Mandate Health Scoring & Pre-emptive Campaigns

Fype monitors the status of active billing mandates using a real-time Mandate Health Score to predict and prevent involuntary churn.

The Health Scoring Formula

Every subscription with a recurring mandate is assigned a health score ranging from 0.0 (critical failure risk) to 100.0 (highly reliable).

\text{Health Score} = \text{Historical Weight} + \text{Instrument Modifier} + \text{Bank Success Rate} + \text{Recency Decay} + \text{Engagement Modifier}

Component	Weight	Calculation Logic
Historical Success Rate	Max 30 pts	Ratio of successful payment cycles to total attempts: $\text{Ratio} \times 30$ .
Payment Instrument	Max 15 pts	- eNACH / Bank Mandate: 15 pts - UPI Autopay: 12 pts - Credit / Debit Cards: 10 pts
Real-time Bank Health	Max 15 pts	Based on current gateway API success rates for the issuing bank (e.g. HDFC, ICICI).
Recency Decay	Max 20 pts	Mandates that haven’t successfully processed a charge in over 45 days are penalized up to 20 pts.
Customer Engagement	Max 20 pts	Awarded if the customer has opened billing portal links or updated card details recently.

Instead of waiting for a transaction to fail, Fype uses the health score to recover degrading mandates:

Alert Trigger: If a subscription’s mandate health score drops below 50.0, Fype flags the account.
Customer Nudges: Fype triggers a notification campaign (email, SMS, WhatsApp) prompting the customer to verify their bank balance, approve pending mandates, or update their payment card details in the Hosted Customer Portal.
Goal: Resolve payment instrument issues before the next billing date to maintain an uninterrupted service state.