Stripe, Inc.

Initial Business Response /* (1000, 6, 2015/03/13) */
Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable lawAs a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of
ServiceAll users agree to these terms when activating Stripe accounts, and the terms are posted here: https://stripe.com/terms
Since Stripe bears financial responsibility for all accounts using Stripe to accept payments, Stripe needs to have a high degree of confidence about their legitimacy, and their likelihood of delivering promised goods and servicesStripe periodically reviews accounts to verify that they meet these standards, and reaches out to merchants should any issues arise
During a routine review, Stripe identified strong signals that the complainant's account was related to multiple other accounts that had previously been terminated for fraudulent activity which was in violation of the Stripe Terms of ServiceStripe cannot process payments for businesses associated with any businesses that have been previously rejectedOn March 1st, Stripe did reach out to the complainant to advise them of our decision and the closing of the account
The closing of this account is in accordance with the following section of the Stripe Terms of ServiceOur terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason"
https://stripe.com/us/terms#termination
While we do hate to turn away businesses, unfortunately due to the risk involved in reinstating this account, Stripe will not be doing so, and it must remain closed
Initial Consumer Rebuttal /* (3000, 8, 2015/03/16) */
(The consumer indicated he/she DID NOT accept the response from the business.)
We have NOT committed any fraud against this company and are prepared to prove that in courtWe have already been approved for a LEGITIMATE payment processor, so we do not want our account reinstated with this SHADY company anywaysThe issue will not be resolved until we have received the $stated in the complaintWe are fully prepared to take this to court
Final Business Response /* (4000, 10, 2015/03/31) */
While we can't go into detail on how we validate the dispute risk associated with charges processed, this user's account has been reviewed by multiple analysts to the same conclusionUnfortunately, Stripe cannot process payments on behalf of businesses we believe to be in violation of our Terms of Service, or to pose a highly elevated risk of chargebacksFor additional context, our Terms of Service can be found here: https://stripe.com/terms
All charges, including all associated Stripe fees, on this user's account have been refunded to card holders, so we encourage the user to reach out for customers to pay by alternative means
Final Consumer Response /* (4200, 18, 2015/04/13) */
(The consumer indicated he/she DID NOT accept the response from the business.)
If services are already rendered (which they were) and the customer got a refund, WHY would they pay again, when they can have it for free? Secondly, that is extremely unprofessionalThe customer doesn't look through my shoesThey look through their own shoesIf they are asked to resend the money, they will not do itIt is either a refund of $or lawsuit for a whole lot moreMy attorney is ready, and is 100% sure we will win, but said I need to exhaust all other avenues to show the court that I tried to settle out of court

Initial Business Response /* (1000, 5, 2015/03/06) */
Stripe provides payment processing services for businesses that wish to accept credit card payments online, but is not a consumer-facing product, like PayPalThe complainant is not a Stripe user himself and Stripe has no direct
relationship with him
Stripe's user is Prosthetic Records, and we process payments for Prosthetic Records, which means we take the customer card information they pass ** us and securely send it to our acquiring bank, Wells Fargo, who then requests the card-issuing bank that the charge be madeThe decision to authorize or decline the charge lies with the card issuing bank, and sometimes the bank decides to authorize the charge even when the CVC check failsIf the complainant would like to find out more about why his issuing bank authorized the charge even when the CVC check failed and the cardholder name was not provided, he will need to reach out to his bank directlyThe bank does not provide any additional information on their reasoning to Stripe
If this charge was made without the complainant's authorization, his recourse should also be to contact his bankThe dispute system is in place specifically to protect cardholders in these situations
For reference, Stripe provides merchants like Prosthetic Records the option to automatically decline charges when CVC checks failWhen that option is enabled, we decline any charges where the CVC check fails, instead of leaving it up to the card-issuing bank, but it is up to the merchant to enable those checksWhen a merchant starts using Stripe, they agree to our Terms of Service, which outline how it is their responsibility to prevent fraud on their accountsThe Terms can be perused here: https://stripe.com/terms
Stripe also provides a number of tools for preventing fraud, which are outlined in the link below, but again, it is the merchant's responsibility to make use of them
https://support.stripe.com/questions/avoiding-fraud-and-disputes

Initial Business Response /* (1000, 5, 2014/12/11) */
Sorry to hear this happened! If your bank returns the funds to Stripe, we'll notify you via the dashboard and emailYou can log in to your Stripe account to update your bank account and we'll retry your failed transfer within hours
Going forward we'd recommend ensuring that your bank account on file with us is kept updated
Regarding response times, the user initially wrote in on Decand received a response on DecThe user was in contact with us several times later, and each time we responded within hours, sometimes within just a few hours
As of this writing, we did hear back from the bank about the user's failed transfers (it can take up to days for us to hear back from them; I know this quite a long time) and sent the transfers to the user's updated bank account

Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable lawAs a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of ServiceAll users agree to these terms when
activating Stripe accounts, and the terms are posted here: https://stripe.com/us/legal
During a routine review, Stripe determined that the complainant's business was at a high risk for disputesOn *** *** *** we contacted the complainant, informing them that we would no longer be able to support their business; we are unable to accept payments for businesses we determine to be at high risk for a dispute rate of over 1%, as mentioned here:
https://stripe.com/us/legal#specific-payment-methods
The closing of this account was in accordance with the following section of the Stripe Terms of ServiceOur terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason".
https://stripe.com/us/legal#termination
We understand that it takes time and money to move to a new processorTo help the complainant do this, we gave them an additional days of processing before halting their serviceAt the same time we let the complainant know that we would need to hold funds currently in their account for days as a reserve, which is used to mitigate the risk of any disputes incurred within this time and is outlined in our Terms of Service.
https://stripe.com/us/legal#clearing-funds-and-reserves
The complainant has requested that we release the funds earlyStripe has compromised with the complainant by offering to reassess the reserve at days, rather than daysThe complainant is also able to log into their Stripe account and process refunds to these customers then recharge their customer with another processor if they need these funds before the end of the reserve

Initial Business Response /* (1000, 5, 2015/04/23) */
We are sorry that the complainant was unable to receive our email correspondence of April 14th, 2015, notifying him that we would no longer be able to support his business, and that due to chargeback risk we would need to reserve funds
for a period of days - it's understandably frustrating to have continued to process payments while unaware there was an account issue
Our review of the account and business indicate that there is a high risk of chargebackWe recognize that the complainant has not experienced any chargebacks with Stripe, but the majority of chargebacks occur between 30-days following a charge, and charges processed in this account that have yet to be transferred are less than two weeks old, meaning they still present chargeback riskWe also recognize this reserve is for a significant portion of funds, and while we cannot release funds due to chargeback risk, the complainant retains the right to refund the remaining payments not yet transferred, and coordinate directly with his clients for an alternate means of payment or payment with another processor that can better support his business
We regret that our email notification was not received, and understand that this method of communication has caused hardship and significant frustrationDue to the volume of user accounts we underwrite, we cannot provide a more personalized approach at this time, nor can we verify receipt of emails with a phone followup
Initial Consumer Rebuttal /* (3000, 7, 2015/04/24) */
(The consumer indicated he/she DID NOT accept the response from the business.)
We are satisfied with the solution proposed (i.eto reverse charges and re-bill them to our new credit card processor)However, that is the first time that this potential solution was offered really this should have been suggested before we made our complaint to you
The other item not properly addressed in Stripe's response is their incredibly slipshod way of notifying people of this drastic action they have takenSending a single, non-receipted email is an irresponsible way to give notice of something like thisIt shouldn't be hard for this company do develop a better way of delivering this notice (for example, a warning that appears when someone logs into their dashboard) and I would still like to see Stripe commit to improving their practice in this area
Final Business Response /* (4000, 9, 2015/04/30) */
We're very glad that you're satisfied with the solution to this issue
Thank you for providing feedback regarding our handling of this situationWe are always trying to improve the way in which we communicate with our users and will certainly take your comments into consideration
Please feel free to reach out to ***@stripe.com with any other questions or concerns
Final Consumer Response /* (4200, 13, 2015/05/04) */
(The consumer indicated he/she DID NOT accept the response from the business.)
They have made no commitment whatsoever to change the way they will notify future customers of this kind of change

Initial Business Response /* (1000, 5, 2015/07/17) */
Disputes can be a frustrating part of accepting credit card payments, and Stripe does everything possible to protect our users from fraud and make sure they have an advantage during the disputes processThat said, Stripe does not have
the ability to resolve disputes for our users, or make decisions about who wins or losesWhile Stripe provides tools to our users for submitting evidence, the process is actually arbitrated by their end-customer's card-issuing bank
In order to resolve a fraudulent dispute in their own favor, our users need to submit evidence that the disputed charge was made by an authorized cardholderWe pass *** information along to the card-issuing bank, who arbitrates the dispute and renders a verdictHowever, if the charge was clearly made fraudulently, as the complainant indicates here, users are liable for the disputed amountThe credit card networks assign liability for accepting fraudulent online transactions to businesses
As a matter of clarification, Stripe does not authorize charges for our usersMuch like the disputes process, we pass *** relevant information to the card-issuing bank, who then authorize or decline the chargeWe have many fraud prevention measures in place, including a machine learning-based fraud shield and the ability to decline suspicious payments even if they are authorized by the bankThese tools exist to help our users protect themselves
Stripe is not in a position to cover the cost of disputed funds for our usersOur terms explicitly state that users are "immediately liable for to Stripe for the full amount of payment of the Chargeback plus any associated Fees, fines, expenses or penalties." Our terms further state that "Stripe may provide you with assistance including notifications and software to help you contest your ChargebacksWe do not assume any liability for our role or assistance in contesting Chargebacks." Our users accept these terms when they create their Stripe accountsMore information can be found in our terms of service, here: https://stripe.com/us/terms#chargebacks
Disputes are a frustrating reality of accepting credit card payments, especially onlineWe try to give our users the best chance to avoid these situations, but ultimately Stripe can't accept responsibility for authorizing fraudulent payments (as card-issuing banks authorize charges)We are happy to help the complainant avoid future disputes - we can always be contacted at ***@stripe.com

Initial Business Response /* (1000, 6, 2015/09/18) */
Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable lawAs a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of
ServiceAll users agree to these terms when activating Stripe accounts, and the terms are posted here: https://stripe.com/terms
Since Stripe bears financial responsibility for all accounts using Stripe to accept payments, Stripe needs to have a high degree of confidence about their legitimacy, and their likelihood of delivering promised goods and servicesStripe periodically reviews accounts to verify that they meet these standards, and reaches out to merchants should any issues arise
During a routine review, Stripe identified strong signals that the complainant's account was in violation of the Stripe Terms of ServiceStripe cannot process payments that appear to be unauthorized by the owner of the charged card, or support businesses that present high chargeback riskOn September 1, 2015, Stripe reached out to the complainant to advise them of our decision and the closing of the accountOn September 2, 2015, Stripe reached out again to the complainant to advise them of our need to hold their account balance in reserve for days due to our system's identifying the possibility of unauthorized charges
We take into account a number of different indicators to determine whether charges are legitimate, and due to our determination, we are required to hold these funds by our financial partners to protect against the risk of chargebacks and disputes for unauthorized chargesIf the charges are still undisputed after days, the complainant will receive the funds transferred to his bank account at that time
The closing of this account and holding of a reserve are in accordance with the following section of the Stripe Terms of ServiceOur terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason"https://stripe.com/us/terms#termination
While we will not be able to continue processing transactions on the account, this does not preclude the complainant from signing into Stripe and accessing any of the account's existing dataThe complainant may also provide his customers refunds if he desires

Initial Business Response /* (1000, 5, 2015/03/06) */
Stripe processes payments for tens of thousands of websites and businesses, but is not a consumer-facing productThe complainant is not a Stripe user herself and Stripe has no direct relationship with her
It is likely the
complainant made a purchase from a puzzle-making company that uses Stripe to collect payments, but Stripe is not involved in the running of this businessWe cannot act or speak on behalf of our users, and we have no ability to fulfill the order
We must recommend that the complainant seek remedy directly from the merchant from which she ordered her puzzle
As there is not enough information to identify the puzzle company, we are unable to provide additional information about this case

Revdex.com:I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to meSincerely, *** ***

We had a very unpleasant experience with StripeA week after we chose to partner with them, we received an email accusing us of committing fraudWe barely ran transactions for our guests and they chose to close our accountAll this was on Valentine's day weekend when we had many customers waiting to pay the invoices we issuedYou can imagine how difficult it was lost to find alternative payment methods on a FridayNot to mention, our app was already integrated with Stripe
We offered to submit to Stripe any kind of document to resolve the issues, including for them to contact our customers and confirm the transactionsThey don't have any phone support and they replied days later with a standard emailWe will not continued to work with them and other companies should be advised of their unprofessional attitude

Initial Business Response /* (1000, 5, 2016/01/01) */
Stripe processes credit cards for thousands of businesses online (https://stripe.com/gallery)It looks like the complainant made a payment on one of these businesses' sites, and for some reason Stripe's details have shown up instead of
the merchant's on the complainant's credit card statement
As of today, 1/1/2016, the complainant has not reached out to ***@stripe.com for help on how to proceed with this issueWhen a product has not been delivered, we typically recommend that the customer reach out to the company that they ordered the product from to resolve the issueIf the complainant does not receive a satisfactory response from the merchant, as it appears she has not, then we would typically recommend filing a dispute for the charge with the credit card company used for the transactionWe've also re-reviewed this company's account with Stripe and taken the appropriate action
We would be happy to answer any questions that the complainant might have at ***@stripe.com
Initial Consumer Rebuttal /* (2000, 7, 2016/01/04) */
(The consumer indicated he/she ACCEPTED the response from the business.)
Thanks for your replyI have attempted to contact the vendor (the new fitness life) again and I've contacted my credit card company as wellI'll forward to your support mailbox in hopes you can help me get my money backThanks again

Final Consumer Response /* (2000, 6, 2015/06/17) */
this matter has now been resolved after numerous emails to the company, thank you for your help kr ***

Initial Business Response /* (1000, 5, 2015/10/26) */
It looks like the complainant has already resolved this issueIf the complainant has any further questions for Stripe, they may contact us at ***@stripe.com
Initial Consumer Rebuttal /* (2000, 7, 2015/10/27) */
(The
consumer indicated he/she ACCEPTED the response from the business.)

Revdex.com:I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to meI would like to suggest that Stripe looks into some sort of customer service phone number to prevent future situations like this one.Sincerely, *** ***

Stripe reached out to the complainant on *** 25, *** in order to inform them that we would be no longer able to support their account and that a reserve would be placed on their account due to the high risk of disputes on their account.As stated in Stripe's Terms of Service, we reserve the
right to create a Reserve Account on the complainant's account as needed:"We may impose a Reserve on you for any reason if we determine that the risk of loss to Stripe, Customers, or others associated with your Stripe Account is higher than normalFor example, we may hold a Reserve if: (i) your or your Customers’ activities increase the risk of loss to us or to your Customers, (ii) you have violated or are likely to violate this Agreement, and (iii) your Stripe Account has an elevated or abnormally high number of Disputes."https://stripe.com/us/legal#reservesIf the complainant immediately needs the funds, they are welcome to log into their Stripe account, refund the funds to their customer and reprocess them through a different processorIf not, the funds will be released to the complainant on February 23,

Initial Business Response /* (1000, 8, 2015/07/29) */
As mentioned in our email on 9th July, Stripe noticed that the Complainant was entering a number of charges manually through the dashboard., with customers providing their credit card information via
the Complainant's website or through one of
the invoicing applications that integrate with Stripe: https://stripe.com/docs/integrations
Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable lawAs a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of ServiceAll users agree to these terms when activating Stripe accounts, and the terms are posted here: https://stripe.com/terms
Since Stripe bears financial responsibility for all accounts using Stripe to accept payments, Stripe needs to have a high degree of confidence about their legitimacy, and their likelihood of delivering promised goods and servicesStripe periodically reviews accounts to verify that they meet these standards, and reaches out to merchants should any issues arise
During a routine review, Stripe identified strong signals that the complainant's account was in violation of the Stripe Terms of Service
The closing of this account is in accordance with the following section of the Stripe Terms of ServiceOur terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason"
https://stripe.com/us/terms#termination
The balance of the Complainant's account is currently subject to a reserve and will be held until October 7thWe're legally obligated as per our agreements with our banking partners to hold a full reserve of those funds
While we will not be able to continue processing transactions on the account, this does not preclude the complainant from signing into Stripe and accessing any of the account's existing data
Initial Consumer Rebuttal /* (3000, 11, 2015/07/31) */
(The consumer indicated he/she DID NOT accept the response from the business.)
As I said earlier...the representative told me that they did not want me to manually run credit cards and were holding up my payments and I then told them my son would set this up through a websiteThey indicated that they release my funds and then I told them that I just had one more to run through then all the others would be through the siteWHY...did they not say...don't run anymore throughThen the suspended my account and said that my type business was high riskI told them that my program that I sell could not be high risk since I have on my contracts that there is no return once you purchase the programReason...this is over pages of suppliers names and addressesSomeone could buy my program, make copies and return the program that I spent years buildingSo..this is a lower risk than someone purchasing a $itemYou can also go on line and see what others are saying about Stripe....as you know through Revdex.com on there credit ratingPaypal just got buster for the same corruption as this companyI also mentioned to you, and Revdex.com mentioned to me that I would be happy to talk to the News MediaSomeone needs to represent these people that have been damaged by this companyCan you put me in touch with themRemember...they should have at least told me that I should not run the second billing throughI can document this in there emailsAgain...please set me up with the News Media
***
Final Business Response /* (4000, 13, 2015/08/03) */
As mentioned, we have identified strong signals that the complainant's was in violation of the Stripe's Terms of ServiceIn particular, we noticed that the Complainant was entering a number of charges manually through the dashboardOn July 9th, Stripe reached out to the complainant to advise them of our decision and the closing of the account
The closing of this account is in accordance with our ToSIn particular, the significant credit or fraud risk:
https://stripe.com/us/terms#termination
The balance of the Complainant's account is currently subject to a reserve and will be held until October 7thWe're legally obligated as per our agreements with our banking partners to hold a full reserve of those funds
While we will not be able to continue processing transactions on the account, this does not preclude the complainant from signing into Stripe and accessing any of the account's existing data
Final Consumer Response /* (4200, 15, 2015/08/05) */
(The consumer indicated he/she DID NOT accept the response from the business.)
Again...I told them I was going to run a invoice manually and if they were not going to do this they should have told meKeeping the one invoice I could live with, however scamming me on the second one is not professionalI have emails to back this upAgain...if you read all the complaints on this company for doing the same thing you would understandThese are the type companies that need to be exposedI had mentioned to you before to have someone from the News Media to interview me

Initial Business Response /* (1000, 5, 2014/06/06) */
On May 19, Stripe reached out to the complainant to request documentation to confirm that the payments accepted by the complainant through Stripe were authorized by the cardholdersThis was because the complainant appeared to be manually
keying in credit card information rather than having customers enter in their own credit card information to complete transactions through a website hence it was unclear whether the transactions had been authorized
Part of Stripe's responsibilities to its financial partners involves verifying the cardholders authorize the charges processed through StripeTo confirm that manually entered charges are authorized, Stripe may request that a user provide further documentation to establish the legitimacy of any charge prior to transferring funds to the user's bank accountAs stated in Section A(iv) of its Terms of Service, users are required to obey all laws, rules, and regulations applicable to your use of the Service and agree not to "send what you believe to be potentially fraudulent authorizations or fraudulent card transaction..." Furthermore, as stated in Section Aof its Terms of Service, a user agrees: "to review all security controls and choose those that are appropriate for your business to protect against unauthorized transactions and, if necessary, use other procedures and controls not provided by us." Given the complainant is in possession of his customers' card information and manually entering the necessary card information, Stripe rightfully requested the complainant provide corroborating documentation to ensure the transactions were legitimateThe relevant sections of Stripe's Terms of Service cited above can be found here: https://stripe.com/us/terms#restricted-use; https://stripe.com/us/terms#security-and-fraud-controls
On May 19, the complainant contacted Stripe support with a message stating he had received our prior e-mail requesting documentation and had provided the requested information under a separate thread, but this message did not include any attachmentsOn May 20, Stripe received another e-mail from the complainant stating he had provided the requested documentation in a separate e-mail thread, and the complainant noted that he was not sure Stripe had received his prior messagesOnce again, the complainant's May 19th and 20th messages did not contain attachments of the requested documentationOn May 21, the complainant sent a folle-mail to Stripe's support team
On May 21, a support representative from Stripe e-mailed the complainant to notify him that Stripe had not received any prior e-mails that contained the request documentation and recommended the complainant resubmit the requested informationIn response, the complainant provided an invoice and upon review of the submitted documentation, Stripe replied as follows:
Hi ***,
Thanks for sending along this invoice
Given that you're manually entering in your customer's card information, we are required by our banking partners to confirm the payments are authorized and obtain this documentationWith receipt of this invoice, we have resumed transfers to your bank accountYou can track your completed and scheduled transfers here: https://manage.stripe.com/transfers/overview
To clarify, you can accept payments manuallyHowever, accepting phone orders or manually entering charges is not recommended as the primary method for accepting paymentsWhen you receive card information over the phone, Stripe isn't able to ensure that you're keeping this information secure - so you're responsible for ensuring that you protect your customers' card information in accordance with the PCI compliance requirements
Depending on your needs, third party integration like invoicing services may be a better route than accepting orders over the phoneHowever, if you'd like to continue accepting payments over the phone, we will need to get documentation to ensure you're handling card information in accordance with PCI requirements and we may need to get additional invoices in the future if our financial partners request more informationTo avoid this hassle, we'd highly recommend looking into working with an invoicing serviceYou can learn more about this here: https://stripe.com/docs/integrations
Appreciate you working with me on this, and if there is anything else I can do to help, please let me know
Cheers,
***
On May 21, the complainant wrote back thanking Stripe for its advice and stating that he was waiting for the next transfer of funds to his bank accountIn response, Stripe's support representative informed the complainant that he could expect to receive his next transfers of funds around May
The complainant received the appropriate funds on May 23rd and, as of the submission of this response, the complainant has received all previously held funds and transfers are being sent through to the complainant's bank account as scheduledIn sum, Stripe acted in accordance with its Terms of Service and properly communicated with the complainant with regard to this matter

Per Stripe's Terms of Service:"We may impose a Reserve on you for any reason if we determine that the risk of loss to Stripe, Customers, or others associated with your Stripe Account is higher than normalFor example, we may hold a Reserve if: your or your Customers’ activities increase the risk of loss to us or to your Customers, (ii) you have violated or are likely to violate this Agreement, and (iii) your Stripe Account has an elevated or abnormally high number of Disputes."***The funds in the Complainant's balance are at high risk for being disputedIf the funds are not disputed, they will be released on June 27, 2018.For the reasons explained in detail above, Stripe acted in accordance with its terms of service in the handling of this merchant account and the Complainant's claim for damages is baseless

Initial Business Response /* (1000, 11, 2015/07/24) */
Disputes can be a frustrating part of accepting credit card payments, and Stripe does everything possible to make sure our users have an advantage during the disputes processThat said, Stripe does not have the ability to resolve
disputes for our users, or make decisions about who wins or losesStripe provides tools to our users for submitting evidence to their customers' card-issuer, but that issuer is the entity who arbitrates the process, not Stripe
Using Stripe as a payments processor does not relieve the complainant of their contractual obligations to bear the responsibility for preventing fraud on their accountThis procedure is in accordance with the following sections of our Terms of Service, which can also be found at https://stripe.com/us/terms and more specifically https://stripe.com/us/terms#receiving-your-funds-from-card-transactions ("You are responsible for refunds, returns, and liable for customer disputes (chargebacks).")
Additional relevant terms agreed to by the complainant:
https://stripe.com/us/terms#payment-methods
https://stripe.com/us/terms#chargebacks
Section Cof Stripes Terms of Service states:
"When a Chargeback is issued, you are immediately liable to Stripe for the full amount of payment of the Chargeback plus any associated Fees, fines, expenses or penalties (including those assessed by the Card Networks or our payment processors)You agree that Stripe may recover these amounts by debiting by means of ACH debit of your Bank Account associated with your Stripe Account, debiting your Reserve Account, or setting off any amounts owed to you by usIf we are unable to recover funds related to a Chargeback for which you are liable, you will pay us the full amount of the Chargeback immediately upon demandYou agree to pay all costs and expenses, including without limitation attorneys' fees and other legal expenses, incurred by or on behalf of us in connection with the collection of any unpaid Chargebacks unpaid by you."
We also pride ourselves on having as much documentation for our users as we possibly canOne area of focus is fraud and dispute prevention, and we clearly mention steps for our users to take in order to prevent this exact type of situation:
https://support.stripe.com/questions/avoiding-fraud-and-disputes#identifying-pot...⇄ /> While we understand the stress this situation has caused the complainant, our Terms of Service and documentation are very clear that the ultimate responsibility for preventing fraud falls on our users
Initial Consumer Rebuttal /* (3000, 13, 2015/07/27) */
(The consumer indicated he/she DID NOT accept the response from the business.)
If I would have known I would be held accountable for faults in their system that allows fraud to take place then I never would have used them as a payment portalFor several years I have been using PayPal and have never had a problem like this and what happened with stripe happened twice within a matter of weeksFor them to let this happen twice in such a short period of time shows that stripe does not monitor payments to the extent that they shouldAfter this happened to me I had read quite a few comments from disturbed customers that had previously used stripeI run a very small business and this will totally tank everything I have worked for the past few yearsI am not a corporation and I definitely am not rich nor can I afford to take such a huge hit when I did exactly what I was suppose to do from a business standpointStripe does not care about their customers and is only worried about themselvesIf you are going to run a payment portal then your very first priority should be protecting people from fraudulent activity and that is clearly not the case in my situation
Final Business Response /* (4000, 18, 2015/08/26) */
The complainant signed up for Stripe on August 2014, with the intention of using Stripe to process payments for products with the average payment size of $It is worth noting that merchandise that is so high-value can be particularly targeted for fraud
On October 4th, Stripe informed the complainant that a dispute had been filed for $782.00, and they sent a number of follow up emails that day asking for clarification about why this had happenedOn October 7th, Stripe responded to the complainant with a detailed response about how to handle this dispute, why it may have occurred, and the next steps to avoid these again in futureIt was acknowledged that as the CVC, street address, and zipcode checks passed, the complainant had a strong case to win the disputeIt was also recommended that the complainant should hold off on shipping products to unexpected locations (in this case Indonesia) before confirming the address with their customer to help prevent chargebacks in future
It was explained that Stripe has a team working full-time to help shield our users from fraudulent charges, but there is unfortunately no way we, or any bank or processor, could guarantee to never let any fraudulent charges go through, unless we also blocked 100% of legitimate salesIt was also noted that Stripe rely on our users' best judgement, as this individual knows their business and customers better than we do
As a matter of clarification, Stripe is not responsible for fraudulent charges processed by users' accountsMuch like the disputes process, we pass *** relevant information to the card-issuing bank, who then authorize or decline the chargeWe have many fraud prevention measures in place, including allowing users the ability to refund suspicious payments even if they are authorized by the bankThese tools exist to help our users protect themselvesIndeed, this dispute (and another for the same amount by the complainant) was won due to the evidence provided regarding the security checks that passed
Stripe is not in a position to cover the cost of disputed funds for our usersOur terms explicitly state that users are "immediately liable for to Stripe for the full amount of payment of the Chargeback plus any associated Fees, fines, expenses or penalties." Our terms further state that "Stripe may provide you with assistance including notifications and software to help you contest your ChargebacksWe do not assume any liability for our role or assistance in contesting Chargebacks." Our users accept these terms when they create their Stripe accountsMore information can be found in our terms of service, here:
https://stripe.com/us/terms#chargebacks
Disputes are a frustrating reality of accepting credit card payments, especially onlineWe try to give our users the best chance to avoid these situations, but ultimately Stripe will not accept responsibility for fraudulent paymentsWe are happy to help the complainant avoid future disputes, and can always be contacted at ***@stripe.com

Complaint: ***I am rejecting this response because:
Again stripe is providing information for their terrible business practicesI emailed them times asking them to refund my customer in which they DID NOT respond at allThey then tried to hold the funds for days and ignore our companySince they decided to do this we went and helped our customer file a dispute for the two charges that were simply asked by us to be refunded for weeks and stripe ignored us, disabled our account from refunds and refused toNow they are trying to say their are two more disputes against my company you are DAMN right there areWe complied with the customers bank and helped in every way to get the disputed charges from Stirpe in which we succeeded thanks to our customers bankThis has been a nightmare dealing with this terrible companyImagine having to tell your customer could you please go file a dispute on the transactions our merchant decided to hold the funds for daysThey do not answer emails and do not have a customer support number we were ignoredTo top it off now Stripe thinks they are going to charge us $for the disputes that we had filed with the customerNot going to happenWe have blocked them completely from withdrawing funds from our accountWe will not let it happen are we are willing to take this as far as we need to so this company can not do this to anyone elseIf you look at their Revdex.com complaints you will find hundreds of complaints similar to mine with the exact same treatment and exact same practiceThey should be shut down they are liars and not honest at allLook at how they replied to this complaint and tried to lie and say their are two more disputes yes there sure are, disputes that we helped file against the two charges you decided to not refundWe have attached a file showing how we were able to get the customers bank to dispute the charges.
Sincerely,Daniel ***