diff --git a/README.md b/README.md
index 94d999ef..bb10e17a 100644
--- a/README.md
+++ b/README.md
@@ -568,6 +568,10 @@ An Invoice is available on the Order. Access it using `$event->order->invoice()`
 #### `OrderPaymentFailed` event
 The payment for an order has failed.
 
+#### `OrderPaymentFailedDueToInvalidMandate` event
+The payment for an order has failed due to an invalid payment mandate. This happens for example when the customer's
+credit card has expired.
+
 #### `OrderPaymentPaid` event
 The payment for an order was successful. 
 
diff --git a/src/CashierServiceProvider.php b/src/CashierServiceProvider.php
index 512b6240..46a8a295 100644
--- a/src/CashierServiceProvider.php
+++ b/src/CashierServiceProvider.php
@@ -17,7 +17,7 @@ class CashierServiceProvider extends ServiceProvider
 {
     use RegistersMollieInteractions;
 
-    const PACKAGE_VERSION = '1.15.0';
+    const PACKAGE_VERSION = '1.16.0';
 
     /**
      * Bootstrap the application services.
diff --git a/src/Events/OrderPaymentFailedDueToInvalidMandate.php b/src/Events/OrderPaymentFailedDueToInvalidMandate.php
new file mode 100644
index 00000000..2cff5b64
--- /dev/null
+++ b/src/Events/OrderPaymentFailedDueToInvalidMandate.php
@@ -0,0 +1,27 @@
+<?php
+
+namespace Laravel\Cashier\Events;
+
+use Illuminate\Queue\SerializesModels;
+
+class OrderPaymentFailedDueToInvalidMandate
+{
+    use SerializesModels;
+
+    /**
+     * The failed order.
+     *
+     * @var \Laravel\Cashier\Order\Order
+     */
+    public $order;
+
+    /**
+     * Creates a new OrderPaymentFailed event.
+     *
+     * @param $order
+     */
+    public function __construct($order)
+    {
+        $this->order = $order;
+    }
+}
diff --git a/src/Order/Order.php b/src/Order/Order.php
index 610b589c..fe932512 100644
--- a/src/Order/Order.php
+++ b/src/Order/Order.php
@@ -12,6 +12,7 @@
 use Laravel\Cashier\Events\BalanceTurnedStale;
 use Laravel\Cashier\Events\OrderCreated;
 use Laravel\Cashier\Events\OrderPaymentFailed;
+use Laravel\Cashier\Events\OrderPaymentFailedDueToInvalidMandate;
 use Laravel\Cashier\Events\OrderPaymentPaid;
 use Laravel\Cashier\Events\OrderProcessed;
 use Laravel\Cashier\Exceptions\InvalidMandateException;
@@ -159,7 +160,12 @@ public function processPayment()
                 $this->total_due = $total->subtract($creditUsed)->getAmount();
             }
 
-            $minimumPaymentAmount = $this->ensureValidMandateAndMinimumPaymentAmountWhenTotalDuePositive();
+            try {
+                $minimumPaymentAmount = $this->ensureValidMandateAndMinimumPaymentAmountWhenTotalDuePositive();
+            } catch (InvalidMandateException $e) {
+                return $this->handlePaymentFailedDueToInvalidMandate();
+            }
+
             $totalDue = money($this->total_due, $this->currency);
 
             switch (true) {
@@ -403,6 +409,40 @@ public function handlePaymentFailed()
         });
     }
 
+    /**
+     * Handles a failed payment for the Order due to an invalid Mollie payment Mandate.
+     * Restores any credit used to the customer's balance and resets the credits applied to the Order.
+     * Invokes handlePaymentFailed() on each related OrderItem.
+     *
+     * @return $this
+     */
+    public function handlePaymentFailedDueToInvalidMandate()
+    {
+        return DB::transaction(function () {
+            if ($this->creditApplied()) {
+                $this->owner->addCredit($this->getCreditUsed());
+            }
+
+            $this->update([
+                'mollie_payment_id' => null,
+                'mollie_payment_status' => 'failed',
+                'balance_before' => 0,
+                'credit_used' => 0,
+                'processed_at' => now(),
+            ]);
+
+            Event::dispatch(new OrderPaymentFailedDueToInvalidMandate($this));
+
+            $this->items->each(function (OrderItem $item) {
+                $item->handlePaymentFailed();
+            });
+
+            $this->owner->clearMollieMandate();
+
+            return $this;
+        });
+    }
+
     /**
      * Handles a paid payment for this order.
      * Invokes handlePaymentPaid() on each related OrderItem.
diff --git a/tests/Order/OrderTest.php b/tests/Order/OrderTest.php
index a3ee8c42..61e90338 100644
--- a/tests/Order/OrderTest.php
+++ b/tests/Order/OrderTest.php
@@ -6,6 +6,7 @@
 use Illuminate\Support\Facades\Event;
 use Laravel\Cashier\Events\BalanceTurnedStale;
 use Laravel\Cashier\Events\OrderCreated;
+use Laravel\Cashier\Events\OrderPaymentFailedDueToInvalidMandate;
 use Laravel\Cashier\Events\OrderProcessed;
 use Laravel\Cashier\Mollie\Contracts\CreateMolliePayment;
 use Laravel\Cashier\Mollie\Contracts\GetMollieCustomer;
@@ -360,6 +361,58 @@ public function createsAMolliePaymentIfTotalDueIsLargerThanMolliesMinimum()
         $this->assertDispatchedOrderProcessed($order);
     }
 
+    /** @test */
+    public function handlesAnInvalidMandateWhenProcessingThePayment()
+    {
+        Event::fake();
+
+        $this->mock(GetMollieMandate::class, function ($mock) {
+            $mandate = new Mandate(new MollieApiClient);
+            $mandate->id = 'mdt_unique_mandate_id';
+            $mandate->status = 'invalid';
+            $mandate->method = 'directdebit';
+
+            return $mock->shouldReceive('execute')
+                ->with('cst_unique_customer_id', 'mdt_unique_mandate_id')
+                ->once()
+                ->andReturn($mandate);
+        });
+
+        $this->mock(GetMollieCustomer::class, function ($mock) {
+            $customer = new Customer(new MollieApiClient);
+            $customer->id = 'cst_unique_customer_id';
+
+            return $mock->shouldReceive('execute')
+                ->with('cst_unique_customer_id')
+                ->once()
+                ->andReturn($customer);
+        });
+
+        $user = $this->getMandatedUser(true, [
+            'id' => 2,
+            'mollie_mandate_id' => 'mdt_unique_mandate_id',
+            'mollie_customer_id' => 'cst_unique_customer_id',
+        ]);
+
+        $order = $user->orders()->save(factory(Order::class)->make([
+            'total' => 1025,
+            'total_due' => 1025,
+            'currency' => 'EUR',
+        ]));
+        $this->assertFalse($order->isProcessed());
+        $this->assertFalse($user->hasCredit('EUR'));
+
+        $order->processPayment();
+
+        $this->assertTrue($order->isProcessed());
+        $this->assertNull($order->mollie_payment_id);
+        $this->assertEquals('failed', $order->mollie_payment_status);
+
+        Event::assertDispatched(OrderPaymentFailedDueToInvalidMandate::class, function ($event) use ($order) {
+            return $order->is($event->order);
+        });
+    }
+
     /** @test */
     public function storesOwnerCreditIfTotalIsPositiveAndSmallerThanMolliesMinimum()
     {