Lago helps you monitor usage and calculates how much each customer owes you. However, Lago is not a payment service provider (PSP).

Payment collection process

To collect payments from your customers, you can:

  • Use our native integrations with GoCardless, Stripe Payments or Adyen; or
  • Use the webhooks sent by Lago to transmit billing information to your PSP (e.g. Paddle, Razorpay,, internal ledger, etc.).

Lago is agnostic, which means that you can use our billing solution with any PSP.

Payment status

When payments are processed through one of our native integrations, the payment status of the invoice is automatically updated.

If needed, you can update the payment status via the user interface:

  1. Access the “Invoices” section;
  2. Select an invoice from the list;
  3. Open the “Actions” dropdown menu in the upper right corner;
  4. Click “Update payment status”;
  5. Select the new payment status; and
  6. Click “Update status” to confirm.

Handling one-off payments

Lago offers a streamlined solution for handling exceptional payment situations through its one-off payment checkout feature. This is particularly useful when automatic payment processes face issues, resulting in invoices with pending or failed statuses.

  • Instant checkout link generation: For any troubled invoice, Lago enables you to generate a unique checkout link. This link can be shared with the user to facilitate an immediate payment of that invoice.

  • Automatic payment method storage: Lago captures and stores the payment method used in the one-off transaction. This ensures that future payments are processed more smoothly.

  • Real-time payment status update: The status of the invoice is updated in real time once the payment is successfully processed.

Currently, this feature is only supported for Adyen and Stripe native integrations with Lago.