Tell HN: Stripe Took Our $159k

#1

Post by neginshopper » Thu, Mar 17, 2022, 1:23 AM UTC

We created a marketplace called bringshopper.com where we bring shoppers to newly started businesses. We had a call with their sales team and as they suggested we used Stripe Standard Connect and direct charges. When we bring shoppers successfully we charged higher application fees to cover our costs and there was no upfront costs We even built feature to cover negative balances of connected accounts by cutting their ad budget

And one day Stripe blocked our account, and disabled all our connected accounts and said they WILL NOT RELEASE OUR FUNDS AND WILL USE TO REFUND ALL CUSTOMERS. Now there are multiple things: 1) They didn't refund anyone as we are a platform account we have no charges under us to refund 2) They didn't release funds either

They TOOK OUR FUNDS, $159k to be exact They can't refund customers of all connected accounts and use our funds as they advertise in stripe.com/connect/pricing that Stripe Standard Connect is not responsible for losses, disputes, refunds of connected accounts

There is no charges to be refunded or disputed and they simply took our funds

How is this even legal? Anyone had similar experience or anyone can help? Our company is struggling here due to this

Our account id is acct_1K7t9JC4s1I9dR5f

Updates: Edwin reached out in other thread I shared saying they can't support our business but still didn't say anything about release of our funds

I want to know when will we receive our money

Re: Tell HN: Stripe Took Our $159k

#2

Post by bognition » Thu, Mar 17, 2022, 1:37 AM UTC

I’m really sorry about this situation and hope you are able to find resolution.

The problem with a lot of these platforms is they aren’t your funds until they hit your bank account.

Early vendors on eBay saw this shit all the time with PayPal and it hasnt really ever been fixed.

The answer is legislation protecting the users of these service and guaranteed due process in the event that the service provider suspects fraud.

Re: Tell HN: Stripe Took Our $159k

#3

Post by jacquesm » Thu, Mar 17, 2022, 1:40 AM UTC

Of course Stripe can refund. That money came from somewhere, it can be sent back to where it came from.

Also: you had your run when you posted this the first time:

https://news.ycombinator.com/item?id=30705500

Re: Tell HN: Stripe Took Our $159k

#4

Post by djbusby » Thu, Mar 17, 2022, 1:40 AM UTC

Did they say why they can't support you?

Also curious how you accumulated these funds if there is nothing to refund? Where did that money come from.

I'm sure Patrick will be here soon to shed light.

Re: Tell HN: Stripe Took Our $159k

#5

Post by neginshopper » Thu, Mar 17, 2022, 1:44 AM UTC

bognition wrote: post #2

I’m really sorry about this situation and hope you are able to find resolution. The problem with a lot of these platforms is they aren’t your funds until they hit your bank account. Early vendors on eBay saw this shit all the time with PayPal and it hasnt really ever been fixed. The answer is legislation protecting the users of these service and guaranteed due process in the event that the service provider suspects f…

Does it mean they have the full right never pay me ans I can't sue and get my funds? My lawyer is suggesting sueing card brands in federal court for allowing Stripe holding our funds for no reason

Re: Tell HN: Stripe Took Our $159k

#6

Post by jacquesm » Thu, Mar 17, 2022, 1:46 AM UTC

neginshopper wrote: post #5

bognition wrote: post #2

I’m really sorry about this situation and hope you are able to find resolution. The problem with a lot of these platforms is they aren’t your funds until they hit your bank account. Early vendors on eBay saw this shit all the time with PayPal and it hasnt really ever been fixed. The answer is legislation protecting the users of these service and guaranteed due process in the event that the service provider suspects f…

Does it mean they have the full right never pay me ans I can't sue and get my funds? My lawyer is suggesting sueing card brands in federal court for allowing Stripe holding our funds for no reason

Either sue or accept their ruling but stop polluting HN this is not 'Stripe customer support'.

Re: Tell HN: Stripe Took Our $159k

#7

Post by neginshopper » Thu, Mar 17, 2022, 1:47 AM UTC

djbusby wrote: post #4

Did they say why they can't support you? Also curious how you accumulated these funds if there is nothing to refund? Where did that money come from. I'm sure Patrick will be here soon to shed light.

I really hope Patrick joins and helps, I would be very surprised ! We collected application fee from each sale connected accounts made. But due to this, charges are on connected accounts not under platform. And platform that uses Stripe Standard Connect with direct charges is not responsible for refunds/disputes of connected accounts. If they refund all transactions of connected accounts, that doesn't affect our balance as charges are not under us and we are not responsible. You can read about this here: stripe.com/connect/pricing

Re: Tell HN: Stripe Took Our $159k

#8

Post by neginshopper » Thu, Mar 17, 2022, 1:48 AM UTC

jacquesm wrote: post #3

Of course Stripe can refund. That money came from somewhere, it can be sent back to where it came from. Also: you had your run when you posted this the first time: https://news.ycombinator.com/item?id=30705500

They flagged it for writing this as Show HN instead of Tell HN

Re: Tell HN: Stripe Took Our $159k

#9

Post by neginshopper » Thu, Mar 17, 2022, 1:48 AM UTC

jacquesm wrote: post #3

Of course Stripe can refund. That money came from somewhere, it can be sent back to where it came from. Also: you had your run when you posted this the first time: https://news.ycombinator.com/item?id=30705500

We collected application fee from each sale connected accounts made. But due to this, charges are on connected accounts not under platform. And platform that uses Stripe Standard Connect with direct charges is not responsible for refunds/disputes of connected accounts. If they refund all transactions of connected accounts, that doesn't affect our balance as charges are not under us and we are not responsible. You can read about this here: stripe.com/connect/pricing

Re: Tell HN: Stripe Took Our $159k

#10

Post by neginshopper » Thu, Mar 17, 2022, 1:49 AM UTC

jacquesm wrote: post #6

neginshopper wrote: post #5

Earlier quoted context omitted.

Does it mean they have the full right never pay me ans I can't sue and get my funds? My lawyer is suggesting sueing card brands in federal court for allowing Stripe holding our funds for no reason

Either sue or accept their ruling but stop polluting HN this is not 'Stripe customer support'.

Their support is not answering anymore. I contacted them everyday for last 30 days. Plus $159k stuck in my account is very important topic