diff --git a/enterprise/app/services/enterprise/billing/v2/concerns/payment_intent_handler.rb b/enterprise/app/services/enterprise/billing/v2/concerns/payment_intent_handler.rb
new file mode 100644
index 000000000..2f45b1b0c
--- /dev/null
+++ b/enterprise/app/services/enterprise/billing/v2/concerns/payment_intent_handler.rb
@@ -0,0 +1,69 @@
+# frozen_string_literal: true
+
+module Enterprise::Billing::V2::Concerns::PaymentIntentHandler
+  extend ActiveSupport::Concern
+
+  private
+
+  def create_payment_if_needed(intent, intent_id)
+    amount_due = intent.amount_details&.total || intent.amount_details.total
+    return nil unless amount_due&.to_i&.positive?
+
+    payment_method_id = fetch_default_payment_method
+    create_upfront_payment_intent(amount_due, intent.currency, payment_method_id, intent_id)
+  end
+
+  def fetch_default_payment_method
+    customer = Stripe::Customer.retrieve(
+      @customer_id,
+      { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+    )
+    customer.invoice_settings&.default_payment_method
+  end
+
+  def create_upfront_payment_intent(amount_due, currency, payment_method_id, intent_id)
+    payment_intent = Stripe::PaymentIntent.create(
+      payment_intent_params(amount_due, currency, payment_method_id, intent_id),
+      { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+    )
+
+    Rails.logger.info("Created payment intent: #{payment_intent.id} for amount: #{amount_due}")
+    payment_intent.id
+  end
+
+  def payment_intent_params(amount_due, currency, payment_method_id, intent_id)
+    {
+      amount: amount_due,
+      currency: currency || 'usd',
+      customer: @customer_id,
+      payment_method: payment_method_id,
+      automatic_payment_methods: {
+        enabled: true,
+        allow_redirects: 'never'
+      },
+      confirm: true,
+      off_session: true,
+      metadata: { billing_intent_id: intent_id }
+    }
+  end
+
+  def fetch_billing_intent(intent_id)
+    StripeV2Client.request(
+      :get,
+      "/v2/billing/intents/#{intent_id}",
+      {},
+      stripe_api_options
+    )
+  end
+
+  def commit_billing_intent(intent_id, payment_intent_id)
+    commit_params = payment_intent_id ? { payment_intent: payment_intent_id } : {}
+
+    StripeV2Client.request(
+      :post,
+      "/v2/billing/intents/#{intent_id}/commit",
+      commit_params,
+      stripe_api_options
+    )
+  end
+end
diff --git a/enterprise/app/services/enterprise/billing/v2/credit_management_service.rb b/enterprise/app/services/enterprise/billing/v2/credit_management_service.rb
index 2e0f94d19..d0417fe36 100644
--- a/enterprise/app/services/enterprise/billing/v2/credit_management_service.rb
+++ b/enterprise/app/services/enterprise/billing/v2/credit_management_service.rb
@@ -20,12 +20,12 @@ class Enterprise::Billing::V2::CreditManagementService < Enterprise::Billing::V2
   def use_credit(feature: 'ai_captain', amount: 1, metadata: {})
     return { success: true, credits_used: 0, remaining: total_credits } if amount <= 0
 
-    stripe_result = report_usage_to_stripe(amount, feature, metadata)
-    return { success: false, message: "Usage reporting failed: #{stripe_result[:message]}" } unless stripe_result[:success]
-
     with_locked_account do
       return { success: false, message: 'Insufficient credits' } unless sufficient_balance?(amount)
 
+      stripe_result = report_usage_to_stripe(amount, feature, metadata)
+      return { success: false, message: "Usage reporting failed: #{stripe_result[:message]}" } unless stripe_result[:success]
+
       credit_type = deduct_credits(amount)
       log_credit_usage(amount, feature, credit_type, stripe_result[:event_id], metadata)
       build_credit_usage_result(amount, stripe_result[:event_id])
@@ -113,8 +113,8 @@ class Enterprise::Billing::V2::CreditManagementService < Enterprise::Billing::V2
   end
 
   def sufficient_balance?(amount)
-    current_balance = credit_balance
-    current_balance[:total] >= amount
+    # Use local balance (real-time) instead of Stripe balance (5-10 min delay)
+    total_credits >= amount
   end
 
   def deduct_credits(amount)
@@ -143,12 +143,12 @@ class Enterprise::Billing::V2::CreditManagementService < Enterprise::Billing::V2
   end
 
   def build_credit_usage_result(amount, event_id)
-    final_balance = credit_balance
+    # Use local balance (already deducted) instead of fetching from Stripe
     {
       success: true,
       credits_used: amount,
-      remaining: final_balance[:total],
-      source: final_balance[:source],
+      remaining: total_credits,
+      source: 'local',
       stripe_event_id: event_id
     }
   end
diff --git a/enterprise/app/services/enterprise/billing/v2/pricing_plan_component_builder.rb b/enterprise/app/services/enterprise/billing/v2/pricing_plan_component_builder.rb
index d001c9cc3..da2eb93cc 100644
--- a/enterprise/app/services/enterprise/billing/v2/pricing_plan_component_builder.rb
+++ b/enterprise/app/services/enterprise/billing/v2/pricing_plan_component_builder.rb
@@ -87,25 +87,37 @@ class Enterprise::Billing::V2::PricingPlanComponentBuilder < Enterprise::Billing
     StripeV2Client.request(
       :post,
       '/v2/billing/service_actions',
-      {
-        lookup_key: lookup_key,
-        service_interval: 'month',
-        service_interval_count: 1,
-        type: 'credit_grant',
-        credit_grant: {
-          name: 'Monthly Credits',
-          amount: {
-            type: 'custom_pricing_unit',
-            custom_pricing_unit: { id: cpu_id, value: credit_amount.to_s }
-          },
-          expiry_config: { type: 'end_of_service_period' },
-          applicability_config: { scope: { price_type: 'metered' } }
-        }
-      },
-      { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+      service_action_params(lookup_key, credit_amount, cpu_id),
+      stripe_api_options
     )
   end
 
+  def service_action_params(lookup_key, credit_amount, cpu_id)
+    {
+      lookup_key: lookup_key,
+      service_interval: 'month',
+      service_interval_count: 1,
+      type: 'credit_grant',
+      credit_grant: credit_grant_config(credit_amount, cpu_id)
+    }
+  end
+
+  def credit_grant_config(credit_amount, cpu_id)
+    {
+      name: 'Monthly Credits',
+      amount: {
+        type: 'custom_pricing_unit',
+        custom_pricing_unit: { id: cpu_id, value: credit_amount.to_s }
+      },
+      expiry_config: { type: 'end_of_service_period' },
+      applicability_config: { scope: { price_type: 'metered' } }
+    }
+  end
+
+  def stripe_api_options
+    { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+  end
+
   def create_rate_card(display_name:)
     StripeV2Client.request(
       :post,
diff --git a/enterprise/app/services/enterprise/billing/v2/stripe_credit_sync_service.rb b/enterprise/app/services/enterprise/billing/v2/stripe_credit_sync_service.rb
index 9805736e9..3f65eb9e5 100644
--- a/enterprise/app/services/enterprise/billing/v2/stripe_credit_sync_service.rb
+++ b/enterprise/app/services/enterprise/billing/v2/stripe_credit_sync_service.rb
@@ -159,7 +159,7 @@ class Enterprise::Billing::V2::StripeCreditSyncService < Enterprise::Billing::V2
   end
 
   def build_credit_grant_params(amount, type, metadata)
-    params = {
+    {
       customer: stripe_customer_id,
       name: "#{type.titleize} Credits - #{Time.current.strftime('%Y-%m-%d')}",
       amount: { type: 'monetary', monetary: { currency: 'usd', value: amount.to_i } },
@@ -172,8 +172,6 @@ class Enterprise::Billing::V2::StripeCreditSyncService < Enterprise::Billing::V2
         credits: amount.to_s
       )
     }
-    params[:expiry_config] = { type: 'end_of_service_period' } if type == 'monthly'
-    params
   end
 
   def create_stripe_grant(params)
diff --git a/enterprise/app/services/enterprise/billing/v2/subscribe_customer_service.rb b/enterprise/app/services/enterprise/billing/v2/subscribe_customer_service.rb
new file mode 100644
index 000000000..8c9244e37
--- /dev/null
+++ b/enterprise/app/services/enterprise/billing/v2/subscribe_customer_service.rb
@@ -0,0 +1,192 @@
+class Enterprise::Billing::V2::SubscribeCustomerService < Enterprise::Billing::V2::BaseService
+  include Enterprise::Billing::V2::Concerns::PaymentIntentHandler
+
+  def subscribe_to_pricing_plan(pricing_plan_id:, customer_id: nil)
+    @pricing_plan_id = pricing_plan_id
+    @customer_id = customer_id || stripe_customer_id
+
+    validate_subscription_params
+    execute_subscription_flow
+  rescue Stripe::StripeError => e
+    { success: false, message: "Stripe API error: #{e.message}", error: e }
+  rescue StandardError => e
+    { success: false, message: "Subscription error: #{e.message}", error: e }
+  end
+
+  private
+
+  def validate_subscription_params
+    return { success: false, message: 'Customer ID required' } if @customer_id.blank?
+    return { success: false, message: 'Pricing Plan ID required' } if @pricing_plan_id.blank?
+
+    nil
+  end
+
+  def execute_subscription_flow
+    with_locked_account do
+      cadence = create_billing_cadence
+      return { success: false, message: 'Failed to create billing cadence' } unless cadence
+
+      pricing_plan = pricing_plan_details
+      return { success: false, message: 'Failed to get pricing plan details' } unless pricing_plan
+
+      intent = create_billing_intent(cadence.id, pricing_plan)
+      return { success: false, message: 'Failed to create billing intent' } unless intent
+
+      reserve_and_commit_intent(intent.id)
+      update_account_subscription_info(pricing_plan)
+
+      build_subscription_result(cadence.id, intent.id)
+    end
+  end
+
+  def reserve_and_commit_intent(intent_id)
+    reserved_intent = reserve_intent(intent_id)
+    return { success: false, message: 'Failed to reserve intent' } unless reserved_intent
+
+    committed_intent = commit_intent(intent_id)
+    return { success: false, message: 'Failed to commit intent' } unless committed_intent
+
+    committed_intent
+  end
+
+  def build_subscription_result(cadence_id, intent_id)
+    {
+      success: true,
+      customer_id: @customer_id,
+      pricing_plan_id: @pricing_plan_id,
+      cadence_id: cadence_id,
+      intent_id: intent_id,
+      status: 'subscribed'
+    }
+  end
+
+  def stripe_customer_id
+    custom_attribute('stripe_customer_id')
+  end
+
+  def create_billing_cadence
+    cadence_params = {
+      payer: {
+        type: 'customer',
+        customer: @customer_id
+      },
+      billing_cycle: {
+        type: 'month',
+        interval_count: 1,
+        month: {
+          day_of_month: 1
+        }
+      }
+    }
+
+    StripeV2Client.request(
+      :post,
+      '/v2/billing/cadences',
+      cadence_params,
+      stripe_api_options
+    )
+  end
+
+  def pricing_plan_details
+    StripeV2Client.request(
+      :get,
+      "/v2/billing/pricing_plans/#{@pricing_plan_id}",
+      {},
+      stripe_api_options
+    )
+  end
+
+  def create_billing_intent(cadence_id, pricing_plan)
+    plan_version = extract_plan_version(pricing_plan)
+    intent_params = build_intent_params(cadence_id, plan_version)
+
+    StripeV2Client.request(
+      :post,
+      '/v2/billing/intents',
+      intent_params,
+      stripe_api_options
+    )
+  end
+
+  def extract_plan_version(pricing_plan)
+    pricing_plan['latest_version'] || pricing_plan['live_version'] || pricing_plan['version']
+  end
+
+  def build_intent_params(cadence_id, plan_version)
+    {
+      currency: 'usd',
+      cadence: cadence_id,
+      actions: [build_subscription_action(plan_version)]
+    }
+  end
+
+  def build_subscription_action(plan_version)
+    {
+      type: 'subscribe',
+      subscribe: {
+        type: 'pricing_plan_subscription_details',
+        pricing_plan_subscription_details: {
+          pricing_plan: @pricing_plan_id,
+          pricing_plan_version: plan_version,
+          component_configurations: []
+        }
+      }
+    }
+  end
+
+  def reserve_intent(intent_id)
+    StripeV2Client.request(
+      :post,
+      "/v2/billing/intents/#{intent_id}/reserve",
+      {},
+      stripe_api_options
+    )
+  end
+
+  def commit_intent(intent_id)
+    ensure_payment_method
+
+    intent = fetch_billing_intent(intent_id)
+    payment_intent_id = create_payment_if_needed(intent, intent_id)
+
+    commit_billing_intent(intent_id, payment_intent_id)
+  end
+
+  def ensure_payment_method
+    # Check if customer already has a payment method
+    customer = Stripe::Customer.retrieve(
+      @customer_id,
+      { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+    )
+
+    return if customer.invoice_settings&.default_payment_method.present?
+
+    # In production, payment methods must be added via Checkout or SetupIntent
+    # This ensures proper customer authentication and PCI compliance
+    raise Stripe::StripeError,
+          'Payment method required. Customer must add payment method via Stripe Checkout or SetupIntent before subscribing.'
+  end
+
+  def update_account_subscription_info(pricing_plan)
+    update_custom_attributes(
+      'stripe_billing_version' => 2,
+      'stripe_customer_id' => @customer_id,
+      'stripe_pricing_plan_id' => @pricing_plan_id,
+      'plan_name' => extract_plan_name(pricing_plan),
+      'subscription_status' => 'active'
+    )
+  end
+
+  def extract_plan_name(pricing_plan)
+    display_name = pricing_plan['display_name'] || pricing_plan[:display_name]
+    return 'Business' unless display_name
+
+    # Extract plan name from display name like "Chatwoot Business - 2000 Credits"
+    display_name.split('-').first.strip.split.last || 'Business'
+  end
+
+  def stripe_api_options
+    { api_key: ENV.fetch('STRIPE_SECRET_KEY', nil), stripe_version: '2025-08-27.preview' }
+  end
+end
diff --git a/enterprise/lib/stripe_v2_client.rb b/enterprise/lib/stripe_v2_client.rb
index 376ec8550..256489863 100644
--- a/enterprise/lib/stripe_v2_client.rb
+++ b/enterprise/lib/stripe_v2_client.rb
@@ -45,6 +45,12 @@ module StripeV2Client
     def parse_response(response)
       body = JSON.parse(response.body)
 
+      # Check for Stripe error responses
+      if body.is_a?(Hash) && body['error']
+        error = body['error']
+        raise Stripe::StripeError, "#{error['code']}: #{error['message']}"
+      end
+
       # Convert to OpenStruct for dot notation access (mimicking Stripe SDK objects)
       case body
       when Hash
diff --git a/spec/enterprise/services/enterprise/billing/v2/credit_management_service_spec.rb b/spec/enterprise/services/enterprise/billing/v2/credit_management_service_spec.rb
index 4b2c28672..c1a5274be 100644
--- a/spec/enterprise/services/enterprise/billing/v2/credit_management_service_spec.rb
+++ b/spec/enterprise/services/enterprise/billing/v2/credit_management_service_spec.rb
@@ -6,11 +6,23 @@ describe Enterprise::Billing::V2::CreditManagementService do
 
   before do
     allow(Enterprise::Billing::ReportUsageJob).to receive(:perform_later)
+    allow(ENV).to receive(:fetch).and_call_original
+    allow(ENV).to receive(:fetch).with('STRIPE_V2_METER_EVENT_NAME', anything).and_return('ai_prompts')
+    allow(ENV).to receive(:[]).and_call_original
+    allow(ENV).to receive(:[]).with('STRIPE_V2_METER_EVENT_NAME').and_return('ai_prompts')
+    allow(ENV).to receive(:[]).with('STRIPE_V2_METER_ID').and_return(nil) # Disable Stripe meter fetching
+
+    # Stub Stripe credit grant creation
+    allow(Stripe::Billing::CreditGrant).to receive(:create).and_return(
+      OpenStruct.new(id: 'cg_test_123')
+    )
+
     account.update!(
       custom_attributes: (account.custom_attributes || {}).merge(
         'stripe_billing_version' => 2,
         'monthly_credits' => 100,
-        'topup_credits' => 50
+        'topup_credits' => 50,
+        'stripe_customer_id' => 'cus_test_123'
       )
     )
   end
@@ -26,6 +38,13 @@ describe Enterprise::Billing::V2::CreditManagementService do
   end
 
   describe '#use_credit' do
+    before do
+      # Stub the Stripe meter event creation
+      allow(Stripe::Billing::MeterEvent).to receive(:create).and_return(
+        OpenStruct.new(identifier: 'test_event_123')
+      )
+    end
+
     context 'when sufficient monthly credits' do
       it 'uses monthly credits first' do
         result = service.use_credit(feature: 'ai_test', amount: 10)
diff --git a/spec/enterprise/services/enterprise/billing/v2/usage_analytics_service_spec.rb b/spec/enterprise/services/enterprise/billing/v2/usage_analytics_service_spec.rb
index 0bf0dc16c..b40972ffc 100644
--- a/spec/enterprise/services/enterprise/billing/v2/usage_analytics_service_spec.rb
+++ b/spec/enterprise/services/enterprise/billing/v2/usage_analytics_service_spec.rb
@@ -38,6 +38,10 @@ describe Enterprise::Billing::V2::UsageAnalyticsService do
           metadata: {},
           created_at: Time.current
         )
+
+        # Stub the Stripe API call to return nil (which will fallback to local data)
+        allow(ENV).to receive(:[]).and_call_original
+        allow(ENV).to receive(:[]).with('STRIPE_V2_METER_ID').and_return(nil)
       end
 
       it 'aggregates usage from credit transactions' do
diff --git a/spec/enterprise/services/enterprise/billing/v2/usage_reporter_service_spec.rb b/spec/enterprise/services/enterprise/billing/v2/usage_reporter_service_spec.rb
index b96b26440..9ff275476 100644
--- a/spec/enterprise/services/enterprise/billing/v2/usage_reporter_service_spec.rb
+++ b/spec/enterprise/services/enterprise/billing/v2/usage_reporter_service_spec.rb
@@ -20,22 +20,22 @@ describe Enterprise::Billing::V2::UsageReporterService do
 
   after { config.replace(original_config) }
 
-  it 'posts usage events to Stripe meters' do # rubocop:disable RSpec/MultipleExpectations
-    response = { 'id' => 'me_test_123' }
-    stripe_client = instance_double(Stripe::StripeClient)
-    allow(service).to receive(:stripe_client).and_return(stripe_client)
-    allow(stripe_client).to receive(:execute_request).and_return(response)
+  it 'posts usage events to Stripe meters' do
+    meter_event = OpenStruct.new(identifier: 'me_test_123')
+    allow(Stripe::Billing::MeterEvent).to receive(:create).and_return(meter_event)
+
+    # Stub ENV to return the configured meter event name from config
+    allow(ENV).to receive(:[]).and_call_original
+    allow(ENV).to receive(:[]).with('STRIPE_V2_METER_EVENT_NAME').and_return(nil)
 
     result = service.report(5, 'ai_test')
 
     expect(result).to include(success: true, reported_credits: 5)
-    expect(stripe_client).to have_received(:execute_request) do |method, path, **kw|
-      expect(method).to eq(:post)
-      expect(path).to eq('/v1/billing/meter_events')
-      expect(kw[:headers]).to include('Idempotency-Key')
-      expect(kw[:params][:event_name]).to eq('chat_prompts')
-      expect(kw[:params][:payload][:value]).to eq(5)
-      expect(kw[:params][:payload][:stripe_customer_id]).to eq('cus_test_123')
+    expect(Stripe::Billing::MeterEvent).to have_received(:create) do |params, options|
+      expect(params[:event_name]).to eq('chat_prompts') # Should use the config value
+      expect(params[:payload][:value]).to eq('5')
+      expect(params[:payload][:stripe_customer_id]).to eq('cus_test_123')
+      expect(options[:stripe_version]).to eq('2025-08-27.preview')
     end
   end
 end