It's worth having for some clients and some invoices, and less so for others. A saved card suits small monthly add-ons, hardware deposits and clients who already like paying by card, and it gives you a second way to collect when a direct debit fails. On large retainers and project invoices, card fees grow with the amount, so it can make sense to keep direct debit as the main method and hold the card as a backup.
In this article
The short version
- A card on file lets you charge a client's saved card for later invoices without asking for their details again.
- It suits small add-ons, hardware deposits and clients who prefer cards.
- It also gives you a second way to collect when a direct debit fails.
- On large invoices card fees grow with the amount, so direct debit may suit better as the main method.
- Clients are told their card will be stored and notified one business day before each charge.
What card on file means in practice
A card on file is a client's card, saved once with their agreement, that you can charge for later invoices without asking them to type in their details again. You don't hold the card number yourself. The payment provider stores a token, so your team isn't keeping card details in a spreadsheet or a ticket note.
With Adfin, a card gets saved in one of two ways. The client pays an invoice by card as normal and the card is kept for next time, or they complete a nominal authorisation of £0 or £1 (depending on the card), with the £1 hold clearing automatically. From then on, future invoices and payment requests can be charged to that card automatically, for any amount, so it copes with invoices that change from month to month. Each client can have one active card.
Once a card is saved, you decide what it's for. It can be the client's main way of paying, taking the place of direct debit for them, or it can stay in reserve and only be used when a direct debit fails.
Where a saved card helps an MSP
When a client adds a couple of licences mid-month or orders a replacement laptop, a saved card lets you collect the small, irregular amount without sending a fresh payment request and waiting while someone finds the company card.
If your ops team waits for payment before placing a vendor order, a card that's already on file lets you take a hardware deposit as soon as the invoice is raised. A client who pays their first deposit by card has also saved the card for the next one.
When a direct debit fails and you've switched the fallback on, the saved card can be tried instead of waiting for the next direct debit retry, which can stop this month's retainer rolling on into next month.
A small office that won't sign a direct debit mandate may be quite happy to save a card, and you still get paid automatically.
Where direct debit tends to suit better
Card fees are a percentage of the payment with no cap, while bank and direct debit fees on Adfin's published pricing are capped. On a £150 add-on the difference is small: £1.70 by direct debit, £1.70 on a standard UK card or £3.20 on a business card. On a £2,000 project invoice, direct debit costs £4.20 and a business card £40.20.
You can pass the card fee to the client with business card surcharging, and they're told about it when they first add their card. Surcharges are only allowed on business cards, though, and a client paying a large monthly retainer may push back on a surcharge they'd avoid entirely by direct debit.
Cards also expire or get replaced, so now and then a client will need to add a new one.
One way to set it up is to keep large recurring invoices on direct debit with the saved card as a fallback, and make card the main method for smaller clients who'd rather pay that way.
How to ask clients and what they're told
You'll usually find it easiest to ask at a natural moment: onboarding, the first hardware deposit, or straight after a direct debit fails. You can send a card on file request to the client by email, and if they complete a new one it replaces the card already saved.
Clients are told on the payment page that their card will be stored for future payments, then get a confirmation email. Before each automatic charge they're notified one business day in advance, and afterwards they're told whether it succeeded. It helps to add a line to your terms and onboarding email saying which invoices you'll charge to the card, so a charge never comes as a surprise.
In Adfin, you switch card on file on when you set up Adfin's collection agents, which collect within the rules you approve, and there's no extra fee for it beyond normal card pricing. Expired and reissued cards are refreshed automatically where possible, and if a card is soft-declined, the charge is retried according to your agent's settings, with the client emailed the business day before each retry.
Common questions
Do I need the client's agreement to save their card? Yes. The client is told on the payment page that the card will be stored for future payments, and they get a confirmation email afterwards.
Will the client know before their card is charged? They're notified one business day before each automatic charge, and again afterwards to say whether it went through.
Can I keep more than one card for a client? Not at the moment. Each client has one active card, and if they complete a new card request, the new card replaces the old one.
Can I charge a saved card a different amount each month? Yes. Charges can be for any amount, so a saved card works for invoices that change with seat counts or one-off orders.
Can I pass the card fee on to the client? On business cards, yes, if you switch on business card surcharging. Surcharges aren't allowed on personal cards.
What happens when a saved card expires? Expired or reissued cards are refreshed automatically where possible. If that doesn't work, you can send the client a new card on file request.
Sources
- Adfin - Getting started with card on file (recurring card payments) (accurate as of October 2026) https://support.adfin.com/en/articles/16774304-getting-started-with-card-on-file-recurring-card-payments
- Adfin - How card on file payments work (accurate as of October 2026) https://support.adfin.com/en/articles/16250524-how-card-on-file-payments-work
- Adfin - Card on file launch (accurate as of October 2026) https://adfin.com/blog/card-on-file-launch
- Adfin - Pricing (accurate as of October 2026) https://www.adfin.com/pricing
