diff --git a/readme.txt b/readme.txt
index 64f61a2..b65b8d2 100644
--- a/readme.txt
+++ b/readme.txt
@@ -37,6 +37,9 @@ View our full installation guide: <https://docs.paymentwall.com/modules/woocomme
 
 == Changelog ==
 
+= v1.12.0 [08/11/2022] =
+* Correct subscription status
+
 = v1.11.0 [07/12/2022] =
 * Support subscription cancellation
 
diff --git a/src/includes/class-paymentwall-gateway.php b/src/includes/class-paymentwall-gateway.php
index d342f6a..1138409 100644
--- a/src/includes/class-paymentwall-gateway.php
+++ b/src/includes/class-paymentwall-gateway.php
@@ -300,8 +300,8 @@ function ipn_response() {
                 $pingback->getType() == Paymentwall_Pingback::PINGBACK_TYPE_SUBSCRIPTION_CANCELLATION
                 && !empty($subscription)
             ) {
-                $subscription->update_status('cancelled');
-                $order->update_status('cancelled');
+                $subscription->update_status('wc-pending-cancel');
+                $order->update_status('completed');
             }
 
             die(PW_DEFAULT_SUCCESS_PINGBACK_VALUE);
diff --git a/src/paymentwall-for-woocommerce.php b/src/paymentwall-for-woocommerce.php
index 5479f8c..95033c2 100644
--- a/src/paymentwall-for-woocommerce.php
+++ b/src/paymentwall-for-woocommerce.php
@@ -5,7 +5,7 @@
  * Plugin Name: Paymentwall for WooCommerce
  * Plugin URI: https://docs.paymentwall.com/modules/woocommerce
  * Description: Official Paymentwall module for WordPress WooCommerce.
- * Version: 1.11.0
+ * Version: 1.12.0
  * Author: The Paymentwall Team
  * Author URI: http://www.paymentwall.com/
  * Text Domain: paymentwall-for-woocommerce