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Language Foundation

proration

Proration is the proportional adjustment of a plan charge or credit for the part of a billing period that remains or has been used when a customer changes from one plan to another before the period ends.

In plain English

It means the amount is divided in proportion to time within the current billing period. If a plan changes before that period ends, the charge or credit is adjusted so only the part already used and the part still remaining are counted.

In context

Here, proration means the rule that adjusts the amount charged or credited when a customer switches plans before the current billing period ends.

Situation
Managing subscriptions, trials, renewals, proration, upgrades, and cancellations
What it communicates
names the price-adjustment rule for a plan switch

Meaning limits

By itself, the term does not say whether the adjustment results in an extra charge, a credit, or the specific calculation used.

Examples

“After she switched plans on the twentieth, the bill showed proration for the ten unused days on the old plan.”

Core meaning

“When a customer changes plans mid-month, proration adjusts the charge for the rest of that billing period.”

In context