# Charge policy
### App prorating, upgrades, and downgrades
If you upgrade or downgrade your subscription with an app, then the app will prompt you to agree to a new recurring app charge. This is because Shopify allows each app only one recurring app charge to be enabled at a time. The existing recurring application charge will be canceled and replaced by the new charge.
Depending on the app, the new recurring app charge is either applied immediately, or after the app's current billing cycle ends.
If the new app charge is applied immediately, then when you upgrade your plan by moving from a less expensive charge to a more expensive charge, the charge is prorated based on the difference in price and the number of days remaining in the billing cycle. For example, if you begin a 30-day billing cycle on a $5.00 plan, and upgrade to a $15.00 plan on day 15 of the billing cycle, then you're charged $5.00 + ($15.00 - $5.00) \* (15/30) = $10.00 USD.
If the new app charge is applied immediately, then when you downgrade your plan by moving from a more expensive charge to a less expensive charge, you're automatically offered an application credit based on the difference in price and the number of days remaining in the billing cycle. This application credit can be used towards any future application purchase on Shopify.
### Annual charge
If you cancel the app after using app several months, the bill of usage will be calculated by **original monthly plan** (without discount) \* **month in use**. For example:\
If you use **Enterprise plan at $19.99** on yearly charge with **discount 30%**\
so you just need to pay 19.99 \* (1 - 0.3) \* 12 = $167.9\
\
Then you cancel the annual plan on the 5th month of billing cycle.\
You will paid $19.99 \* 5 = $99.95.\
\
So you will receive refund $167.9 - $99.95 = $67.9
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