Complaint: [redacted] I am rejecting this response because: I did read reply, but since Stripe has no customer service phone number and no REAL customer service, I'm not surprisedI asked them to call meStill waiting.Sincerely, [redacted]
Initial Business Response / [redacted] (1000, 5, 2016/01/22) */ Stripe processes credit cards for thousands of businesses online (https://stripe.com/gallery)It looks like the complainant made a payment on one of their sites, and for some reason Stripe's details have shown up instead of merchants on the complainant's credit card statement As of today, 1/22/2016, the complainant has not reached out to [redacted] @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 issueIt looks like the complainant is referencing a transaction placed with Lumitact.com FlashlightsSince Stripe is unable to process refunds on behalf of merchants, the complainant will have to reach out to the Lumitact.com Flashlights support team here: [redacted] @lumitact.com If the complainant does not receive a satisfactory response from the merchant, then we would typically recommend filing a dispute for the charge with the credit card company used for the transaction We would be happy to answer any questions that the might have at [redacted] @stripe.com Initial Consumer Rebuttal / [redacted] (2000, 7, 2016/01/26) */ FLASHLIGHT RECEIVEDREPEAT: RECEIVED 1/22/ HOWEVER THIS APPEARS TO BE A SHADY COMPANY
Initial Business Response / [redacted] (1000, 5, 2014/10/27) */ Hi there, Thanks for sharing your concern about this unknown charge Stripe is a payment processor that helps merchants accept credit card payments online and in mobile appsWe process millions of credit card authorizations each year for thousands of companies of all sizes Sometimes, when a merchant using Stripe attempts to authorize a customer's card for later use, we send over a request to the customer's bank for either a $or a $authorization (different banks require different amounts)This is not an actual charge, and it will disappear from your statement; depending on the bank, it will be removed from your statement in anywhere from a few minutes to a few weeks When we perform this authorization, we send along statement descriptor text that includes the actual merchant's URL, phone number, and business address to your customer's bank However, sometimes card networks (especially American Express) take a day or two to display the merchant's information in its statement descriptor, and instead show "Stripe" and our address while a charge is pending"Stripe" is replaced by the merchant's statement descriptor within hours of the authorization attempt Stripe has been working with card networks to resolve this issue, so that the appropriate merchant's information appears at the time of the authorization attempt In this, the $authorization would have shown as pending for up to a month before dropping off of your accountStripe's information would have been replaced with information about the actual merchant within hours of the authorization attempt Thanks again for your feedback! Kind regards, Stripe Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/11/03) */ (The consumer indicated he/she DID NOT accept the response from the business.) It is my understanding and it appears that "Stripe" agrees that American Express should show the merchant's name and contact information that I did direct business with, not "Stripe"It needs to be a descriptor that is recognizable to the cardholderThis is apparantly a known issue and Stripe needs to put more pressure on AmEx to update their process to be compliantThey have notThis leads to confusion and a waste of time of all parties involved Stripe is non-compliant as a result of their third party's (namely, American Express) inability to comply with well known card processing standards I still don't know which merchant I initiated contact with that uses Stripe on the back end Final Business Response / [redacted] (4000, 9, 2014/11/07) */ Stripe helps thousands of merchants accept payments onlineWe don't charge customers' cards directly, and it's an unfortunate bug that sometimes our information shows up on cardholders' bank statements instead of the business'sAt the moment, American Express will show "Stripe" and our address while a charge is pendingThe payment in question would have been a charge authorization made with one of the many online businesses using Stripe to accept payments, and would not have come from Stripe directlyWhen [redacted] either attempted to store his card with one of these businesses or when he submitted a payment to one of these businesses, we sent over a request to his issuing bank for a $authorization to verify that the card was issued and the bank would allow it to be authorizedRegardless of whether or not the authorization is declined, we reverse our authorization request immediatelyHowever, even if the bank declines the authorization, some people may still see an authorization for $on their credit card statementThe important thing to remember is that this is not a charge, and it will disappear from [redacted] 's statement; depending on the bank, it will be removed from his statement in anywhere from a few minutes to a few weeks If [redacted] would like to write into us directly at [redacted] @stripe.com (for privacy and security reasons) with information about his charge authorization, we'd be happy to look up the charge authorization information and let him know which of our merchants created that charge authorizationSpecifically, the following information would be useful: - last four digits of the card - expiration date - card type
Initial Business Response / [redacted] (1000, 5, 2015/07/02) */ 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 The complainant wrote to Stripe on June 25th 2015, to let us know that they received a dispute on one of their paymentsThe complainant immediately closed their Stripe account, which made the evidence submission process more cumbersome since they no longer had access to the Stripe dashboardOn June 25th, 2015, and June 30th, 2015, a Stripe support representative responded explaining they could manually submit any evidence that the complainant could provideAs of July 2nd, 2015, Stripe has yet to receive any evidence from the complainantWe are happy to proceed with this as soon as the complainant sends us the requested evidence As a matter of further clarification, Stripe does not authorize charges for our usersMuch like the disputes process, we pass [redacted] relevant information (including any CVC, street check, and ZIP checks the user mentions in his complaint) to the card-issuing bank, who then authorize or decline the charge While it appears that the complainant took reasonable steps to resolve the disputes in their favor, Stripe is not in a position to cover the cost of disputed funds for our usersOur terms explicitly state that users are "immediately liable 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 reality of accepting credit card payments, especially onlineIn this case, there are no extenuating circumstances that warrant Stripe assuming liability for the disputed funds, though of course we will continue to support her as much as possible through any further disputes or chargebacks she receives Initial Consumer Rebuttal / [redacted] (3000, 7, 2015/07/03) */ (The consumer indicated he/she DID NOT accept the response from the business.) You did authorize the chargeI did not have access to any of the information about the buyer's credit card or information other than his name & addressThis is an ongoing problem with stripeThey accept ALL orders by credit card & do not verify whether or not the information matches & is accurate because regardless, THEY get paid the $fee for chargebacks & the loss is pushed off onto the sellerI WILL NOT use Storenvy again because Stripe is FORCED on sellers in order to sell on the site & I am not aloneI know of many, many sellers who feel the same way & have closed down their Storenvy storesYour company will not last long, you've screwed over way to many people but I'll still be in business so have fun while it lasts! And when a class action suit is filed against Stripe I'll be right there waiting to collect;) Final Business Response / [redacted] (4000, 9, 2015/07/14) */ The topic of disputes and the process for submitting evidence through the Stripe dashboard is well documented: https://stripe.com/help/disputes https://stripe.com/docs/guides/dispute-evidence The subject of disputes is also covered extensively in our terms of service: https://stripe.com/us/terms#chargebacks On June 30th, and July 1st, 2015, we reached out to the complainant to encourage them to submit evidence for their disputed chargeThe evidence submission window had closed, but we were willing to extend the evidence submission window as a measure of good faithUnfortunately, we were unable to proceed with the evidence submission process since they did not respond to this request for evidence Final Consumer Response / [redacted] (4200, 13, 2015/07/15) */ (The consumer indicated he/she DID NOT accept the response from the business.) They have & will continue to accept fraudulent charges because they don't lose any moneyIn fact they gain from every fraudulent transaction they accept so good luck staying in businessStorenvy has lost hundreds of sellers because of stripe & they are working on replacing you with Paypal to gain those sellers backThis is a crooked company that doesn't care whether or not they screw consumers out of money as long as they get their shareHave fun while it lasts!
Initial Business Response / [redacted] (1000, 5, 2016/01/24) */ 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 The complainant ultimately bears the responsibility for preventing fraud and disputes 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 usersThe complainant has provided evidence for many of the disputes and we are waiting on responses from the relevant banks before marking these as won or lostThe complainant will be informed of the outcome of these disputes as soon as we hear back from the banks Initial Consumer Rebuttal / [redacted] (3000, 7, 2016/01/26) */ (The consumer indicated he/she DID NOT accept the response from the business.) I am confused by their responseAre they going to look into this further or is the decision final and I have nothing I can do? Final Business Response / [redacted] (4000, 9, 2016/01/29) */ Stripe provides tools to help our users submit dispute evidence to banks, but the ultimate decision on a dispute lies with the cardholder's bank and not with StripeAfter that decision has been made, banks will not respond to outside inquiries in regards to disputes that have already been processed Although the decision has been made by the bank, we are happy to provide the complainant specific information and feedback on disputes and the evidence they submitted should they email us at [email protected], we cannot provide that information through the public forum on the Revdex.com website
Initial Business Response / [redacted] (1000, 5, 2014/11/07) */ We are always happy to help answer any questions or resolve issues that our users haveI'm afraid we don't offer phone support at the moment, but we are happy to support our users and their customers via email through [redacted] @stripe.com We also support questions via Freenode at #stripe and provide channels for sales, general queries, and partnership opportunities, as seen on our contact page here: https://stripe.com/contactThat said, we would like to provide phone support, and hope to implement it in the future
Stripe is unable to provide any additional information other than what is provided on the Complainant's Dashboard. When a dispute is initiated, the card issuer will not work directly with the merchant, they work through the processor. Because of this, Stripe allows users to submit information via the Dashboard to illustrate why the charge was legitimate so that they are able to work with the card issuer through Stripe. The Complainant has not yet submitted evidence via the Dashboard to prove the legitimacy of the charge. Stripe suggests that the Complainant log into their Dashboard and submit evidence, as outlined in the guide below, in order to allow the card issuer to investigate the dispute: https://stripe.com/docs/disputes/evidence
Initial Business Response / [redacted] (1000, 5, 2015/06/05) */ There was a uncharacteristic delay in responding to the emails here after a large influx of emails during this time periodOn May 26, we replied to the complainant's email and looked into this issueOn 1st June we updated the complainant with the issue, i.ethe transfers to the complainant's bank account were valid and were processed through a second Stripe account set up by one of the complainant's colleagues We explained how the complainant could access this second Stripe account in order to identify and reconcile the unrecognized transfers to their bank account in emails on 1st June and 2nd JuneOn 4th June we followed up to check if they could access this second Stripe accountWe are still waiting for a reply and confirmation that this issue has been resolved Initial Consumer Rebuttal / [redacted] (3000, 7, 2015/06/08) */ (The consumer indicated he/she DID NOT accept the response from the business.) The correspondence from Stripe is sporadic and the issue is not resolvedI've already responded directly to their support person [redacted] , that the second Stripe account does not belong to usthat the transactions are in errorErroneous deposits are still hitting our account, the latest being June 3rdOur bank is now trying to reverse the deposits thru ACH and is attempting to contact Strip on our behalf Final Business Response / [redacted] (4000, 9, 2015/06/13) */ Hi ***, My apologies for the difficulties here After you initially contacted us on May 18, my research revealed that a volunteer with MPAEF set up a second Stripe account in connection with a major fundraiser in As far as we're aware, the funds you're receiving are donations to MPAEF in response to that fundraiser At your request, I reached out to that user to get her permission for me to get you both in touch with each otherI then contacted you to confirm her identity, Ccing her on that email Unfortunately, I'm afraid my response may have been caught up in some email filterI've just reached out again today using the email you provided in this Revdex.com report, in hopes that my email will get through Once we're able to resolve ownership of the second account, we would be very happy to help you refund the charges associated with these transfers, if it turns out that they should not have been sent to MPAEFThis will involve coordinating with the owner of that second Stripe account, to make sure that any refunds are authorized by the appropriate parties I hope this sheds some light on this situationPlease don't hesitate to reach out if not, or if we can help out in any other way! Kind regards, [redacted] Final Consumer Response / [redacted] (2000, 11, 2015/06/17) */ (The consumer indicated he/she ACCEPTED the response from the business.)
Complaint: [redacted] I am rejecting this response because Stripe failed to put me in contact with the bank that is claiming these charges were fraudulent hence preventing the merchant from resolving the 'root' cause of the issue. Fraudulent chargebacks occur all the time and unfortunately the payment processing company and banks are able to obtain what they want out of the transaction at the expense of the merchant without doing a comprehensive due diligence of the chargebacks. I would like Stripe to put me in contact with the bank's fraud department to further investigate these fraudulent chargebacks.Sincerely, [redacted]
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on [redacted] 28, ***.Stripe OverviewAs background, Stripe provides a technology platform that allows merchants selling permissible goods or services online, or through a mobile device, to quickly and simply accept credit card payments.[1] Merchants register for an account by providing contact information, some information about their business and its principals, and bank account informationThis information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submissionMerchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration dateMost merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required toIt is important to note that funds are briefly held in an aggregated clearing account at a bank before being deposited into the merchant's bank account It is important to note that merchants identify the account into which funds are ultimately deposited through the Stripe management interfaceMerchants consent to Stripe’s Services Agreement when establishing their accountA current version of the Stripe Services Agreement is available at https://stripe.com/us/legal.[1] https://stripe.com/us/paymentsMerchant Account Overview The Complainant submitted an account with Stripe on [redacted] 13, [redacted] under the name "D&D Temporary Power Se" at https://merchants.2go.com/AccountDetails/DetailsForAccount?accountId=21841756&ra...⇄ processed payments for the account owner until [redacted] 20, ***During a routine review, Stripe was unable to confirm information about what the Complainant was sellingOn [redacted] 14, ***, Stripe reached to the Complainant to let them know about its concerns and to get additional information.The Complainant provided this information, as askedUpon further investigation, Stripe determined that it is able to support the Complainant's businessAt this point, the Complainant had already refunded their charges.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 / [redacted] (1000, 5, 2015/05/18) */ On May 13th, the complainant emailed Stripe 7:20AM to notify us that she was not able to access her Stripe account. We do our best to respond within 24 hours; our website states that we will respond within 24 hours, if not sooner. In this case,... we responded in six hours. After this complaint was opened, we were able to resolve the complainant's login issue. The last we were in contact was on May 14th, when a Stripe employee sent a follow-up email. Since we have not received any other messages from the complainant, the issue appears to be resolved. We're happy to help if the complainant has any other trouble!
Stripe reached out to the complainant on September 19, [redacted] in regards to an unusually large transaction that was processed on their account, as we needed additional information about the chargeAfter reviewing the charge and the complainant's account, we reached out to them on September 23, *** 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 processor
Initial Business Response / [redacted] (1000, 5, 2014/06/20) */ While Stripe does monitor users' accounts for suspicious activity and subsequently alerts users to suspicious transactions, Stripe users have the most information about their customersAdditionally, Stripe often does not have all of the information about transactions since Stripe is reliant on transaction information Stripe users pass along to StripeBecause of this, Stripe offers fraud prevention controls and fraud tools that Stripe users can utilize to minimize and prevent fraudAdditionally, since Stripe users have the most information about their customers, when Stripe notices suspicious transactions, Stripe alerts users to this activity but final decisions on how to action these transactions are left to the users themselves In this case, Stripe alerted the complainant to the fraudulent charges the same week that the charge was madeStripe recommended that the complainant refund these charges unless the complainant was certain that they were authorized by the legitimate cardholderAfter a conversation with the "customer," who appears to have not been the legitimate cardholder, the complainant went ahead with the transactionThirty-five days later, the actual cardholder issued a dispute with the reason code "fraudulent." More information about this reason code and actions that can be taken subsequent to receiving a dispute categorized in this way can be found here: https://support.stripe.com/questions/dispute-fraudulent-evidence When a chargeback is issued, a merchant is liable for the full amount of payment of the chargeback plus any associated fees, fines, expenses or penalties because following the customer's complaint, most banks tend to immediately side with the customer without additional investigation, and initiate a formal disputeStripe charges $per chargeback (note: this fee is dependent upon the currency in which the Stripe user receives funds), though this fee is refunded if the issuing bank decides the dispute in the user's favorIn the event that a Stripe user is able to win a dispute, Stripe returns the full amount of the charge and the $fee to the user, and incurs this costStripe returns that fee because Stripe feels strongly that users shouldn't be penalized for disputes that are resolved in their favorIn this case, the complainant lost the dispute, and is now liable for the full amount of payment of the chargeback, plus the associated $fees for the two disputed charges, totaling $ Stripe provides information about how Stripe handles disputes here: https://support.stripe.com/questions/how-does-stripe-handle-chargebacks Additional information about disputes or chargebacks can be found here: https://stripe.com/help/disputes The relevant section of the Stripe Terms of Service can be found here: https://stripe.com/us/terms#chargebacks When contesting chargebacks, Stripe provides merchants with chargeback assistance, including status notifications and the facilitating chargeback responsesHowever, Stripe does not assume liability for this role or assistance in contesting chargebacksStripe provided these services to the complainant, who was unfortunately did not win the dispute, and is now liable for the disputed funds The relevant section of the Stripe Terms of Service can be found here: https://stripe.com/us/terms#contesting-your-chargebacks Because Stripe provided notification to the complainant about the fraudulent charges, and because Stripe is not liable for the disputed charges, Stripe unfortunately will not be reimbursing the complainant for these disputed charges nor for the associated fees Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/06/30) */ (The consumer indicated he/she DID NOT accept the response from the business.) Paragraph two starts off with bold face liesStripe alerted me to the complaint by removing the funds from my account without warningThey sent an email the same day stating "We're sorry to report that one of your customers has disputed a $charge (made on February 26, 2014) with his or her credit card companyThe cardholder is claiming that the payment was one that they did not authorize." As well as a second one with the dollar amount of $on April 3, It was quite a shock to have $removed from my account since the original orders were placed on February 26, That was how I learned of the complaint, no prior notice, no warning that they would be removing the funds, nothingThey never recommended I refund the charges (paragrah 2, line 2) as they had already done that for me When I received the two orders in question, I did NOT receive a flag or warning from Stripe that this was suspiciousI sent the customer an email confirming their orders and mailed it with tracking numbersI have noticed that Stripe provides a significant amount of fraud alerts on larger platforms like Shopify - which uses Stripe as their processorThey have a colored scale starting with low rish (green) and escalating to high risk (red)Therefore, it would be very obvious, on Shopify, if the transaction was fraudulentThere is no such option on EcraterI am an idividual running a very small businessI rely on processors, like Stripe, to filter such transactionsThere is only so much I can do, as an individualIt appears that if I was a larger, multi-million dollar business, more attention would be paid to the risk factor of my charges as Stripe would be losing a great deal of money due to fraud if they didn'tThe loss from an individual, such as myself, means nothing to themBut it meant everything to meIt was cripplingIn this instance (or in similar instances), when the Seller has no real means to determine the authenticity of a cardholder, it should fall on Stripes shoulders to absorb the claimAfter all, Stripe does claim "Proven fraud protection Stripe actively works to protect your business from fraudulent charges and monitors suspicious transactions." This is stated right on the front of their features pageA page you read before you sign upTheir choice of words makes you feel secure, like they will filter out fraudulent chargesI have never had an issue like this with CBA, PayPal or Google Merchant (while it was operating)Further, I have never had a problem with Stripe as a processor for ShopifySo, Stripe has failed on their end, leaving me to try be the fraud filter they claim to beThey have misled the public as to their capabilities or actually, the level to which they help small businesses (which is none) Final Business Response / [redacted] (4000, 9, 2014/07/08) */ Ms[redacted] , I have reviewed your latest complaint from the Revdex.com, and I want to first apologize to you that we did not respond in a manner that I would have preferredAt Stripe we work hard to help our users with all aspects of their processing, and in this case, I feel we fell short in assisting you with this issue These transactions were flagged by our system, which normally emails out to our users to let them know that they might be dealing with potentially fraudulent transactionsThis allows our users to come to a decision regarding whether or not they should refund those payments, as they would usually have additional information regarding their customers that are not in our systems I am sorry that you were victim to fraud by a customer, and while this unfortunately happens online, we do try to provide fraud filters to our users to help themIn this case, you state that you did not receive an alert from us, and coupled with your own information were then unable to decision these negatively While we are not obligated to, because your experience with Stripe isn't what we strive to provide to our users, I have decided to refund the full amounts corresponding to those chargebacks, alongside any associated fees from our banking partners Again, Ms [redacted] , I am sorry for the inconvenience, and thank you for being a Stripe user Regards, Stripe Support team member Final Consumer Response / [redacted] (2000, 11, 2014/07/10) */ (The consumer indicated he/she ACCEPTED the response from the business.) Thank you very much
Initial Business Response / [redacted] (1000, 5, 2014/07/31) */ The dispute process is an unfortunate one, but one that Stripe has handled in accordance with Card Network rules, as well as our Terms of Service, which the complainant agreed to as a condition of account activationThe pertinent section of Stripe's TOS is included below: 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 your Bank Account associated with your Stripe account (using ACH, the mechanisms of the Canadian Payments Association or other method), 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 legal fees and other legal expenses, incurred by or on behalf of us in connection with the collection of any unpaid Chargebacks unpaid by you From Section of Stripes Canadian Terms of Service: https://stripe.com/ca/terms#chargebacks Stripe serves the role of a payments processor and as such, assists businesses in accepting online payments from their customersPart of this process is to receive the information provided by a cardholder or customer during the payment flow (such as card number, CVC, and postal code), and pass [redacted] along to their bankThis information is checked with the issuing bank to ensure the information contains a valid card number, and the card is able to have charges attemptedAdditionally, for most cards issued in the US, and some cards issued in Canada and the UK, the banks may also provide Stripe with a True, False, or Unchecked response indicating if the address and postal code information provided matches what the bank has on fileSimilarly, cards issued in almost every country support this same check for the CVC codeWe return these results in an easily accessible and readable format in the Stripe dashboard Stripe provides direct feedback from the bank as part of processing a payment for our users to aid them in detecting fraud, but Stripe is not a fraud detection companyApproval of a payment by the card issuing bank does not indicate that the payment won't be disputed in the future When a cardholder disputes a charge, Stripe is notified by the cardholder's bankwhich automatically refunds the transactionThrough the dashboard and email, Stripe then passes [redacted] as much information to our user as we get from the bankWe help the user submit evidence which we have done in this case after extending the submission deadline once but the cardholder's bank ultimately makes the decision as to how the dispute is resolved Companies using Stripe have different customer profiles, and various levels of risk regarding disputed charges and declined paymentsWe provide as much information about a payment and the cardholder as possible, but because they are the party with the most information about their customersif the customer is someone they know, if they have purchased before, if their order is a one for their shipping address our users are best equipped to determine whether or not a purchase is fraudulent Identifying when a credit card is being used by someone other than the cardholder can be difficult, and if our users are ever suspicious about a purchase's validity, we recommend issuing a refund immediately in order to avoid getting hit with a chargebackOn June 18th, a Stripe representative informed the complainant of this exact suggestion regarding suspicious payments made through the complainant's account Additionally, we do provide resources to help detect and prevent fraud, which allow our users to auto-decline charges that fail the Address Verification and CVC checks mentioned earlierActivating these settings is easily done from the account dashboard of a Stripe account Stripe is always willing to help our users respond to disputes, and both our email communications as well as our website upload dialog, explain the evidence requirementsIn this case Stripe didn't receive evidence that adhered to the bank's specifications (under 5MB in size) until July 18, which is when we then submitted that evidence to the bankThis was done after explaining the evidence upload requirements multiple times (which are set by the bank) and extending the deadline once alreadyWe will notify the complainant as soon as we receive feedback from the bank about the outcome of the disputeIt's important to note that, even with this submission of evidence, the bank could still resolve the dispute in favor of its cardholder rather than the complainantThis possibility was acknowledged and all financial liability was accepted by the complainant at the time of account activation Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/08/17) */ (The consumer indicated he/she DID NOT accept the response from the business.) Thank you for the response Firstly, could you please forward the signed form from one of our signing officers that states our compliance with Stripe's TOS and accepting of financial liabilityOtherwise, please paste the rule(s) as part of the Card Network that states our compliance to Stripe's TOS and financial liability by simply activating an account with Stripe When discussing payment validity as part of the merchant's discretion, there were no signs that would have shown any form of fraud or wrong-doing as these purchases were made by good-standing, long-term customers with a regular address and non-aborder amountsYes, on June 18th a representative suggested this to us, but this was far after the charges in question were made and would have been more useful prior to We agree that identification of a cardholder online is a difficult task for all industries, however I think we can also agree that a lot of this difficulty can eased by simply activating the most basic tools given - CVC and address verificationThese are settings that should always be activated, unless specified by the merchant and should be automatically activated by Stripe as part of their default settings, not the oppositeOnline fraud is a multi-billion dollar problem and if Stripe genuinely cared to aid their clients in fraud detection, the settings for these very obvious pre-cursors to a legitimate purchase, would have been automatically turned "On" Although Stripe may see their own services and dashboard as easy-to-operate, they are difficult to someone who has no previous experience with their company or in the industry of payment processingStripe's services and dashboard were never properly explained to us by a Stripe representative, and considering that Stripe's default settings are set to have the easiest and most efficient verification tools turned "off" automatically, this should have been a priority on their part to explain this Final Business Response / [redacted] (4000, 9, 2014/08/22) */ At the time of writing (August 22, 2014), this user has encountered four (4) disputes on their Stripe accountFrom those four disputes, two of them have been ruled in favor of the user, and have been reflected in their account balance Upon further review, I've gone ahead and personally waived the remaining amounts owed on the two withstanding chargebacks, totaling $Due to these waived chargebacks, this Stripe user now has a balance of $CAD that is to be transferred to their bank accountThey can initiate this transfer from their dashboard, at the following https://dashboard.stripe.com/transfers/overview Our team takes dealing with disputes very seriouslyit's unfortunate that this scenario occurred, and I agree that enabling those checks up front would help prevent fraudulent chargesI'll pass [redacted] feedback along to our team and see if we can change this for future users, going forwardMy apologies for any frustration and inconvenience that this has caused Best, Stripe team member Final Consumer Response / [redacted] (2000, 11, 2014/08/30) */ (The consumer indicated he/she ACCEPTED the response from the business.) We appreciate Stripe's ability to claim ownership of any mistakes made on their partThank you for your attention to this issue and I believe both parties will be able to walk away from this experience having learned something If Stripe still cares to value our business, we would be willing to carry on our payment processing with you, with an attention on collectively setting up the account to prevent fraudulent activityContact us by email to discuss this matter
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on May 18, ***.Stripe OverviewAs background, Stripe provides a technology platform that allows merchants selling permissible goods or services online, or through a mobile device, to quickly and simply accept credit card payments.[1] Merchants register for an account by providing contact information, some information about their business and its principals, and bank account informationThis information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submissionMerchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration dateMost merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required toIt is important to note that funds are briefly held in an aggregated clearing account at a bank before being deposited into the merchant's bank account It is important to note that merchants identify the account into which funds are ultimately deposited through the Stripe management interfaceMerchants consent to Stripe’s Services Agreement when establishing their accountA current version of the Stripe Services Agreement is available at https://stripe.com/us/legal.[1] https://stripe.com/us/paymentsMerchant Account Overview The Complainant submitted an account with Stripe on January 13, [redacted] under the name " [redacted] ***" at http://www.joesoip.comOn May 5, ***, three chargebacks were filed against the Complainant's businessAs these chargebacks accumulated, pursuant to the Complaint's agreement with Stripe and as described in further detail below, Stripe debited these funds from the ComplainantSpecifically, as further described below, we debited the amount that was charged back and a fee of $ [redacted] for each chargeback that we processed.When these chargebacks were filed, the Complainant reached out to StripeStripe support agents provided in-depth information about how to respond to these chargebacks and how to protect themselves from further chargebacks.Dispute Resolution TermsStripe charges a fee for providing the service outlined above (https://stripe.com/us/legal#fees-and-fines)This includes both fees per transaction as well as fees for other services, such as dispute resolutionFor US accounts, a merchant incurs a $ [redacted] dispute fee for each dispute submitted on a charge processed through Stripe's platform (https://stripe.com/docs/disputes/faq)We charge this because Stripe incurs fees and costs for each dispute filed against a merchantIf the dispute is resolved in the favor of the merchant, the $ [redacted] dispute fee is refunded to the merchant even though Stripe receives no reimbursement of fees and costs incurred in supporting the merchant with the dispute resolution processWhen a cardholder initiates a dispute against a merchant using the dispute mechanisms provided by the cardholder's bank, Stripe provides tools for the user to submit evidence that illustrates that the charge was legitimateHowever, Stripe plays no role in the ultimate decision made on whether the chargeback is validWhen a merchant signs up to use Stripe's services, the merchant agrees to be immediately liable for all disputesIn specific, the Complainant's agreement with Stripe states:"When a Chargeback is issued, you are immediately liable to Stripe for the full amount of the transaction related to 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 your Bank Account, debiting the 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 demandWhere such amounts are not immediately paid to us, you 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." (see https://stripe.com/us/terms#chargebacks)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
I am very unhappy with StripeUnlike [redacted] , they charge a fee for returnsThey have a binding relationship with [redacted] that has them taking over 5% from my salesI ended up with a "you are stuck" situation with [redacted] and StripeThey have no phone service and their email response sent me searching to figure out what they are taking aboutI am sick about this and see no way to get out of it without paying for another website
Initial Business Response / [redacted] (1000, 5, 2015/03/21) */ Stripe has worked extensively with this complainant since they filed this complaint and an amicable resolution has been reached The complainant had been deceived into providing their bank information to a fraudulent person who was in debt to StripeIt is ultimately up to each bank account owner to keep their information private and secureIf an unauthorized transfer is made to a bank account, it is best if the account holder's bank is able to reject the transfer Nonetheless, Stripe is returning these funds to the complainant as a show of good will and because their bank was unable to help as preferred
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on June 19, *** On June 11, ***, the Complainant was notified via email that they would no longer be able to accept payments using StripeThey were given the opportunity to have their account rereviewedThey provided additional informationWhen Stripe reviewed this additional information, it was determined that it was still unable to support the ComplainantOn June 11, ***, the Complainant was also informed that the charge on their account appeared to be unauthorized and, as a result, was being refunded 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 / [redacted] (1000, 5, 2015/03/24) */ As the customer stated, they initially reached out with an email on March 6th to ask why a transfer had not been scheduled along with a question regarding Stripe's pricingIn our initial reply on March 7th, we answered the pricing question and let them know that we were initiating an investigation into their transfer This investigation took several days to complete, with several internal staff working to resolve the transfer problemWe responded on March 17th as soon as we were able to rectify the issue on the customer's accountTransfers are currently functioning properly, and we have sent multiple transfers to the customer since our last email, including the $mentioned in the complaint
Complaint: [redacted] I am rejecting this response because: I did read reply, but since Stripe has no customer service phone number and no REAL customer service, I'm not surprisedI asked them to call meStill waiting.Sincerely, [redacted]
Initial Business Response / [redacted] (1000, 5, 2016/01/22) */ Stripe processes credit cards for thousands of businesses online (https://stripe.com/gallery)It looks like the complainant made a payment on one of their sites, and for some reason Stripe's details have shown up instead of merchants on the complainant's credit card statement As of today, 1/22/2016, the complainant has not reached out to [redacted] @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 issueIt looks like the complainant is referencing a transaction placed with Lumitact.com FlashlightsSince Stripe is unable to process refunds on behalf of merchants, the complainant will have to reach out to the Lumitact.com Flashlights support team here: [redacted] @lumitact.com If the complainant does not receive a satisfactory response from the merchant, then we would typically recommend filing a dispute for the charge with the credit card company used for the transaction We would be happy to answer any questions that the might have at [redacted] @stripe.com Initial Consumer Rebuttal / [redacted] (2000, 7, 2016/01/26) */ FLASHLIGHT RECEIVEDREPEAT: RECEIVED 1/22/ HOWEVER THIS APPEARS TO BE A SHADY COMPANY
Initial Business Response / [redacted] (1000, 5, 2014/10/27) */ Hi there, Thanks for sharing your concern about this unknown charge Stripe is a payment processor that helps merchants accept credit card payments online and in mobile appsWe process millions of credit card authorizations each year for thousands of companies of all sizes Sometimes, when a merchant using Stripe attempts to authorize a customer's card for later use, we send over a request to the customer's bank for either a $or a $authorization (different banks require different amounts)This is not an actual charge, and it will disappear from your statement; depending on the bank, it will be removed from your statement in anywhere from a few minutes to a few weeks When we perform this authorization, we send along statement descriptor text that includes the actual merchant's URL, phone number, and business address to your customer's bank However, sometimes card networks (especially American Express) take a day or two to display the merchant's information in its statement descriptor, and instead show "Stripe" and our address while a charge is pending"Stripe" is replaced by the merchant's statement descriptor within hours of the authorization attempt Stripe has been working with card networks to resolve this issue, so that the appropriate merchant's information appears at the time of the authorization attempt In this, the $authorization would have shown as pending for up to a month before dropping off of your accountStripe's information would have been replaced with information about the actual merchant within hours of the authorization attempt Thanks again for your feedback! Kind regards, Stripe Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/11/03) */ (The consumer indicated he/she DID NOT accept the response from the business.) It is my understanding and it appears that "Stripe" agrees that American Express should show the merchant's name and contact information that I did direct business with, not "Stripe"It needs to be a descriptor that is recognizable to the cardholderThis is apparantly a known issue and Stripe needs to put more pressure on AmEx to update their process to be compliantThey have notThis leads to confusion and a waste of time of all parties involved Stripe is non-compliant as a result of their third party's (namely, American Express) inability to comply with well known card processing standards I still don't know which merchant I initiated contact with that uses Stripe on the back end Final Business Response / [redacted] (4000, 9, 2014/11/07) */ Stripe helps thousands of merchants accept payments onlineWe don't charge customers' cards directly, and it's an unfortunate bug that sometimes our information shows up on cardholders' bank statements instead of the business'sAt the moment, American Express will show "Stripe" and our address while a charge is pendingThe payment in question would have been a charge authorization made with one of the many online businesses using Stripe to accept payments, and would not have come from Stripe directlyWhen [redacted] either attempted to store his card with one of these businesses or when he submitted a payment to one of these businesses, we sent over a request to his issuing bank for a $authorization to verify that the card was issued and the bank would allow it to be authorizedRegardless of whether or not the authorization is declined, we reverse our authorization request immediatelyHowever, even if the bank declines the authorization, some people may still see an authorization for $on their credit card statementThe important thing to remember is that this is not a charge, and it will disappear from [redacted] 's statement; depending on the bank, it will be removed from his statement in anywhere from a few minutes to a few weeks If [redacted] would like to write into us directly at [redacted] @stripe.com (for privacy and security reasons) with information about his charge authorization, we'd be happy to look up the charge authorization information and let him know which of our merchants created that charge authorizationSpecifically, the following information would be useful: - last four digits of the card - expiration date - card type
Initial Business Response / [redacted] (1000, 5, 2015/07/02) */ 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 The complainant wrote to Stripe on June 25th 2015, to let us know that they received a dispute on one of their paymentsThe complainant immediately closed their Stripe account, which made the evidence submission process more cumbersome since they no longer had access to the Stripe dashboardOn June 25th, 2015, and June 30th, 2015, a Stripe support representative responded explaining they could manually submit any evidence that the complainant could provideAs of July 2nd, 2015, Stripe has yet to receive any evidence from the complainantWe are happy to proceed with this as soon as the complainant sends us the requested evidence As a matter of further clarification, Stripe does not authorize charges for our usersMuch like the disputes process, we pass [redacted] relevant information (including any CVC, street check, and ZIP checks the user mentions in his complaint) to the card-issuing bank, who then authorize or decline the charge While it appears that the complainant took reasonable steps to resolve the disputes in their favor, Stripe is not in a position to cover the cost of disputed funds for our usersOur terms explicitly state that users are "immediately liable 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 reality of accepting credit card payments, especially onlineIn this case, there are no extenuating circumstances that warrant Stripe assuming liability for the disputed funds, though of course we will continue to support her as much as possible through any further disputes or chargebacks she receives Initial Consumer Rebuttal / [redacted] (3000, 7, 2015/07/03) */ (The consumer indicated he/she DID NOT accept the response from the business.) You did authorize the chargeI did not have access to any of the information about the buyer's credit card or information other than his name & addressThis is an ongoing problem with stripeThey accept ALL orders by credit card & do not verify whether or not the information matches & is accurate because regardless, THEY get paid the $fee for chargebacks & the loss is pushed off onto the sellerI WILL NOT use Storenvy again because Stripe is FORCED on sellers in order to sell on the site & I am not aloneI know of many, many sellers who feel the same way & have closed down their Storenvy storesYour company will not last long, you've screwed over way to many people but I'll still be in business so have fun while it lasts! And when a class action suit is filed against Stripe I'll be right there waiting to collect;) Final Business Response / [redacted] (4000, 9, 2015/07/14) */ The topic of disputes and the process for submitting evidence through the Stripe dashboard is well documented: https://stripe.com/help/disputes https://stripe.com/docs/guides/dispute-evidence The subject of disputes is also covered extensively in our terms of service: https://stripe.com/us/terms#chargebacks On June 30th, and July 1st, 2015, we reached out to the complainant to encourage them to submit evidence for their disputed chargeThe evidence submission window had closed, but we were willing to extend the evidence submission window as a measure of good faithUnfortunately, we were unable to proceed with the evidence submission process since they did not respond to this request for evidence Final Consumer Response / [redacted] (4200, 13, 2015/07/15) */ (The consumer indicated he/she DID NOT accept the response from the business.) They have & will continue to accept fraudulent charges because they don't lose any moneyIn fact they gain from every fraudulent transaction they accept so good luck staying in businessStorenvy has lost hundreds of sellers because of stripe & they are working on replacing you with Paypal to gain those sellers backThis is a crooked company that doesn't care whether or not they screw consumers out of money as long as they get their shareHave fun while it lasts!
Initial Business Response / [redacted] (1000, 5, 2016/01/24) */ 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 The complainant ultimately bears the responsibility for preventing fraud and disputes 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 usersThe complainant has provided evidence for many of the disputes and we are waiting on responses from the relevant banks before marking these as won or lostThe complainant will be informed of the outcome of these disputes as soon as we hear back from the banks Initial Consumer Rebuttal / [redacted] (3000, 7, 2016/01/26) */ (The consumer indicated he/she DID NOT accept the response from the business.) I am confused by their responseAre they going to look into this further or is the decision final and I have nothing I can do? Final Business Response / [redacted] (4000, 9, 2016/01/29) */ Stripe provides tools to help our users submit dispute evidence to banks, but the ultimate decision on a dispute lies with the cardholder's bank and not with StripeAfter that decision has been made, banks will not respond to outside inquiries in regards to disputes that have already been processed Although the decision has been made by the bank, we are happy to provide the complainant specific information and feedback on disputes and the evidence they submitted should they email us at [email protected], we cannot provide that information through the public forum on the Revdex.com website
Initial Business Response / [redacted] (1000, 5, 2014/11/07) */ We are always happy to help answer any questions or resolve issues that our users haveI'm afraid we don't offer phone support at the moment, but we are happy to support our users and their customers via email through [redacted] @stripe.com We also support questions via Freenode at #stripe and provide channels for sales, general queries, and partnership opportunities, as seen on our contact page here: https://stripe.com/contactThat said, we would like to provide phone support, and hope to implement it in the future
Stripe is unable to provide any additional information other than what is provided on the Complainant's Dashboard. When a dispute is initiated, the card issuer will not work directly with the merchant, they work through the processor. Because of this, Stripe allows users to submit information via the Dashboard to illustrate why the charge was legitimate so that they are able to work with the card issuer through Stripe. The Complainant has not yet submitted evidence via the Dashboard to prove the legitimacy of the charge. Stripe suggests that the Complainant log into their Dashboard and submit evidence, as outlined in the guide below, in order to allow the card issuer to investigate the dispute: https://stripe.com/docs/disputes/evidence
Initial Business Response / [redacted] (1000, 5, 2015/06/05) */ There was a uncharacteristic delay in responding to the emails here after a large influx of emails during this time periodOn May 26, we replied to the complainant's email and looked into this issueOn 1st June we updated the complainant with the issue, i.ethe transfers to the complainant's bank account were valid and were processed through a second Stripe account set up by one of the complainant's colleagues We explained how the complainant could access this second Stripe account in order to identify and reconcile the unrecognized transfers to their bank account in emails on 1st June and 2nd JuneOn 4th June we followed up to check if they could access this second Stripe accountWe are still waiting for a reply and confirmation that this issue has been resolved Initial Consumer Rebuttal / [redacted] (3000, 7, 2015/06/08) */ (The consumer indicated he/she DID NOT accept the response from the business.) The correspondence from Stripe is sporadic and the issue is not resolvedI've already responded directly to their support person [redacted] , that the second Stripe account does not belong to usthat the transactions are in errorErroneous deposits are still hitting our account, the latest being June 3rdOur bank is now trying to reverse the deposits thru ACH and is attempting to contact Strip on our behalf Final Business Response / [redacted] (4000, 9, 2015/06/13) */ Hi ***, My apologies for the difficulties here After you initially contacted us on May 18, my research revealed that a volunteer with MPAEF set up a second Stripe account in connection with a major fundraiser in As far as we're aware, the funds you're receiving are donations to MPAEF in response to that fundraiser At your request, I reached out to that user to get her permission for me to get you both in touch with each otherI then contacted you to confirm her identity, Ccing her on that email Unfortunately, I'm afraid my response may have been caught up in some email filterI've just reached out again today using the email you provided in this Revdex.com report, in hopes that my email will get through Once we're able to resolve ownership of the second account, we would be very happy to help you refund the charges associated with these transfers, if it turns out that they should not have been sent to MPAEFThis will involve coordinating with the owner of that second Stripe account, to make sure that any refunds are authorized by the appropriate parties I hope this sheds some light on this situationPlease don't hesitate to reach out if not, or if we can help out in any other way! Kind regards, [redacted] Final Consumer Response / [redacted] (2000, 11, 2015/06/17) */ (The consumer indicated he/she ACCEPTED the response from the business.)
Complaint: [redacted] I am rejecting this response because Stripe failed to put me in contact with the bank that is claiming these charges were fraudulent hence preventing the merchant from resolving the 'root' cause of the issue. Fraudulent chargebacks occur all the time and unfortunately the payment processing company and banks are able to obtain what they want out of the transaction at the expense of the merchant without doing a comprehensive due diligence of the chargebacks. I would like Stripe to put me in contact with the bank's fraud department to further investigate these fraudulent chargebacks.Sincerely, [redacted]
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on [redacted] 28, ***.Stripe OverviewAs background, Stripe provides a technology platform that allows merchants selling permissible goods or services online, or through a mobile device, to quickly and simply accept credit card payments.[1] Merchants register for an account by providing contact information, some information about their business and its principals, and bank account informationThis information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submissionMerchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration dateMost merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required toIt is important to note that funds are briefly held in an aggregated clearing account at a bank before being deposited into the merchant's bank account It is important to note that merchants identify the account into which funds are ultimately deposited through the Stripe management interfaceMerchants consent to Stripe’s Services Agreement when establishing their accountA current version of the Stripe Services Agreement is available at https://stripe.com/us/legal.[1] https://stripe.com/us/paymentsMerchant Account Overview The Complainant submitted an account with Stripe on [redacted] 13, [redacted] under the name "D&D Temporary Power Se" at https://merchants.2go.com/AccountDetails/DetailsForAccount?accountId=21841756&ra...⇄ processed payments for the account owner until [redacted] 20, ***During a routine review, Stripe was unable to confirm information about what the Complainant was sellingOn [redacted] 14, ***, Stripe reached to the Complainant to let them know about its concerns and to get additional information.The Complainant provided this information, as askedUpon further investigation, Stripe determined that it is able to support the Complainant's businessAt this point, the Complainant had already refunded their charges.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 / [redacted] (1000, 5, 2015/05/18) */ On May 13th, the complainant emailed Stripe 7:20AM to notify us that she was not able to access her Stripe account. We do our best to respond within 24 hours; our website states that we will respond within 24 hours, if not sooner. In this case,... we responded in six hours. After this complaint was opened, we were able to resolve the complainant's login issue. The last we were in contact was on May 14th, when a Stripe employee sent a follow-up email. Since we have not received any other messages from the complainant, the issue appears to be resolved. We're happy to help if the complainant has any other trouble!
Stripe reached out to the complainant on September 19, [redacted] in regards to an unusually large transaction that was processed on their account, as we needed additional information about the chargeAfter reviewing the charge and the complainant's account, we reached out to them on September 23, *** 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 processor
Initial Business Response / [redacted] (1000, 5, 2014/06/20) */ While Stripe does monitor users' accounts for suspicious activity and subsequently alerts users to suspicious transactions, Stripe users have the most information about their customersAdditionally, Stripe often does not have all of the information about transactions since Stripe is reliant on transaction information Stripe users pass along to StripeBecause of this, Stripe offers fraud prevention controls and fraud tools that Stripe users can utilize to minimize and prevent fraudAdditionally, since Stripe users have the most information about their customers, when Stripe notices suspicious transactions, Stripe alerts users to this activity but final decisions on how to action these transactions are left to the users themselves In this case, Stripe alerted the complainant to the fraudulent charges the same week that the charge was madeStripe recommended that the complainant refund these charges unless the complainant was certain that they were authorized by the legitimate cardholderAfter a conversation with the "customer," who appears to have not been the legitimate cardholder, the complainant went ahead with the transactionThirty-five days later, the actual cardholder issued a dispute with the reason code "fraudulent." More information about this reason code and actions that can be taken subsequent to receiving a dispute categorized in this way can be found here: https://support.stripe.com/questions/dispute-fraudulent-evidence When a chargeback is issued, a merchant is liable for the full amount of payment of the chargeback plus any associated fees, fines, expenses or penalties because following the customer's complaint, most banks tend to immediately side with the customer without additional investigation, and initiate a formal disputeStripe charges $per chargeback (note: this fee is dependent upon the currency in which the Stripe user receives funds), though this fee is refunded if the issuing bank decides the dispute in the user's favorIn the event that a Stripe user is able to win a dispute, Stripe returns the full amount of the charge and the $fee to the user, and incurs this costStripe returns that fee because Stripe feels strongly that users shouldn't be penalized for disputes that are resolved in their favorIn this case, the complainant lost the dispute, and is now liable for the full amount of payment of the chargeback, plus the associated $fees for the two disputed charges, totaling $ Stripe provides information about how Stripe handles disputes here: https://support.stripe.com/questions/how-does-stripe-handle-chargebacks Additional information about disputes or chargebacks can be found here: https://stripe.com/help/disputes The relevant section of the Stripe Terms of Service can be found here: https://stripe.com/us/terms#chargebacks When contesting chargebacks, Stripe provides merchants with chargeback assistance, including status notifications and the facilitating chargeback responsesHowever, Stripe does not assume liability for this role or assistance in contesting chargebacksStripe provided these services to the complainant, who was unfortunately did not win the dispute, and is now liable for the disputed funds The relevant section of the Stripe Terms of Service can be found here: https://stripe.com/us/terms#contesting-your-chargebacks Because Stripe provided notification to the complainant about the fraudulent charges, and because Stripe is not liable for the disputed charges, Stripe unfortunately will not be reimbursing the complainant for these disputed charges nor for the associated fees Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/06/30) */ (The consumer indicated he/she DID NOT accept the response from the business.) Paragraph two starts off with bold face liesStripe alerted me to the complaint by removing the funds from my account without warningThey sent an email the same day stating "We're sorry to report that one of your customers has disputed a $charge (made on February 26, 2014) with his or her credit card companyThe cardholder is claiming that the payment was one that they did not authorize." As well as a second one with the dollar amount of $on April 3, It was quite a shock to have $removed from my account since the original orders were placed on February 26, That was how I learned of the complaint, no prior notice, no warning that they would be removing the funds, nothingThey never recommended I refund the charges (paragrah 2, line 2) as they had already done that for me When I received the two orders in question, I did NOT receive a flag or warning from Stripe that this was suspiciousI sent the customer an email confirming their orders and mailed it with tracking numbersI have noticed that Stripe provides a significant amount of fraud alerts on larger platforms like Shopify - which uses Stripe as their processorThey have a colored scale starting with low rish (green) and escalating to high risk (red)Therefore, it would be very obvious, on Shopify, if the transaction was fraudulentThere is no such option on EcraterI am an idividual running a very small businessI rely on processors, like Stripe, to filter such transactionsThere is only so much I can do, as an individualIt appears that if I was a larger, multi-million dollar business, more attention would be paid to the risk factor of my charges as Stripe would be losing a great deal of money due to fraud if they didn'tThe loss from an individual, such as myself, means nothing to themBut it meant everything to meIt was cripplingIn this instance (or in similar instances), when the Seller has no real means to determine the authenticity of a cardholder, it should fall on Stripes shoulders to absorb the claimAfter all, Stripe does claim "Proven fraud protection Stripe actively works to protect your business from fraudulent charges and monitors suspicious transactions." This is stated right on the front of their features pageA page you read before you sign upTheir choice of words makes you feel secure, like they will filter out fraudulent chargesI have never had an issue like this with CBA, PayPal or Google Merchant (while it was operating)Further, I have never had a problem with Stripe as a processor for ShopifySo, Stripe has failed on their end, leaving me to try be the fraud filter they claim to beThey have misled the public as to their capabilities or actually, the level to which they help small businesses (which is none) Final Business Response / [redacted] (4000, 9, 2014/07/08) */ Ms[redacted] , I have reviewed your latest complaint from the Revdex.com, and I want to first apologize to you that we did not respond in a manner that I would have preferredAt Stripe we work hard to help our users with all aspects of their processing, and in this case, I feel we fell short in assisting you with this issue These transactions were flagged by our system, which normally emails out to our users to let them know that they might be dealing with potentially fraudulent transactionsThis allows our users to come to a decision regarding whether or not they should refund those payments, as they would usually have additional information regarding their customers that are not in our systems I am sorry that you were victim to fraud by a customer, and while this unfortunately happens online, we do try to provide fraud filters to our users to help themIn this case, you state that you did not receive an alert from us, and coupled with your own information were then unable to decision these negatively While we are not obligated to, because your experience with Stripe isn't what we strive to provide to our users, I have decided to refund the full amounts corresponding to those chargebacks, alongside any associated fees from our banking partners Again, Ms [redacted] , I am sorry for the inconvenience, and thank you for being a Stripe user Regards, Stripe Support team member Final Consumer Response / [redacted] (2000, 11, 2014/07/10) */ (The consumer indicated he/she ACCEPTED the response from the business.) Thank you very much
Initial Business Response / [redacted] (1000, 5, 2014/07/31) */ The dispute process is an unfortunate one, but one that Stripe has handled in accordance with Card Network rules, as well as our Terms of Service, which the complainant agreed to as a condition of account activationThe pertinent section of Stripe's TOS is included below: 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 your Bank Account associated with your Stripe account (using ACH, the mechanisms of the Canadian Payments Association or other method), 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 legal fees and other legal expenses, incurred by or on behalf of us in connection with the collection of any unpaid Chargebacks unpaid by you From Section of Stripes Canadian Terms of Service: https://stripe.com/ca/terms#chargebacks Stripe serves the role of a payments processor and as such, assists businesses in accepting online payments from their customersPart of this process is to receive the information provided by a cardholder or customer during the payment flow (such as card number, CVC, and postal code), and pass [redacted] along to their bankThis information is checked with the issuing bank to ensure the information contains a valid card number, and the card is able to have charges attemptedAdditionally, for most cards issued in the US, and some cards issued in Canada and the UK, the banks may also provide Stripe with a True, False, or Unchecked response indicating if the address and postal code information provided matches what the bank has on fileSimilarly, cards issued in almost every country support this same check for the CVC codeWe return these results in an easily accessible and readable format in the Stripe dashboard Stripe provides direct feedback from the bank as part of processing a payment for our users to aid them in detecting fraud, but Stripe is not a fraud detection companyApproval of a payment by the card issuing bank does not indicate that the payment won't be disputed in the future When a cardholder disputes a charge, Stripe is notified by the cardholder's bankwhich automatically refunds the transactionThrough the dashboard and email, Stripe then passes [redacted] as much information to our user as we get from the bankWe help the user submit evidence which we have done in this case after extending the submission deadline once but the cardholder's bank ultimately makes the decision as to how the dispute is resolved Companies using Stripe have different customer profiles, and various levels of risk regarding disputed charges and declined paymentsWe provide as much information about a payment and the cardholder as possible, but because they are the party with the most information about their customersif the customer is someone they know, if they have purchased before, if their order is a one for their shipping address our users are best equipped to determine whether or not a purchase is fraudulent Identifying when a credit card is being used by someone other than the cardholder can be difficult, and if our users are ever suspicious about a purchase's validity, we recommend issuing a refund immediately in order to avoid getting hit with a chargebackOn June 18th, a Stripe representative informed the complainant of this exact suggestion regarding suspicious payments made through the complainant's account Additionally, we do provide resources to help detect and prevent fraud, which allow our users to auto-decline charges that fail the Address Verification and CVC checks mentioned earlierActivating these settings is easily done from the account dashboard of a Stripe account Stripe is always willing to help our users respond to disputes, and both our email communications as well as our website upload dialog, explain the evidence requirementsIn this case Stripe didn't receive evidence that adhered to the bank's specifications (under 5MB in size) until July 18, which is when we then submitted that evidence to the bankThis was done after explaining the evidence upload requirements multiple times (which are set by the bank) and extending the deadline once alreadyWe will notify the complainant as soon as we receive feedback from the bank about the outcome of the disputeIt's important to note that, even with this submission of evidence, the bank could still resolve the dispute in favor of its cardholder rather than the complainantThis possibility was acknowledged and all financial liability was accepted by the complainant at the time of account activation Initial Consumer Rebuttal / [redacted] (3000, 7, 2014/08/17) */ (The consumer indicated he/she DID NOT accept the response from the business.) Thank you for the response Firstly, could you please forward the signed form from one of our signing officers that states our compliance with Stripe's TOS and accepting of financial liabilityOtherwise, please paste the rule(s) as part of the Card Network that states our compliance to Stripe's TOS and financial liability by simply activating an account with Stripe When discussing payment validity as part of the merchant's discretion, there were no signs that would have shown any form of fraud or wrong-doing as these purchases were made by good-standing, long-term customers with a regular address and non-aborder amountsYes, on June 18th a representative suggested this to us, but this was far after the charges in question were made and would have been more useful prior to We agree that identification of a cardholder online is a difficult task for all industries, however I think we can also agree that a lot of this difficulty can eased by simply activating the most basic tools given - CVC and address verificationThese are settings that should always be activated, unless specified by the merchant and should be automatically activated by Stripe as part of their default settings, not the oppositeOnline fraud is a multi-billion dollar problem and if Stripe genuinely cared to aid their clients in fraud detection, the settings for these very obvious pre-cursors to a legitimate purchase, would have been automatically turned "On" Although Stripe may see their own services and dashboard as easy-to-operate, they are difficult to someone who has no previous experience with their company or in the industry of payment processingStripe's services and dashboard were never properly explained to us by a Stripe representative, and considering that Stripe's default settings are set to have the easiest and most efficient verification tools turned "off" automatically, this should have been a priority on their part to explain this Final Business Response / [redacted] (4000, 9, 2014/08/22) */ At the time of writing (August 22, 2014), this user has encountered four (4) disputes on their Stripe accountFrom those four disputes, two of them have been ruled in favor of the user, and have been reflected in their account balance Upon further review, I've gone ahead and personally waived the remaining amounts owed on the two withstanding chargebacks, totaling $Due to these waived chargebacks, this Stripe user now has a balance of $CAD that is to be transferred to their bank accountThey can initiate this transfer from their dashboard, at the following https://dashboard.stripe.com/transfers/overview Our team takes dealing with disputes very seriouslyit's unfortunate that this scenario occurred, and I agree that enabling those checks up front would help prevent fraudulent chargesI'll pass [redacted] feedback along to our team and see if we can change this for future users, going forwardMy apologies for any frustration and inconvenience that this has caused Best, Stripe team member Final Consumer Response / [redacted] (2000, 11, 2014/08/30) */ (The consumer indicated he/she ACCEPTED the response from the business.) We appreciate Stripe's ability to claim ownership of any mistakes made on their partThank you for your attention to this issue and I believe both parties will be able to walk away from this experience having learned something If Stripe still cares to value our business, we would be willing to carry on our payment processing with you, with an attention on collectively setting up the account to prevent fraudulent activityContact us by email to discuss this matter
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on May 18, ***.Stripe OverviewAs background, Stripe provides a technology platform that allows merchants selling permissible goods or services online, or through a mobile device, to quickly and simply accept credit card payments.[1] Merchants register for an account by providing contact information, some information about their business and its principals, and bank account informationThis information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submissionMerchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration dateMost merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required toIt is important to note that funds are briefly held in an aggregated clearing account at a bank before being deposited into the merchant's bank account It is important to note that merchants identify the account into which funds are ultimately deposited through the Stripe management interfaceMerchants consent to Stripe’s Services Agreement when establishing their accountA current version of the Stripe Services Agreement is available at https://stripe.com/us/legal.[1] https://stripe.com/us/paymentsMerchant Account Overview The Complainant submitted an account with Stripe on January 13, [redacted] under the name " [redacted] ***" at http://www.joesoip.comOn May 5, ***, three chargebacks were filed against the Complainant's businessAs these chargebacks accumulated, pursuant to the Complaint's agreement with Stripe and as described in further detail below, Stripe debited these funds from the ComplainantSpecifically, as further described below, we debited the amount that was charged back and a fee of $ [redacted] for each chargeback that we processed.When these chargebacks were filed, the Complainant reached out to StripeStripe support agents provided in-depth information about how to respond to these chargebacks and how to protect themselves from further chargebacks.Dispute Resolution TermsStripe charges a fee for providing the service outlined above (https://stripe.com/us/legal#fees-and-fines)This includes both fees per transaction as well as fees for other services, such as dispute resolutionFor US accounts, a merchant incurs a $ [redacted] dispute fee for each dispute submitted on a charge processed through Stripe's platform (https://stripe.com/docs/disputes/faq)We charge this because Stripe incurs fees and costs for each dispute filed against a merchantIf the dispute is resolved in the favor of the merchant, the $ [redacted] dispute fee is refunded to the merchant even though Stripe receives no reimbursement of fees and costs incurred in supporting the merchant with the dispute resolution processWhen a cardholder initiates a dispute against a merchant using the dispute mechanisms provided by the cardholder's bank, Stripe provides tools for the user to submit evidence that illustrates that the charge was legitimateHowever, Stripe plays no role in the ultimate decision made on whether the chargeback is validWhen a merchant signs up to use Stripe's services, the merchant agrees to be immediately liable for all disputesIn specific, the Complainant's agreement with Stripe states:"When a Chargeback is issued, you are immediately liable to Stripe for the full amount of the transaction related to 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 your Bank Account, debiting the 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 demandWhere such amounts are not immediately paid to us, you 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." (see https://stripe.com/us/terms#chargebacks)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 / [redacted] (1000, 8, 2016/01/04) */ For a little
I am very unhappy with StripeUnlike [redacted] , they charge a fee for returnsThey have a binding relationship with [redacted] that has them taking over 5% from my salesI ended up with a "you are stuck" situation with [redacted] and StripeThey have no phone service and their email response sent me searching to figure out what they are taking aboutI am sick about this and see no way to get out of it without paying for another website
Initial Business Response / [redacted] (1000, 5, 2015/03/21) */ Stripe has worked extensively with this complainant since they filed this complaint and an amicable resolution has been reached The complainant had been deceived into providing their bank information to a fraudulent person who was in debt to StripeIt is ultimately up to each bank account owner to keep their information private and secureIf an unauthorized transfer is made to a bank account, it is best if the account holder's bank is able to reject the transfer Nonetheless, Stripe is returning these funds to the complainant as a show of good will and because their bank was unable to help as preferred
Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on June 19, *** On June 11, ***, the Complainant was notified via email that they would no longer be able to accept payments using StripeThey were given the opportunity to have their account rereviewedThey provided additional informationWhen Stripe reviewed this additional information, it was determined that it was still unable to support the ComplainantOn June 11, ***, the Complainant was also informed that the charge on their account appeared to be unauthorized and, as a result, was being refunded 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 / [redacted] (1000, 5, 2015/03/24) */ As the customer stated, they initially reached out with an email on March 6th to ask why a transfer had not been scheduled along with a question regarding Stripe's pricingIn our initial reply on March 7th, we answered the pricing question and let them know that we were initiating an investigation into their transfer This investigation took several days to complete, with several internal staff working to resolve the transfer problemWe responded on March 17th as soon as we were able to rectify the issue on the customer's accountTransfers are currently functioning properly, and we have sent multiple transfers to the customer since our last email, including the $mentioned in the complaint