Stripe, Inc.

Initial Business Response /* (1000, 5, 2015/05/18) */
Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable law. As a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of...

Service. All users agree to these terms when activating Stripe accounts, and the terms are posted here: https://stripe.com/terms
Since Stripe bears financial responsibility for all accounts using Stripe to accept payments, Stripe needs to have a high degree of confidence about their legitimacy, and their likelihood of delivering promised goods and services. Stripe periodically reviews accounts to verify that they meet these standards, and reaches out to merchants should any issues arise.
During a routine review, Stripe identified strong signals that the complainant's account was in violation of the Stripe Terms of Service. Stripe cannot process payments that appear to be unauthorized by the owner of the charged card. On 8th April, Stripe reached out to the complainant to advise them of our decision and the closing of the account.
The closing of this account is in accordance with the following section of the Stripe Terms of Service. Our terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason".
https://stripe.com/us/terms#termination
While we will not be able to continue processing transactions on the account, this does not preclude the complainant from signing into Stripe and accessing any of the account's existing data.
Initial Consumer Rebuttal /* (3000, 7, 2015/05/19) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I dont need you to copy paste your policys I need to know when the money in my account will be transfered,all charged are legitimate and authorized.
Final Business Response /* (4000, 9, 2015/05/26) */
Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable law. As a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of Service. All users agree to these terms when activating Stripe accounts, and the terms are posted here: https://stripe.com/terms
Since Stripe bears financial responsibility for all accounts using Stripe to accept payments, Stripe needs to have a high degree of confidence about their legitimacy, and their likelihood of delivering promised goods and services. Stripe periodically reviews accounts to verify that they meet these standards, and reaches out to merchants should any issues arise.
During a routine review, Stripe identified strong signals that the complainant's account was in violation of the Stripe Terms of Service. Stripe cannot process payments that appear to be unauthorized by the owner of the charged card. On April 8th, Stripe reached out to the complainant to advise them of our decision and the closing of the account.
The closing of this account is in accordance with the following section of the Stripe Terms of Service. Our terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason".
https://stripe.com/us/terms#termination
While we will not be able to continue processing transactions on the account, this does not preclude the complainant from signing into Stripe and accessing any of the account's existing data.

Whenever the Terms of Service is updated, Stripe posts a banner the user's dashboard, such as the one below:"We've updated our Services Agreement to make it more consistent and better reflect the new products we've launched." This banner includes a link to the new Terms of Service so that it can be reviewed accordingly. If a user disagrees with any changes, they are welcome to terminate service with us. With that being said, previous iterations of the Terms of Service hold the complainant liable for any chargebacks that occur on their account.

Initial Business Response /* (1000, 6, 2014/08/18) */
The complainant submitted a Stripe account application on 24 July for a business that was in violation of our Terms of Service, which are easily accessible and optimized for readability here:...

https://stripe.com/terms#prohibited-businesses
All Stripe users, regardless of business model, are able to begin processing payments immediately upon account activation. Because of this, this user was able to process a number of payments before we closed the account. Upon account activation, the complainant proceeded to enter a significant volume of charges manually in a short time (submitting credit card information on behalf of the customers, rather than having customers pay on their own behalf). Shortly after, we determined that the nature of the transactions, in combination with the elevated dispute risk associated with the complainant's business type, was such that we would not be able to continue supporting this user, and, per our policy, we refunded payments for which we could not confirm cardholder authorization. We communicated this decision on 26 July.
This was all clearly articulated to the user, whose questions were all then answered on the same day they were asked. We provided the complainant with the relevant links from which reports and payment data could be downloaded, and continued providing technical support when issues arose; we have not heard back since our last technical support communication on 31 July.
All refunds were processed on 28 July, approximately a week before this complaint was filed. All refund confirmations have always been and continue to be made available to the complainant through the Stripe dashboard, the direct links to which we provided when asked.
The bank account debit referenced by the complainant was for fees charged by the 3rd party applications that the complainant had integrated with their Stripe account. All Stripe transactional fees were refunded along with the payment refunds, as we always do, but the complainant will have to request refunds of platform charges from the specific platforms with which they were integrated. As these are charges initiated by third parties, we cannot issue refunds on their behalf. Per the Terms to which the complainant agreed, they are responsible for any owed funds (including platform fees, refunds, or disputes) even after their Stripe account is no longer accepting new payments: https://stripe.com/terms#section_d
Initial Consumer Rebuttal /* (3000, 8, 2014/08/20) */
(The consumer indicated he/she DID NOT accept the response from the business.)
If Stripe had articulated their exceptions for our business model in their advertisements as they do here, we would not have signed up with them. In order to be transparent to all business models I feel that they should be held accountable for making their exceptions crystal clear early and obviously in their business offer to the public.
I also feel that they are obligated to explain to a customer, whether it is one they intend to keep or one they are separating from service, that third party fees may have to be extracted PRIOR to doing so and not be arrogant about their right to simply take money from other business' accounts. Because they did not do these things, I feel that they are still liable for the $41.12 and $35.00.
Final Business Response /* (4000, 10, 2014/09/05) */
Unfortunately, we have to refer this user once again to our clearly articulated Terms of Service: stripe.com/terms
There, we make explicit what business models are prohibited from using Stripe; this complainant's business fell unambiguously into one of these categories. Also in our Terms of Service is a clear articulation of the user's responsibility for returns. A quote from Section C.5 reads:
"For processed refunds, Stripe will deduct the refund amount (including any applicable Fees) from (i) settlement funds owed to you from processing of other card transactions, or (ii) funds in any Reserve Account. If these funds are not sufficient, you authorize Stripe to initiate an ACH debit entry to your Bank Account in the amount necessary to complete the refund transaction to the cardholder's card. In the event Stripe cannot access your Bank Account by means of ACH debit, you agree to pay all funds owed to Stripe upon demand. You are solely responsible for accepting and processing returns of your products and services; Stripe has no responsibility or obligation for processing such returns."
If the complainant believes they are owed a refund from a third party, they should contact that third party, as the request falls well outside of the complainant's relationship with Stripe.
Final Consumer Response /* (2000, 12, 2014/09/09) */
(The consumer indicated he/she ACCEPTED the response from the business.)
The situation is an unfortunate one that was not well researched by my company initially. While I am unhappy about the end result, the terms are clear, I believe them to be accurate, and I accept them.
[redacted]

Initial Business Response /* (1000, 5, 2014/05/13) */
The complainant originally wrote in to Stripe regarding this dispute on April 24. A member of our team responded to the complainant's request for more information on April 26. The initial interaction regarded confusion over an American...

Express chargeback on a partially refunded charge. $202 of the initial $333 charge had been refunded before Stripe received information from American Express about a chargeback.
Unfortunately, American Express allows their cardholders to dispute a partially refunded charge for the full amount of the original charge. In this case, the full amount of the original charge, $333, was disputed, despite the fact that the complainant had already refunded the customer $202 of the original $333. This is an unfortunate and largely unfair quirk of American Express's chargeback process.
Stripe agrees with the complainant that this is an unjust use of the chargeback system and has agreed to cover the full amount of the chargeback. We understand that the complainant has had a poor experience with American Express thus far, but at this point the chargeback has been reversed and the complainant will be receiving her funds. Stripe will be working with American Express in the hope that we can prevent similarly unfair situations in the future.
On the issue of chargebacks, our US Terms of Service clearly state that users are responsible for any chargebacks on their payments: "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)."
The relevant section of the Stripe Terms of Service can be found here: https://stripe.com/us/terms#chargebacks
Stripe does hold its users responsible for any chargebacks they may incur from the card networks' chargeback systems, but will be covering the complainant's chargeback in this particular edge case.
To be clear, Stripe is not the arbiter of chargebacks. Stripe does provide a platform for users to upload evidence in response to a chargeback, but is not involved in the decision-making process, as the chargeback system is one set up by credit card companies like American Express.
This is outlined in our US Terms of Service: "You or Stripe may elect to contest Chargebacks assessed to your account. Stripe may provide you with assistance including notifications and software to help contest your Chargebacks. We do not assume any liability for our role or assistance in contesting Chargebacks."
The relevant section of Stripe's Terms of Service can be found here:
https://stripe.com/us/terms#contesting-your-chargebacks
Regarding the delayed response times: Stripe answers emails in age order, with the oldest tickets answered first. Stripe's inbound ticketing system regards the user's most recent ticket in determining the age of the ticket. Because the complainant responded to the same ticket several times before a Stripe support team member responded, the ticket's age was refreshed every time the complainant wrote in. This resulted in a delay in Stripe's response time.
The complainant's emails were acknowledged on May 2. In this response, the support representative apologized for the delay in response and explained that we aim to provide excellent customer service, but had not reached those goals in this case. The complainant received a full response, in which the complainant was informed that Stripe would be covering this chargeback, on May 3.

Complaint: [redacted]I am rejecting this response because:Stripe Inc does not want to acknowledge the fact that there is something wrong with their system and that all this wasted time has made me loose business.  I would like them to pay for the lost sale because I had to refund my customer due to the fact that the funds of the sale could never be transferred to my account because according to what they are claiming that I did not put the correct bank information which is absolutely wrong.  I tried several times and it would take me back to the same.  There is something very wrong with their system but that is not my fault.  Now they are insulting my intelligence by suggesting that I did not put in my account's routing number.  Claiming that I just put in the checking account information.  Please, there are only two spaces on that form one for a routing number and one for a checking account number.  I put in the right information so I really don't understand why they are not acknowledging the fact that there is something wrong on their part.  They have apologize enough they even admitted that they dropped the ball and they really did. but the fact that they answer my emails does not mean that they are fixing the problem. They really need to get a customer service 800 number and really take care of business.  At this point I just want them to pay for the refund I had to make to my customer and a reasonable $[redacted] for the loss of business since all this started.Sincerely,[redacted]

Initial Business Response /* (1000, 5, 2015/06/05) */
On May 15, 2015, Stripe reached out to ask the complainant for an updated business website. Complainant responded promptly to the request. However, due to delays on Stripe's end, the complainant did not receive a resolution to their issue with...

their delayed transfer until one week later. We want to make sure that Stripe users have the very best experiences, and are committed to doing the right thing in situations where a mistake on Stripe's end has impacted a legitimate business's operations. For that reason, we have refunded the fees associated with the complainant's delayed payment, which was transferred to their bank account on May 22, 2015.

Initial Business Response /* (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 process. That said, Stripe does not have the ability to resolve...

disputes for our users, or make decisions about who wins or loses. Stripe 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 payments. The complainant immediately closed their Stripe account, which made the evidence submission process more cumbersome since they no longer had access to the Stripe dashboard. On June 25th, 2015, and June 30th, 2015, a Stripe support representative responded explaining they could manually submit any evidence that the complainant could provide. As of July 2nd, 2015, Stripe has yet to receive any evidence from the complainant. We 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 users. Much 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 users. Our 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 Chargebacks. We do not assume any liability for our role or assistance in contesting Chargebacks." Our users accept these terms when they create their Stripe accounts. More 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 online. In 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 /* (3000, 7, 2015/07/03) */
(The consumer indicated he/she DID NOT accept the response from the business.)
You did authorize the charge. I did not have access to any of the information about the buyer's credit card or information other than his name & address. This is an ongoing problem with stripe. They accept ALL orders by credit card & do not verify whether or not the information matches & is accurate because regardless, THEY get paid the $15.00 fee for chargebacks & the loss is pushed off onto the seller. I WILL NOT use Storenvy again because Stripe is FORCED on sellers in order to sell on the site & I am not alone. I know of many, many sellers who feel the same way & have closed down their Storenvy stores. Your 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 /* (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, 2015 and July 1st, 2015, we reached out to the complainant to encourage them to submit evidence for their disputed charge. The evidence submission window had closed, but we were willing to extend the evidence submission window as a measure of good faith. Unfortunately, we were unable to proceed with the evidence submission process since they did not respond to this request for evidence.
Final Consumer Response /* (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 money. In fact they gain from every fraudulent transaction they accept so good luck staying in business. Storenvy has lost hundreds of sellers because of stripe & they are working on replacing you with Paypal to gain those sellers back. This is a crooked company that doesn't care whether or not they screw consumers out of money as long as they get their share. Have fun while it lasts!

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 surprised. I asked them to call me... Still waiting.Sincerely,[redacted]

Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on June 15, [redacted].
Stripe Overview
As 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 information. This information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submission.
 
Merchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration date. Most merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required to. It 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 interface. Merchants consent to Stripe’s Services Agreement when establishing their account. A current version of the Stripe Services Agreement is available at https://stripe.com/us/legal.
[1] https://stripe.com/us/payments
Merchant Account Overview 
Stripe was not able to locate the Complainant's account with the information given. Stripe requests that the Complainant provide the email address associated with their Stripe account so that it can investigate the situation further.

I am very unhappy with Stripe. Unlike [redacted], they charge a fee for returns. They have a binding relationship with [redacted] that has them taking over 5% from my sales. I ended up with a "you are stuck" situation with [redacted] and Stripe. They have no phone service and their email response sent me searching to figure out what they are taking about. I am sick about this and see no way to get out of it without paying for another website.

Stripe operates within a variety of constraints imposed by our banking partners, credit card networks and applicable law. As a result, Stripe must fully understand its users to ensure their businesses are consistent with Stripe's Terms of Service. All users agree to these terms when activating...

Stripe accounts, and the terms are posted here: https://stripe.com/us/legalDuring a routine review, Stripe determined that the complainant's business was at a high risk for disputes. On October 16, [redacted], we contacted the complainant, informing them that we would no longer be able to support their business as their charges appeared to unauthorized and at the risk of having high chargeback levels:https://stripe.com/us/legal#specific-payment-methodsThe closing of this account was in accordance with the following section of the Stripe Terms of Service. Our terms very clearly state that Stripe "may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason". https://stripe.com/us/legal#terminationIn order to mitigate future losses to Stripe as a result of chargebacks on the complainant's account, a reserve was set in place that will last for 90 days. Funds will be transferred to the complainant's bank account on January 25, [redacted]. This is in accordance to our terms "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 normal. For 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/legalWhile there is a reserve in place, the complainant is able to log into their Stripe dashboard, process refunds to the customer's whose funds are held and reprocess these funds with a different processor.

Initial Business Response /* (1000, 5, 2015/06/05) */
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 process. That said, Stripe does not have the ability to resolve...

disputes for our users, or make decisions about who wins or loses. Stripe 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.
This user wrote to Stripe on April 27th 2015, questioning the validity of a payment they had received and asking for advice on whether or not to ship the merchandise. On April 29th, 2015, a Stripe support representative responded explaining that the payment did not seem legitimate, and advised the complainant not to ship merchandise, and to refund the payment.
As a matter of further clarification, Stripe does not authorize charges for our users. Much 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 users. Our 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 Chargebacks. We do not assume any liability for our role or assistance in contesting Chargebacks." Our users accept these terms when they create their Stripe accounts. More 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 online. In 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 /* (3000, 7, 2015/06/09) */
(The consumer indicated he/she DID NOT accept the response from the business.)
As a matter of clarification, this complaint is not to influence Stripe in making a decision for or against the disputed transaction, but rather for them to take responsibility for dispute.
With regards to the correspondence I sent Stripe on 04/27/2015 concerning the validity of the charge, it was stated I would receive a response within 24-hours. Unfortunately they did not reply in the allotted time frame and the response did NOT recommend the order not be shipped or the payment refunded. The response actually stated, "it's kind of difficult to give a 100% positive answer for you" and was labeled a "borderline case". The ONLY suggestion from Stripe was, "I would suggest reaching out to your customer, just to see what they say about your concerns.".
Again... My account was setup to require CVC and address verification. Stripe however, does not disclose that buyers can leave this information blank allowing for fraudulent charges to be accepted. This was the core problem in my situation. Logic should dictate that false AND/OR no CVC/address should result in the same... A decline in the charge.
Furthermore, the ONLY reason I did business with Stripe was because its a requirement to sell in the Storenvy marketplace. All the gibberish stating Stripe actually provides no service is buried in pages and pages of fine print which one would need to retain a lawyer to decipher.
I have been an online retailer for five years. In those five years I have used PayPal to accept all my payments, including those made by credit card, and not one time has there been a fraudulent charge. Yet only three transactions in with Stripe and I'm ripped off. This is nobody's fault except that of Stripe who accepted a payment which should have been refused based on my settings to decline payments which do NOT pass [redacted] & address verification.
Final Business Response /* (4000, 9, 2015/06/17) */
The complainant contacted us on April 27th to ask whether or not it was safe to ship the product. The body of this e-mail from the complainant follows with sensitive details redacted:
I received a payment in the amount of $225 and want to ensure its a valid payment before I ship the product. Is it valid and safe for me to ship?
Date: 2015/04/26 17:35:08
Payment ID: [redacted]
Request ID: [redacted]
Buyer ID: [redacted]
Store ID: [redacted] ID: [redacted]
We responded to the complainant on April 29th, and advised that it was likely a fraudulent charge. Our response to the complainant follows:
Hi [redacted],
Thanks for reaching out to us about this order.
I've taken a look at this charge and since *3rd party redacted* didn't pass [redacted] shipping information on to us, it's kind of difficult to give a 100% positive answer for you.
However, based on the information provided, I feel that this charge isn't legitimate. The reason I feel this could be a fraudulent charge is the Zip code ([redacted]) is for *city redacted * but that card issue country is *country redacted*. Even though the CVC passed [redacted] checks, it's possible that the card itself could be stolen, in which case, all card information including the cardholder's name and CVC would still be correct.
I would suggest reaching out to your customer, just to see what they say about your concerns. You'll often be able to get a good feeling whether any correspondence from them doesn't quite sound right. And if you're simply unable to determine whether or not the charge is legitimate, you will need to decide whether the charge presents unacceptable risk to your business, as you are responsible for each charge you choose to honor. Should a chargeback occur, you will be responsible for the full amount of the charge, even if you shipped in good faith. It's always best to err on the side of caution! You know your business and customers best, and should use this knowledge along with common sense to determine whether you wish to proceed with the order.
We offer a lot of advice regarding charge/order review here: https://support.stripe.com/questions/avoiding-fraud-and-disputes
I wish I could be more definitive, but some charges are really borderline cases! Please let me know if you have any other questions!
The complainant responded again on April 29th, claiming that they had already shipped the item since we did not responded within 24 hours. Having to wait more than 24 hours for a response does not relieve the complainant of their contractual obligations to bear the responsibility for preventing fraud on their account. This 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 C.7 of 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 us. If 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 demand. 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."
The complainant alleges that Stripe should not approve charges that have `unchecked` statuses for ZIP codes, but each cardholder bank determines whether or not to check those fields, and whether or not to approve a charge. In this case, the customer's bank in *country redacted* approved the charge. It's also worth noting that *country redacted* does not have ZIP codes, which explains why the ZIP code is marked as `unchecked`. Stripe offers the ability to automatically decline charges that fail these checks, but cannot decline unchecked payments. We cover the topic of Address and ZIP code checks in greater detail on our support page:
https://support.stripe.com/questions/what-is-avs
We also pride ourselves on having as much documentation for our users as we possibly can. One area of focus is fraud and dispute prevention, and we clearly mention steps for our users to take in order to prevent this exact type of situation:
https://support.stripe.com/questions/avoiding-fraud-and-disputes#identifying-pot...⇄ /> While we understand the stress this situation has caused the complainant, our Terms of Service and documentation are very clear that the ultimate responsibility for preventing fraud falls on our users. The complainant recognized the risk associated with shipping products to *country redacted*, as evidenced by the complainant's original e-mail to Stripe, but shipped the item before we had a chance to review the details of the charge and respond appropriately.
Final Consumer Response /* (4200, 13, 2015/06/19) */
(The consumer indicated he/she DID NOT accept the response from the business.)
Regarding the email response from Stripe on 04/29/2015, they indicated they looked into the zip code which was for California and it in fact was not. I checked myself and it came up as an international postal code.
Again, Stripe had no right to accept the payment without verifying the zip code, or as known internationally, a postal code.
Furthermore, Stripe is now claiming they offer no actual processing of payments and therefore they render no actual service, yet they charge a fee.
I still want a full refund as previously stated because I am out the monies and product due to their oversight. Perhaps they can later go after Storenvy for forcing members, such as myself, to use Stripe.

Initial Business Response /* (1000, 8, 2016/01/04) */
For a little background: Stripe creates software to help thousands of companies accept payments online. Sometimes, when customers make a payment to one of these companies, Stripe's details will temporarily appear on their statement instead of...

the company's.
Since we only process payments for these companies, we don't have the ability to view their order details, activation emails or cancellation policies. If the complainant can email [redacted]@stripe.com with the below payment details, we can search for these payment and provide contact details for the company who requested the charge:
- date of charge(s)
- amount of charge(s)
- last 4 digits of card used
- expiry date of card used
Initial Consumer Rebuttal /* (2000, 10, 2016/01/05) */
(The consumer indicated he/she ACCEPTED the response from the business.)
If they ar just a middle man for payments then they are not the ones responsible. If they can get me to the actual company I can handle it with them.

Initial Business Response /* (1000, 5, 2015/07/20) */
We appreciate the opportunity to follow up on this case with the complainant.
The complainant contacted Stripe on June 25 to inquire about a dispute that was received on June 23.
A Stripe support specialist responded on that same day...

with information about handling charges that may be fraudulent. This unfortunately did not directly address the complainant's request for advice on responding to the dispute.
We reached out to the complainant again on July 3 to ask for more information about additional disputes that they had received. In this email, we offered advice on addressing what seemed to be a pattern of fraud on their account. This advice included ways to:
+ limit the risk of fraud on their account
+ secure their account
+ return funds in payment for the chargebacks associated
with the disputes

The complainant contacted Stripe again on July 8, at which time they requested information for handling the disputes directly with the credit card companies.
A second Stripe support specialist responded back on the same day to let them know that we could not provide the information that the complainant was requesting. We did not hear back from the complainant directly to let us now they needed more information.
We apologize for incorrectly assessing the user's request when they first reached out to us on June 25. Unfortunately, we did not learn about their dissatisfaction until receiving this complaint.
On July 13, after receiving the complaint, Stripe support reached back out to the user to provide more comprehensive information about responding to disputes, and information about the specific disputes in question. It's our hope that this information was helpful in clarifying the disputes in question.
To this date, the complainant has not returned funds for the disputed charges. We would very much like to work with the user to explore options for repayment, as well as ways they can avoid similar disputes in the future.

Below is Stripe's Response to the complaint submitted by [redacted] (herein referred to as the "Complainant") on [redacted] 1, [redacted].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 information. This information is submitted through an electronic application process and additional information, such as ID scans, may be requested by Stripe after submission. Merchants have control over what information is provided to Stripe – for credit card charges, this must minimally contain the card number and expiration date. Most merchants also elect to provide the name, CVC, ZIP code as an anti-fraud measure, but are not required to. It 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 interface. Merchants consent to Stripe’s Services Agreement when establishing their account. A 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] 30, [redacted] under the name "[redacted]" at http://[redacted]. Stripe processed payments for the account owner until [redacted] 29, [redacted]. On [redacted] 21, [redacted], a chargeback was filed against the Complainant. Pursuant to the Complaint's agreement with Stripe and as described in further detail below, Stripe debited these funds from the Complainant. Specifically, as further described below, we debited the amount that was charged back and a fee of $[redacted]Detailed Account ActivityOn [redacted] 24, [redacted], the Complainant reached out to Stripe through [email protected], asking for additional information about how they could further protect themselves against chargebacks. Within 10 minutes, a Stripe support agent responded to the Complainant with additional information about how they could both prevent chargebacks and hopefully win them if one came in. The Complainant did not respond.On [redacted] 14, [redacted], the Complainant reached out to Stripe via Twitter, demanding a phone call. A Stripe support agent then gave them a phone call to explain the chargeback process. During this phone call, the Complainant stated that they did not want help with this situation and wanted Stripe's address so their attorney could contact Stripe. The Stripe support agent followed up with the Complainant via email with this information. The Complainant did not respond.The Complainant then began to berate Stripe and other Stripe customers from their [redacted] handle, https://[redacted]/with_replies until [redacted] 17. A Stripe support manager contacted the Complainant via phone call with more information about disputes. The Complainant then continued to berate Stripe and it's customers from their [redacted] handle until [redacted] 22, [redacted].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 resolution. For US accounts, a merchant incurs a $** 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 merchant. If the dispute is resolved in the favor of the merchant, the $** 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 process. When 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 legitimate. However, Stripe plays no role in the ultimate decision made on whether the chargeback is valid.  When a merchant signs up to use Stripe's services, the merchant agrees to be immediately liable for all disputes. Specifically, 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 us. If 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 demand. Where 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 /* (1000, 6, 2016/01/22) */
Stripe processes credit cards for thousands of businesses online ([redacted]). 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].com for help on how to proceed with this issue. When 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 issue. It looks like the complainant is referencing a transaction placed with [redacted].com Flashlights. Since Stripe is unable to process refunds on behalf of merchants, the complainant will have to reach out to the [redacted].com Flashlights support team here:
[redacted].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].com.
Initial Consumer Rebuttal /* (3000, 8, 2016/01/26) */
(The consumer indicated he/she DID NOT accept the response from the business.)
My mistake re Stripe! The name of the business is NGOA University of Guns. Since making my complaint, I have received the flash light, and the quality is extremely poor. It stated on the envelope to use caution, because batteries were inside the envelope, no batteries were included. The flashlight is about 5 inches long, and of Dollar Store quality. Made in China on box. (I learned a valuable lesson about online ordering). I found many many reviews on this product, and all were poor. Wish I had read reviews prior to ordering. As for myself, I was misled, and scammed out of $56.00, but wish you could address this issue for others that are buying from them, some spending much more than I did! Thank you for your assistance.
Final Business Response /* (4000, 10, 2016/01/29) */
As mentioned previously, Stripe does not process refunds or handle customer service issues for users who process payments on Stripe. We recommend the complainant reach out to the seller directly about their purchase, or dispute the payment with the credit card company used for the transaction.
The complainant is welcome to contact us at[redacted].com if they have any further questions.

Initial Business Response /* (1000, 5, 2015/11/06) */
Stripe uses a complex automated fraud detection algorithm that picks up on common indicators of fraudulent transactions and fraudulent businesses.
The complainant's business was identified by our fraud detection systems as a likely fraudulent...

business on October 30th, 10/30. As part of this process, we initially paused the transfer of funds. When the complainant contacted us on 10/30, we had already initiated an investigation. We then identified that a false positive had occurred.
On Nov 4th, 11/4, Stripe removed the fraudulent status from the customer's account and released the funds, which have since been deposited into the customer's bank account.
We have resolved the issue between the complainant and Stripe. If the complainant has any further questions for Stripe, they may contact us at [redacted]@stripe.com. We sent the following message to the complainant on November 6, 2015:
"Thanks for writing in and I sincerely apologise for the hassle here. As part of our desire to best protect our users, as well as our legal obligations, we have a lot of data points we use to detect potential fraud. As fraud patterns change, so to does our detection of it. While our systems are very, very good at this - it isn't 100% accurate and there are some cases where an account or charge can be flagged, incorrectly, as potentially fraudulent. We do review every Stripe account manually and always want to make sure we can work with as many users as possible.
On occasion, a legitimate charge can have all the signs of one that is potentially fraudulent, and it's these cases where sometimes a decision is taken that isn't the right one. I am very sorry for the trouble this caused and can assure you that your account has been fully enabled and you can continue using Stripe to process payments.
If there's anything else I can help with or if you'd like any more information, please let me know and I'd be happy to help."
False positives like this are rare, and Stripe takes them very seriously. Stripe is reviewing this case to determine what led to the first decision and how situations like this can be prevented moving forward. In the meantime, we offer our apologies and invite the user to let us know what if any additional remediation steps they'd like us to take.
Initial Consumer Rebuttal /* (2000, 7, 2015/11/09) */
(The consumer indicated he/she ACCEPTED the response from the business.)

Initial Business Response /* (1000, 5, 2015/10/20) */
As a payment processor, Stripe can only support businesses that abide by the regulations of our banking partners and credit card networks. When a new seller creates an account, its company representative consents to Stripe's Terms of...

Service before activating the account. In addition, Stripe is required to ensure that all businesses it supports fully comply with its policies, which are posted here: https://stripe.com/terms
As a company offering phone services, the complainant's business poses a clear violation of our Terms of Service. While Stripe is continually working to expand the types of users that it can support, it has limited flexibility at this time.
Additionally, Stripe is unable to work with users with high customer dispute rates. At the time of this writing, the complainant's dispute rate through Stripe exceeds the tolerable limit. These regulations are imposed by Stripe's banking partners and credit card networks. As a result of the merchant's business type and its associated dispute risk, Stripe was required to terminate the merchant's account on October 13th, 2015.
At this time, Stripe has initiated the transfer of all remaining funds in the merchant's balance to their bank account, and the seller can expect to receive them in the coming days. If there is anything else Stripe can clarify for the complainant, they can contact us at [redacted]@stripe.com.

Initial Business Response /* (1000, 5, 2015/04/02) */
While we can't go into detail on how we validate the dispute risk associated with charges processed, this user's account has been reviewed by multiple analysts to the same conclusion. Unfortunately, Stripe cannot process payments on...

behalf of businesses we believe to be in violation of our Terms of Service, or to pose a highly elevated risk of chargebacks. For additional context, our Terms of Service can be found here: https://stripe.com/terms
All charges, including all associated Stripe fees, on this user's account have been refunded to card holders, so we encourage the user to reach out for customers to pay by alternative means.
In addition, Stripe cannot process payments for businesses associated with another business that has been previously rejected (Section D.4).
Terms of Service, Section D.4
We may terminate this Agreement and close your Stripe Account at any time for any reason effective upon providing you notice in accordance with Section A.15 above. We may suspend your Stripe Account and your access to the Service and any funds in your Stripe Account, or terminate this Agreement, if (i) we determine in our sole discretion that you are ineligible for the Service because of the risk associated with your Stripe Account, including without limitation significant credit or fraud risk, or for any other reason; (ii) you do not comply with any of the provisions of this Agreement; or (iii) upon request of a Card Network or the a card issuer.
Initial Consumer Rebuttal /* (3000, 7, 2015/04/03) */
(The consumer indicated he/she DID NOT accept the response from the business.)
They say that they do not take business like my business which is a tax business or credit repair businesses, however I have both and they wont take neither. However I own a credit repair software that offers Stripe as the payment processor (TurboDispute). I also have NUMEROUS colleagues that use Stripe for their tax business, but mine is not allowed? Now I am done using them, but they are just full of it. They took more than two weeks to respond to me. And when they did, it was just some pre-recorded email that is sent out to satisfy people for the moment. There is NO REAL TIME HELP AT ALL.. NO REAL PERSON YOU TALK TO... All they do is act like they are a processor. If they were, then all the same businesses that are out there would be treated the same. If one tax preparer or one credit repair company cannot use them, then all of them should not be able to either.
Final Business Response /* (4000, 9, 2015/04/13) */
The complainant signed up for a Stripe account on March 15, 2015. On March 19, during a routine account review, Stripe identified strong signals that the account was related to another account we had previously closed for suspected fraudulent activity. Stripe cannot work with previously rejected users, so Stripe closed the account and refunded the charges. Stripe informed the complainant of the closure on March 19. There are currently no funds in this account.

Complaint: [redacted]I am rejecting this response because: I just cannot believe that Stripe Inc. would have so much time to waste.  Stripe Inc has a bad system and they know it.  My web site is on hold because of this.  Please refund the money I had to return to my customer due to the fact that your system does not work.  My web site is new and on hold because of your system's error.  Yes you answer emails days later  but that at the time did not fix my problem.  With all due respect I have no more time to waste just refund the money I lost and I will not tell you how to run your business such a big company should know what do. Sincerely,[redacted]