:
- A business name set in your account settings
- Two-factor authentication enabled
- Terms of service published
If any of these are missing, Tern shows a message explaining what's needed.
How it works
When all prerequisites are met and the activity has pricing set, an authorization banner appears.
Your client receives an authorization page showing each expected payment with its amount and due date.
Your client reviews the items, enters their credit card details, and submits.
Authorizations are recorded against the corresponding expected payments.
Authorizations expire after 30 days. If an authorization expires before the payment is captured, you'll need to collect a new authorization from your client.
Additional options
Allow partial payments: Turn this on to let clients authorize less than the full expected payment amount.
Exclude from authorization: Mark specific expected payments to skip them during credit card authorization. Use this for items the client will pay by another method (e.g., cash or check).
Which schedule type should I use?
If the supplier requires full payment at booking, use In Full.
If the supplier requires a deposit to hold the booking, use Deposit + Final Balance.
If the client wants to spread payments over several months, use Set Installments.
If the hotel or supplier charges at checkout or on arrival, use Guarantee.
Common issues
"I can't edit the final balance amount."
The final balance is always auto-calculated as the total cost minus all other expected payments. It cannot be manually edited. To change the final balance, adjust the deposit or installment amounts instead.
"My client's authorization expired."
Authorizations expire 30 days after they're created. Collect a new authorization from your client. If this keeps happening, consider collecting the authorization closer to the payment date.
"I can't collect authorizations."
Check that all prerequisites are met: business name, two-factor authentication, and published terms of service. Go to your account settings to verify each one. If you're unsure what's missing, the authorization banner will tell you.
"I changed the schedule type and my amounts look different."
When you switch schedule types, Tern converts existing items. A deposit becomes the first installment (or vice versa), and the final balance recalculates. Review the expected payments after switching to make sure the amounts are correct.
"Payments are applying to the wrong item."
Payments apply in a fixed order: deposit first, then installments by date, then the final balance. This order cannot be changed.
If you're experiencing a payment issue not covered here, contact Tern support.