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Ask HN: Stripe holding funds for 120 days for no reason

158 points interesting_att | 5 comments | 22 Oct 22 15:43 UTC | HN request time: 0.999s | source

Hi Guys--

I started a Stripe account (even incorporated through them) for a basic graphic design and web design service business.

I process a few charges and even though I didn't get a single chargeback or dispute, Stripe decided to deactivate my account and said they would refund all the charges that were processed.

Which would have been fine with me. They said they would refund on Oct 17, but that date came and past. So I kept emailing.

Now they're saying they're holding all the funds for 120 days because of "elevated risk".

Which is insane because they have already withdrawn all the funds, meaning their risk would be zero if they refunded everyone.

I am beyond hurt and confused as I did need this money for my daughter. These decisions have real impacts on real families.

What do you do in this scenario? I have tried contacting support at Stripe but seems to be of no help.

Show context
JumpCrisscross ◴[22 Oct 22 18:58 UTC] No.33301063[source]▶
Contact your state’s money transmitter regulator [1]. If you suspect bad faith, looping in FinCEN may not be a bad idea [2].

[1] https://www.mtraweb.org/wp-content/uploads/2022/10/Contact-l...

[2] https://www.fincen.gov/contact

replies(1): >>33301501 #
1. aliqot ◴[22 Oct 22 19:48 UTC] No.33301501[source]▶
Given how buddy-buddy payment industry is, I'd advise against this unless a lawyer is willing to take it pro-bono on the basis that your case is so strong it'd be a layup.
replies(2): >>33301582 #>>33304063 #
2. dymk ◴[22 Oct 22 19:56 UTC] No.33301582[source]▶
That's really not how regulation in the payments industry works
replies(1): >>33301690 #
3. aliqot ◴[22 Oct 22 20:06 UTC] No.33301690[source]▶
The same way insurance companies and casinos collude against those who lose them money, so do payment industry companies. You might beat the case but you won't beat the ride.
replies(1): >>33301995 #
4. dymk ◴[22 Oct 22 20:37 UTC] No.33301995{3}[source]▶
What entity in your analogy is the regulatory body?
5. ◴[23 Oct 22 02:35 UTC] No.33304063[source]▶