diff --git a/billing/tests.py b/billing/tests.py
index 9964be4..329396c 100644
--- a/billing/tests.py
+++ b/billing/tests.py
@@ -3,7 +3,7 @@ from django.urls import reverse
 from rest_framework import status
 from rest_framework.test import APIClient
 from django.contrib.auth import get_user_model
-from .models import Topup
+from .models import Topup, Payment
 from .serializers import TopupSerializer
 from django.utils import timezone
 from datetime import timedelta
@@ -205,3 +205,47 @@ class TopupTests(TestCase):
         response = self.client.delete(url, format="json")
         self.assertEqual(response.status_code, status.HTTP_204_NO_CONTENT)
         self.assertEqual(Topup.objects.count(), 0)
+
+
+class PaymentTests(TestCase):
+    def setUp(self):
+        self.client = APIClient()
+        self.real_user = User.objects.create_user(
+            username="testuser",
+            password="testpassword",
+            first_name=REAL_USER_FIRST_NAME,
+            last_name=REAL_USER_LAST_NAME,
+            acc_no="7770000010629",
+            is_admin=True,
+        )
+        self.user = User.objects.create_user(
+            username="plskillme",
+            password="modewasgayithink",
+            first_name="mode",
+            last_name="hussain",
+            acc_no="1122334455",
+        )
+        self.admin_user = User.objects.create_superuser(
+            username="adminuser",
+            password="adminpassword",
+            email="admin@example.com",
+            first_name="Admin",
+            last_name="User",
+            acc_no="987654321",
+        )
+        self.client.force_authenticate(user=self.real_user)
+
+    def test_cancel_payment(self):
+        payment = Payment.objects.create(
+            amount=100.00,
+            user=self.real_user,
+            status="PENDING",
+            number_of_months=1,
+            paid=False,
+        )
+        url = reverse("cancel-payment", kwargs={"pk": payment.pk})
+        response = self.client.patch(url, format="json")
+        self.assertEqual(response.status_code, status.HTTP_200_OK)
+        payment.refresh_from_db()
+        self.assertEqual(payment.status, "CANCELLED")
+        self.assertFalse(payment.paid)