[HN Gopher] TIFU by using Stripe as a payment processor for my s...
       ___________________________________________________________________
        
       TIFU by using Stripe as a payment processor for my small business
        
       Author : ahiknsr
       Score  : 480 points
       Date   : 2022-07-28 08:50 UTC (8 hours ago)
        
 (HTM) web link (old.reddit.com)
 (TXT) w3m dump (old.reddit.com)
        
       | davemtl wrote:
       | And in typical Reddit fashion, the post was removed for bending
       | the sub-reddit rules. It's frustrating that a popular and highly
       | upvoted post like this is just _removed_.
       | 
       | Anyone have the original content?
        
         | dsissitka wrote:
         | Google cache:
         | 
         | https://imgur.com/a/m0EybDN
        
           | dsissitka wrote:
           | Pasted below:
           | 
           | TIFU by using Stripe as a payment processor for my small
           | business. I used Stripe for about a year to run a small cell
           | phone store in Denver, CO area. In the case of my business, I
           | never had an issue processing my small payments for cell
           | phones, ranging from a couple hundred dollars up to $1000.
           | All of a sudden, we run a charge for $3300 because our
           | primary processor in my business was down, and we had a large
           | transaction to fulfill. Stripe flagged the transaction and is
           | now holding the money from me for "at least 120 days"
           | 
           | It is one thing to say this is a red flag, fine... I hear
           | you... no problem. a transaction multiple times the size...
           | sure. I get it. However A normal payment processor would then
           | query you for documents authorizing the charge, bank
           | statements, financial statements, some sort of procedure to
           | remedy the issue. Stripe provides NO SUCH METHOD TO RESOLVE
           | these issues.
           | 
           | I am concerned because there are reports of Stripe continuing
           | to add "30 days" to the reserve hold past the initial 120
           | days, indefinitely. One article detailed a hold that was
           | surpassing its 240th day. Stripe is taking advantage of a
           | lack of regulation in this space to steal small merchant's
           | large transactions. They see a big, outlier transaction and
           | lick their chops, hiding behind KYC and "Fraud prevention" To
           | hold your money indefinitely.
           | 
           | You cannot call Stripe. They do not have a phone number.
           | Their support page on their website has Phone call and
           | messaging grayed out. You can only email. If you email, you
           | get robots. Even in the same email thread, a different
           | "agent" (with a different name and everything) answers each
           | time with not prior knowledge of your history. There are no
           | ticket numbers to your support request; nothing tracking it.
           | The robots respond with what is quite obviously a template
           | response.
           | 
           | If you do a little bit of research about this topic, you
           | immediately see this is a prevailing issue. Reports of Stripe
           | taking up to $31,000 are all over the internet! Again, Stripe
           | gives no manner to remedy this. There is NO ONE you can call.
           | NO ONE you can talk to. More disconcerting, it seems that
           | anyone who posts about this issue on reddit gets downvoted
           | and teamed up against by established Reddit accounts, that I
           | have to imagine are owned by Stripe. These account have some
           | established reddit history on them, mainly talking about
           | coding in PERL. It's a little sus.
           | 
           | In my case, I sent my EIN letter, Sales Tax Receipt, Articles
           | of Org, Statement of Trade Name, Certificate of Good
           | Standing, Bank Statements, Website links, Signed transaction
           | receipts, and anything I could think of to Stripe to review.
           | I just received robot-responses; never got anything cleared
           | up.
           | 
           | I challenge reddit to connect me to a human being at Stripe
           | that can tell me how to resolve the issue. I'm convinced It
           | can't be done. This is a big problem and should be brought to
           | the attention of small business owners, and regulators!
           | 
           | TL;DR : I used Stripe to process my business transactions.
           | They saw a large transaction come through and used their
           | twisted TOS to steal $3,000 from my small business. They use
           | gray area contract loopholes to be able to hold your money
           | from you indefinitely. While you lose out on your working
           | capital and ROI, they collect free interest on your money;
           | potentially never returning it.
        
             | upupandup wrote:
             | At first glance thought this was a case of a zealous
             | flagging system but upon careful re-reading, I realize this
             | doesn't seem to be an isolated case meaning this guy isn't
             | the only one that had this happen.
             | 
             | Which makes me question just how credible Stripe's market
             | valuation is. It's far likely that as we exit the era of
             | cheap capital and expensive debt, the dominoes have begun
             | to fall and companies are doing everything they can to
             | horde cash. Especially when margins are razor thin.
             | 
             | I could be wrong but this is NOT a good sign. Any other
             | payment processor that pulls this will immediately be sued,
             | so why are they risking this knowing that TOS isnt the law?
        
               | nemothekid wrote:
               | > _Any other payment processor that pulls this will
               | immediately be sued, so why are they risking this knowing
               | that TOS isnt the law?_
               | 
               | What are you talking about? PayPal has been doing this,
               | and worse, for a little over 20 years and has a $100B
               | valuation on the public markets.
        
               | upupandup wrote:
               | What do you think I'm talking about?
               | 
               | That didn't stop them getting sued. Up to certain amounts
               | Paypal/any US processor, whill automatically forfeit in
               | small claims court.
               | 
               | So what OP could do is sue Stripe in their civil small
               | claims court and Stripe won't bother sending a lawyer out
               | as doing so would be expensive.
               | 
               | Up to about $10k this should be possible. I've had many
               | success by taking shady companies that screwed me to
               | small claims and won by simply counting on them not
               | showing up.
        
         | hnarn wrote:
         | https://archive.ph/2022.07.28-123810/https://old.reddit.com/...
        
       | thiscatis wrote:
       | Watch the Stripe apologist come out in force soon. They'll brand
       | you as 100% running a crypto CP arms dealing coke selling dark
       | net platform owner because surely YC darling Stripe would never
       | mess up like this. Truth is they are just horrible.
        
         | rvz wrote:
         | Exactly. The Stripe fans and its nobility will try to keep
         | boosting Stripe's sainthood as if they do no wrong or won't
         | kill your business if you had fraudulent chargebacks (also
         | known as friendly fraud) and will make sure they are only the
         | exception. In reality, you are going to get destroyed by Stripe
         | with such large payments, even if they are not fraudulent.
         | 
         | They actually are killing businesses when they do that and
         | locking their accounts down for months. Even if you have a sum
         | like that for a business or it was an error, well good luck
         | with support as you are not getting that money back and your
         | business will end up shutting down.
         | 
         | That is the dark truth that the Stripe boosters and that the
         | hype squad won't tell you.
        
         | powerhour wrote:
         | You called it: https://news.ycombinator.com/item?id=32263429
        
           | thiscatis wrote:
           | Unbelievable right, going through someone's reddit history to
           | try to defend a corporation and do some victim blaming.
        
             | upupandup wrote:
             | There are also apologists for coinbase. I wonder if these
             | are paid "internet agencies" that realize that brand
             | management is increasingly done through social media.
        
       | iuiz wrote:
       | If you look through OPs history on Reddit he does a lot of Crypto
       | stuff and has Cannabis (THC) products in his shop. He is also
       | gambling.
       | 
       | > "YOLO'd may entire paycheck into a 10x margin account on NANO
       | and XRP - both way undervalued right now!"
       | 
       | Then there is a large payment on his business and Stripe has
       | forward payment risk with it. I can see the red flags, can you
       | too?
       | 
       | //edit: It gets even better. Some of OPs other threads:
       | 
       | > Buy Bitcoins for much less than in-game store prices.
       | 
       | > Hashcat finds WPA passwords, but it is wrong
       | 
       | > Why is my Internet connection through xfinity wifi HOTSPOT is
       | now filtered by Open DNS?
       | 
       | > [Question] Physical Mod or Network Hacking of Avaya 6402d IP
       | office Phone
       | 
       | > Just a Referral Portal to facilitate the $10 free Bitcoin Promo
       | :)
       | 
       | > Is Elon's favorite coin still going to the Moon, or with Elon's
       | help, now MARS?
       | 
       | > Can WSB drive DOGE higher than Musk did on the following day?
       | 
       | > Not Sure Who Cares about this but my CBD/Delta8 Distribution
       | and Retail Store just started accepting Crypto Payment for both
       | Wholesale and Retail sales!
        
         | sph wrote:
         | Did you really go and stalk this person's profile to show it's
         | OK for them to lose their money?
         | 
         | > > Why is my Internet connection through xfinity wifi HOTSPOT
         | is now filtered by Open DNS?
         | 
         | Is this your proof of them being sketchy?
         | 
         | Shame on you. I hope never to do business with you.
        
         | ziddoap wrote:
         | What relevance does any of that have when OP has supporting
         | documents for this specific transaction, which is the only
         | transaction Stripe has issue with and the only issue that OP is
         | trying to resolve?
        
           | mitchdoogle wrote:
           | We don't know what relevance it might have, but it shows the
           | OP participates in risky ventures in a sector with a lot of
           | fraud. There could certainly be some part of the story that
           | is important that OP chose to leave out because it makes him
           | look bad.
        
             | ziddoap wrote:
             | > _We don 't know what relevance it might have_
             | 
             | Seriously? It has absolutely _no_ bearing on the
             | transaction in question.
             | 
             | Hashcat? OpenDNS? A question about Elon? I mean I know HN
             | _hates_ cryptocurrency with a fiery passion... But that has
             | _no influence whatsoever_ on this specific transaction for
             | which OP claims to have all the documentation for (it wasn
             | 't a cryptocurrency transaction, so why would interest in
             | BTC be relevant to the transaction?)
             | 
             | This has to be one of the worst sides of the internet. User
             | posts issue X, and other users spend all of their time
             | looking through post history so they can shame them and
             | come up with some twisted reasoning that X is justified.
        
               | registeredcorn wrote:
               | I'm sure the alternative would go over well too. "This
               | guy used a throwaway account to report a problem! Seems a
               | little suspicious. What are they trying to hide?"
        
           | austenallred wrote:
           | Having watched a lot of these stories go down one thread in
           | many of them is Stripe was required by some combination of
           | regulators/banks to freeze funds of someone who has been
           | selling cannabis, and because of privacy cannot openly say
           | that such is the case.
           | 
           | The person proceeds to escalate and escalate through every
           | customer service option (including Reddit, HN) not
           | necessarily because they're not getting a response, but
           | because it's not the response they want.
           | 
           | I don't know if that's true here, but I've seen it happen
           | internally with YC companies many times.
        
             | ziddoap wrote:
             | And what does any of that have to do with Elon, Doge,
             | Hashcat, OpenDNS, BTC, or hacking a phone? How could any of
             | those reddit posts be relevant?
        
               | austenallred wrote:
               | Those do seem irrelevant to me. The cannabis one caught
               | my eye though.
        
               | ziddoap wrote:
               | If parent only posted the cannabis one, with the framing
               | that you did (cannabis can be troublesome in some areas,
               | federal regulations, etc.), I wouldn't have made my
               | original comment.
               | 
               | Instead they went on a smear campaign, in some righteous
               | attempt to label OP as deserving of not being able to
               | reach support because they have posted about
               | gambling/cryptocurrency/etc. Gross.
        
         | upupandup wrote:
         | This account is weird. Joined months ago, rarely posts and
         | suddenly decides to become a forensic analyst to dig through
         | someone criticizing Stripe?
         | 
         | I am seeing this weird behavior more and more on HN. Inactive
         | accounts suddenly seem to come out of the woodwork to defend,
         | attack critics when a YC company gets involved.
         | 
         | Even asking innocent questions like: is there an alternative to
         | what this YC company is offering is grounds for flagging and
         | downvotes.
         | 
         | I think the readers can make the call as to what is happening.
         | I don't buy that these are just lurkers suddenly logging in
         | after months of inactivity to focus on one thread, and I've
         | counted roughly about 3 to 4 HN accounts that are doing it on
         | this thread alone.
        
         | Crosseye_Jack wrote:
         | If the transaction OP did through stripe was for a product(s)
         | containing CBD/THC (EDIT: They sold a van. > We sold a cheap
         | van in the company name. ) then I can understand why Stripe
         | closed the account as it's on their restricted businesses list
         | (often not because stripe disagree with the product, but the
         | providers stripe use disallow them and stripe have to do so
         | otherwise risk losing access to the provider for everyone). And
         | once the account is closed there won't be any more transactions
         | on the account to recoup the cost if transaction's get reversed
         | down the road.
         | 
         | But that doesn't excuse Stripes lack of communication / canned
         | replies. Even if you are parting ways with a customer it's not
         | wise to burn bridges, who knows maybe CBD/THC products won't be
         | shit listed later down the road and you would welcome the
         | customer back. But leaving a nasty taste in the customers mouth
         | will make them much more hesitant to return.
        
         | rk06 wrote:
         | And that justify zero response to a business account by stripe?
         | No, it doesn't. So stop with victim blaming and smear campaign
        
         | nibbleshifter wrote:
         | And this is relevant how?
        
         | joshmanders wrote:
         | You know Stripe didn't go through this guys socials to find all
         | these threads and THAT is why they locked him down, right?
         | 
         | Stop victim blaming and throat goating Stripe, it's disgusting.
        
           | anonymousab wrote:
           | They might have some automated system that does it. With the
           | amount of money going around and the ease of deploying such a
           | technology (single digit false positives don't really matter
           | to the modern megacorp) I'd somewhat expect it to be standard
           | right now.
           | 
           | The really gross but unsurprising part is their sheer
           | unwillingness to talk about this instance and actually work
           | with the customer to clear things up.
        
           | jeroenhd wrote:
           | It's possible that the van sale was what triggered the fraud
           | team to take a closer look at the account. I don't know if
           | Stripe bans weed sales but if they've been selling normal
           | quantities I doubt the algorithms would have them pop up as
           | suspicious.
           | 
           | Then a huge sale goes through (company van) and an actual
           | human of the fraud team looks into the normal products sold
           | through the account. If they then find that the products sold
           | violate the terms and conditions, they've got a reason to
           | lock the account.
           | 
           | They don't have a good reason to block the sale of the van,
           | though, especially if their ex customer has provided the
           | necessary paperwork. They can lock future transactions and
           | even all pending transactions if they have to (and demand
           | proof that they don't violate the TOC for them to go
           | through), but after filing all that paperwork the $3300
           | transaction should just go through.
        
       | sph wrote:
       | You either die a promising startup, or live long enough to see
       | yourself become just another Paypal.
        
         | mitchdoogle wrote:
         | One thing stripe still has going for it is that it has a great
         | user experience, both for businesses and developers. PayPal
         | can't say that
        
           | sph wrote:
           | I have used Paypal almost daily as a user for more than a
           | decade and it's never failed for me either.
           | 
           | Stripe originally was great because they had a simple API,
           | developer-oriented focus, and IIRC cheaper than Paypal. And I
           | bet better customer service because they were smaller.
           | 
           | Nowadays it's not cheaper, the customer service isn't any
           | better, and my snarky comment isn't too far off from reality.
        
       | a2tech wrote:
       | This is now on the front page of Reddit. Someone at Stripe PR is
       | going to have a bad morning.
        
         | sph wrote:
         | They'll soon be here saying sorry, CEO will be in touch with
         | you and will sort this out immediately.
        
       | ciguy wrote:
       | Stripe is going the way of PayPal it seems. Many people learned
       | this lesson the hard way with PayPal now they will learn it with
       | Stripe I guess. You have no real recourse when these companies
       | decide to steal your money and their incentives are very much to
       | do so as they get to hang onto it for extended periods.
       | 
       | I don't think it's a coincidence that this happened as we go into
       | economic downturn and layoffs. Too bad they're not a public
       | company, if they were I would be shorting their stock right now.
        
         | aga98mtl wrote:
         | Stripe like paypal is not to blame in this story. The problem
         | is the credit card payment standard. Transactions can be
         | charged back up to 180 days. This means that by giving the
         | merchant the money right away, Stripe runs the risk that a
         | transaction will be charged back and that the merchant wont
         | have fund to cover it.
         | 
         | Stripe like any other processor runs an algo to determine the
         | risk profile of each transaction to decide if you get the money
         | immediately or not. If you have a sudden high ticket
         | transaction, the odds this will be charged back are much
         | higher. This is why they freeze that money up to 180 days.
         | 
         | It sucks, but it is how the credit card system works. Someone
         | has to cover the chargeback risk.
        
           | ciguy wrote:
           | Temporarily freezing the funds is understandable, just long
           | enough to ask for clarification or documentation from the
           | merchant. Instead they decided to go the Google route of
           | ignoring your customer because "algorithm said no".
        
           | zht wrote:
           | the solution isn't to blackhole your customer for 180 days.
           | 
           | it's to provide a human being to talk to or ask for
           | clarifying information
        
             | skc wrote:
             | I guess the argument then becomes one of scalability.
        
               | tpxl wrote:
               | If you can't scale customer support, you can't scale
               | period.
        
           | elcritch wrote:
           | Sounds like they also closed the account as well.
        
         | wonderbore wrote:
         | First thing I thought. PayPal is known to pull this kind of
         | moves, now it's Stripe's turn to steal some money "for
         | security."
        
       | tothrowaway wrote:
       | Putting my dang hat on. Related:
       | 
       |  _Tell HN: Stripe brought my business to a dead stop_ -
       | https://news.ycombinator.com/item?id=21030633 - September 2019
       | 
       |  _Tell HN: Stripe shut down my 4-year business with no
       | explanation_ - https://news.ycombinator.com/item?id=28085706 -
       | August 2021
       | 
       |  _Stripe banned us for payment disputes but we never had a single
       | dispute_ - https://news.ycombinator.com/item?id=28522784 -
       | September 2021
       | 
       |  _Stripe Shut Us Down_ -
       | https://news.ycombinator.com/item?id=28881026 - October 2021
       | 
       |  _Help HN: Stripe shutting us down with 48 hours notice on a
       | holiday skeleton crew_ -
       | https://news.ycombinator.com/item?id=29712023 - December 2021
       | 
       | I'm probably missing a lot of threads.
        
         | mrweasel wrote:
         | If you process more than say $10,000 per year, you should have
         | multiple payment providers.
         | 
         | It's doubtful that Stripe is worse than other payment
         | processors, they just process more payments than most other.
         | Payment processors universally suck, partly because they live
         | in fear of VISA and MasterCard. They tend to overreact or have
         | automated systems that will falsely flag account.
         | 
         | Most have okay support, but resolving issues can take time,
         | especially if the credit card companies are involved. In the
         | meantime, you're kinda screwed.
         | 
         | All the stories you linked share the naive assumption that they
         | could just integrate with Stripe and that's payments sorted.
         | 
         | If you rely on just a single company to handle your payment I
         | assume that what you're doing the a side-hustle and that you
         | have another job that pays the bills. You need multiple payment
         | processors and an easy way to switch between them, that is the
         | sad reality of online payment processing. You may have a
         | preferred processor, typically the cheapest provider, but you
         | always have a backup. That also helps you when your primary
         | processors inevitably have an outage.
         | 
         | You could argue that you have the same issue with using a
         | single cloud provider, but their incentives are a little
         | different. Being too heavy handed could cause customers to
         | leave a given cloud provider, costing the provider money. If
         | Stripe isn't heavy-handed enough, they could lose their
         | integration to VISA, costing them their entire business.
        
           | sschueller wrote:
           | 10k? That's a tiny amount to have to get a second payment
           | processor. Additionally if you are dealing with physical
           | cards you probably also need a second set of card readers?
        
             | mrweasel wrote:
             | Could be $10K, could be $200K, depends on your tolerance
             | for risk.
             | 
             | And, yeah I was thinking online only. If you need card
             | readers you're pretty much stuck with one provider. Where
             | I've seen people get in trouble with their payment
             | processors it has only been online. Terminals are rather
             | difficult to misuse these days.
             | 
             | If you deal with both online and card readers, keep those
             | on separate accounts. That is two account at the payment
             | processor (PSP) and two accounts with the acquirer company.
        
         | boringg wrote:
         | I'm no defender of stripe (or corporations) but the one thing I
         | always find interesting is that a lot of the complaint stories
         | are one sided as the company can't release any information due
         | to privacy. Many times these complaint stories have cases of
         | fraud or other problematic issues and use the public forum to
         | generate publicity. There are cases of people getting caught up
         | inadvertently as well.
        
       | lotophage wrote:
       | > More disconcerting, it seems that anyone who posts about this
       | issue on reddit gets downvoted and teamed up against by
       | established Reddit accounts, that I have to imagine are owned by
       | Stripe. These account have some established reddit history on
       | them, mainly talking about coding in PERL. It's a little sus.
       | 
       | I too am a little suspicious of anyone who codes in PERL
        
         | Bayart wrote:
         | Try doing RegEx with Bash's native engine before you start
         | judging us :(
        
           | TheNewsIsHere wrote:
           | That's no joke! I have only ever been able to write
           | successfully _portable_ RegEx in Bash by evaluating using
           | Perl.
        
           | omginternets wrote:
           | We're judging you for the regexes ;)
        
         | [deleted]
        
       | User23 wrote:
       | More and more it feels like the legal department is the only
       | reliable way to get in touch with a human being. This sounds like
       | a job for small claims.
        
       | igneo676 wrote:
       | http://web.archive.org/web/20220728124858/https://old.reddit...
       | 
       | For anyone who is looking for the original story, which has been
       | removed
        
       | arein3 wrote:
       | A solution could be to have a backup account for cases like this
        
       | psyfi wrote:
       | Take them to attribution?
        
         | mwexler wrote:
         | Did you mean arbitration?
        
       | christkv wrote:
       | In the EU most countries have a financial sector regulator. If
       | this happens in the EU and a payment provider does not respond
       | contact them as it will light a fire under their seats.
        
       | davidkuennen wrote:
       | I feel this. Today many people got this message from Apple
       | (apparently wrongly):
       | https://news.ycombinator.com/item?id=32260733 which would've
       | resulted in Apple holding a lot of money from me which is
       | business critical.
       | 
       | For payment processing, something like this without a means to
       | appeal quickly shouldn't be allowed. It endangers companies and
       | the livelihood of many people.
        
       | xdrosenheim wrote:
       | Stripe responded to a Twitter post about it, Reddit helped
       | retweeting it.
       | 
       | https://twitter.com/GenosAtHonda/status/1552588035077726208
        
         | bufferoverflow wrote:
         | Wow, that's an insane way to treat customers. No explanation of
         | any kind. I guess I won't be using Stripe anymore.
        
         | registeredcorn wrote:
         | https://twitter.com/stripe/status/1552613789706567680
         | 
         | I'll wait with bated breath.
        
         | rutierut wrote:
         | This type of canned response is so repulsive, I imagine the
         | only reason why it might be a good idea to send things like
         | this is because it's less offensive than nothing and just as
         | expensive.
        
         | lma21 wrote:
         | And they didn't help whatsoever
        
       | TheRealDunkirk wrote:
       | This started with Google, but we had years and years of stories
       | just like this about PayPal too. We need regulation to prevent
       | companies from throwing all user-account-related decisions to a
       | neural network, and then not providing a way to dispute its
       | output. YouTube and the copyright cartel is another good example.
       | It's ridiculous to have to say this, but this is what you get
       | when you no longer have a democracy (or representative republic)
       | and, instead, have a full-fledged corporatocracy/oligarchy
       | enabled by the Citizens United decision. Companies must be forced
       | to staff up to handle the issues that their technology causes.
       | Twitter and its moderation/banning/cancelation-of-accounts comes
       | to mind as well. You can tell me that they have 10's of thousands
       | of people working in this area, but it's clearly not enough. I'm
       | sorry, but FAANG companies all LOVE to brag about how much money
       | they make for their owners. They should be forced to spend some
       | more of it on making sure they address flagrant mistakes in their
       | automation systems.
       | 
       | Aaaaalllllllll of that aside, MOST of the time, with these kinds
       | of stories, there's usually more to it than is being said.
        
       | busymom0 wrote:
       | As someone who's recently looking into using stripe for a small
       | business, this makes me hesitant. And this isn't the first time I
       | have read this type of thing about them. Google also does this
       | sort of stuff with canned robot responses for play store
       | developers.
        
       | Nitramp wrote:
       | I think an interesting meta take is the question why payment
       | processors employ these draconic fraud protection mechanisms in
       | the first place.
       | 
       | I think it boils down to the prevalence of using simple magnetic
       | stripe credit card payments. While chip-and-PIN or Google/Apple
       | pay are of course also subject to fraud, not having even a first
       | factor (pin/password/fingerprint) makes card copying and theft
       | viable in the first place.
       | 
       | I have no data, but I'd bet that you get substantially less fraud
       | if you only process transactions with a first security factor,
       | and you can probably still improve on that with a second factor
       | (e.g. text message to authorize).
       | 
       | As a consumer, I have to deal with declined transaction
       | frequently (I moved which creates a mess for ZIP based "auth",
       | another cause is using cards outside my home country); I find the
       | whole situation hugely frustrating.
        
       | polux33 wrote:
        
         | epolanski wrote:
         | Because not only they are not a solution to payments in
         | general, not only their deflative nature will never make them
         | good at being "money", but they are not even the solution to
         | this very specific problem as well.
         | 
         | Because the solution to this problem is providing a better
         | customer care or face losing business and legal action.
        
         | sofixa wrote:
         | Nobody is saying there's no use case for cryptocurrencies.
         | However they absolutely _suck_ in the main use case - payments.
         | There are no chargebacks /protections against scams, the UX is
         | atrocious or relies on an unregulated and unprotected third
         | party. It's slow, it costs money to spend money. And it's also
         | destroying the planet with useless electricity consumption when
         | there's an energy crisis and climate change with resulting need
         | for transition going on.
         | 
         | All the rest hippie anarchist bullshit "take control",
         | "inflation", "fiat" etc. is just bullshit that's either
         | idealistic to the point of stupid or just stupid.
        
           | slotrans wrote:
           | > Nobody is saying there's no use case for cryptocurrencies.
           | 
           | There is no use case for cryptocurrencies.
        
           | anonymoushn wrote:
           | Hmm, seems like this guy wouldn't get his $3,000 stolen if he
           | got paid SPL USDC. The transaction would also cost less
           | energy than it did through Stripe.
        
             | ceejayoz wrote:
             | "Circle Confirms Freezing $100K in USDC at Law
             | Enforcement's Request"
             | https://www.coindesk.com/markets/2020/07/08/circle-
             | confirms-...
        
               | polux33 wrote:
               | Funny because you sound like a guy that could claim
               | crypto is an unregulated far west full or scammers, while
               | trying to prove that seizing 100K at law enforcement
               | request is the same as randomly keeping 3K of your
               | customers funds.
        
               | ceejayoz wrote:
               | You seem to think "we can freeze your funds" isn't an
               | appealing feature to scammers, which is odd.
               | 
               | https://www.circle.com/en/legal/usdc-terms
               | 
               | > If Circle suspects or determines that you or any of
               | your authorized users or customers, as applicable, have
               | violated this these Terms, including, but not limited to,
               | attempting to transact or transacting with Blocked
               | Addresses (as defined in Section 13) or attempting to
               | engage or engaging in Restricted Activities or Prohibited
               | Transactions, and you have a Circle Account, then Circle
               | may be forced to terminate your Circle Account and you
               | may forfeit any USD funds otherwise eligible for
               | redemption.
               | 
               | The list of "Restricted Activities" this applies to is
               | quite broad, including "provide false, inaccurate, or
               | misleading information". The parent poster's claim this
               | couldn't happen with USDC is readily proven false.
        
             | polux33 wrote:
             | Easiest bet to win. It's always the same arguments : fud or
             | concepts from 2010s
             | 
             | The ecosystem has vastly improved since
        
             | sofixa wrote:
             | > The transaction would also cost less energy than it did
             | through Stripe
             | 
             | Citation very much required.
        
               | anonymoushn wrote:
               | Oh no, I can't google things.
               | 
               | https://solana.com/news/solanas-energy-use-report-
               | march-2022
        
               | sofixa wrote:
               | First, that's a random chain nobody cares about that
               | recently had a massive controversy of them trying to
               | steal a user's fake internet "money".
               | 
               | Second, i don't trust their numbers - how could they
               | possibly know what type of electricity is used by their
               | validators?
               | 
               | Third - even _if_ we assume those numbers are true, I don
               | 't see a comparison with Stripe's per transaction CO2
               | emissions.
        
               | anonymoushn wrote:
               | > recently had a massive controversy of them trying to
               | steal a user's fake internet "money".
               | 
               | This is like saying that Ethereum stole from AnubisDAO
               | contributors.
               | 
               | > Second, i don't trust their numbers - how could they
               | possibly know what type of electricity is used by their
               | validators?
               | 
               | I think most of the validators are hosted at Equinix
               | through a deal negotiated by the Solana Foundation, but
               | not all of them.
               | 
               | > Third - even if we assume those numbers are true, I
               | don't see a comparison with Stripe's per transaction CO2
               | emissions.
               | 
               | If you can find any published numbers on this from Stripe
               | (or any other Ruby shop) that would be great.
        
         | Traubenfuchs wrote:
         | It would end up exactly the same way. Just as no serious
         | merchant simply puts up their IBAN and says "wire me the
         | money", no serious merchant will put up their crypto wallet
         | address saying "wire me the cryptos". They would use some kind
         | of crypto wallet payment provider/aggregator putting them at
         | the exact same spot they were at before.
         | 
         | Typical crypto shilling.
        
           | selfhoster11 wrote:
           | Sending money to an arbitrary IBAN is much more difficult
           | than sending money to an arbitrary crypto wallet address.
           | There is far less friction, to the extent that it's closer to
           | the difficulty of clicking a link on the Internet (not
           | difficult at all, in other words).
        
       | stef25 wrote:
       | FWIW it's totally possible to talk to someone at Stripe. We got
       | someone on the line and successfully negotiated their fees.
       | 
       | We're now using a 2nd payment processor that handles a type of
       | payment unavailable at Stripe and they're just garbage compared
       | to Stripe's backend / control panel system, which is
       | phenomenally.
       | 
       | Excellent company as far as I'm concerned.
        
         | danpalmer wrote:
         | I built the Stripe integration for a medium sized online
         | retailer, and our experience wasn't quite as good as this. Our
         | COO could get them on the line to negotiate our contract, but
         | our engineers struggled to get useful answers out of them via
         | email and our account manager often took weeks and multiple
         | pings to respond to product questions.
         | 
         | I have had amazing success chatting with their engineers on
         | IRC, but it's fairly unofficial, they're limited in what they
         | can do when things concern user data, and I don't think most
         | customers should need to get on IRC for support.
         | 
         | As for competitors though, I've heard from a customer "Stripe
         | treat taking payments as a business, $competitor treats taking
         | payments as a hobby". On balance, while not perfect, I'd
         | probably choose Stripe again, but I'd get an account manager
         | ASAP and try to build a good relationship with them rather than
         | treating it as a black-box SaaS product that I don't need to
         | interact with humans to use.
        
       | virtualmic wrote:
       | I couldn't read the story, as it has been deleted from reddit and
       | maybe I am missing something here, but why don't these companies
       | offer reliable one-time human support for a suitable fee?
        
         | hnarn wrote:
         | https://archive.ph/2022.07.28-123810/https://old.reddit.com/...
        
       | joe4k wrote:
       | Had a similar issue during lockdown where we had more orders than
       | usual. Stripe kept the money for 3 months. Contacting them for
       | support is a non-existent (robot replies). Hope a competitor is
       | taking notes to all this.
        
       | jrs235 wrote:
       | One way to get a response, and a better than 120 days response,
       | from Stripe is to file a complaint with the attorneys general
       | offices of your state and the state that Stripe is incorporated
       | in.
        
       | sleepyhead wrote:
       | "You cannot call Stripe"
       | 
       | Ironic since Stripe requires a phone number to have an account
       | and that phone number is required to be stated on the transaction
       | receipt.
        
       | orangepanda wrote:
       | > You can only email. If you email, you get robots.
       | 
       | Their dev support on discord is S-tier, but every now and then
       | some issue has to be moved to email support; where it dies. It
       | always takes months for something to be resolved, if at all.
       | 
       | My only consolation is that every other provider is just as
       | terrible.
        
         | Aeolun wrote:
         | > My only consolation is that every other provider is just as
         | terrible.
         | 
         | My experience with Authorize.net support was really good. Their
         | tech stack/api was absolutely archaic, but you could talk to
         | real humans.
        
           | kitd wrote:
           | This looks really good. Apart from anything else, they have a
           | fraud detection tool that you can configure to match your own
           | requirements, and can control yourself what happens to
           | payments when filters are triggered:
           | 
           | https://www.authorize.net/en-us/resources/our-
           | features/advan...
        
           | a2tech wrote:
           | And the thing about their tech stack is its old..but
           | absolutely workable. They have examples in pretty much every
           | language, decent documentation, and support. And they are
           | very slow to sunset things because their customers are slow
           | moving traditional businesses. So code you write for a
           | customer may work without tweaking for 4, 5, or even 10
           | years.
        
             | creeble wrote:
             | In my case, 20 years. No change in API calls in that time.
             | 
             | Very few errors, except in the early days. I hate them
             | because of the complexity of the solution (I needed a
             | relationship with a separate "payment processor" that has
             | changed names/systems/owners five times in those 20 years)
             | but I have had few problems with withholding etc.
             | 
             | But my monthly charges and individual charges are very
             | consistent, and chargeback rate very low (but not zero).
        
         | throwaway2016a wrote:
         | I have always been able to get a service rep on live chat
         | within 5 minutes... which is literally a "Live Chat" button on
         | their contact page not even hidden.
         | 
         | Note this is different than the Discord dev chat which is for
         | technical questions.
         | 
         | Once I get live chat it may take a day or two to resolve but if
         | it takes longer I just hop on live chat again and pester them
         | until it's escalated.
        
           | joshstrange wrote:
           | > I have always been able to get a service rep on live chat
           | within 5 minutes
           | 
           | That's neat and all but try to get them to actually fix
           | anything. They will 100% move you to email once you explain
           | your issue (assuming it's not "I can't find my password" or
           | equally basic) and then you will be in limbo. I hope you
           | enjoy no one responding to your ticket for days/weeks at a
           | time even after you provide them with all the info they ask
           | for.
        
           | ziddoap wrote:
           | > _Their support page on their website has Phone call and
           | messaging grayed out. You can only email. If you email, you
           | get robots._
           | 
           | According to the OP.
        
             | throwaway2016a wrote:
             | But as you can see in the Reddit comments, there are people
             | posting screen shots showing that is absolutely not true.
             | Which leaves 3 options:
             | 
             | 1. The UX was confusing and the OP couldn't find those
             | options.
             | 
             | 2. Stripe somehow has some logic that disables it
             | specifically for that person or that person's region.
             | 
             | 3. The OP didn't actually try and is lying in their post.
             | 
             | 1 and 3 are more negative reflections on the OP than
             | Stripe. And for 2 I'd need more details.
             | 
             | I saw this in the replies to the comment:
             | 
             | > The "chat" and "have us call you" options get greyed out
             | once they have frozen your account.
             | 
             | But from my own experience, that is wrong. Also OP didn't
             | say their account was frozen just that the money from that
             | particular transaction was being held.
        
               | ziddoap wrote:
               | There's someone else down thread here who says that
               | they've had the call/email greyed out on their Stripe
               | account as well.
               | 
               | > _Stripe somehow has some logic that disables it
               | specifically for that person_
               | 
               | I'm not sure why you wrote this as if it'd be a grand
               | technical challenge to implement. Locking-out specific
               | features based on X criteria is pretty damn common.
               | 
               | I don't particularly care in any case, I just had the
               | impression that you might of missed that specific line
               | when you wrote your original comment regarding the short
               | wait times you've had when calling support.
               | 
               | Edit: Seems like you saw the other post as well.
               | 
               | > _But from my own experience, that is wrong._
               | 
               | Well, from my vantage point I see 2 people claiming it
               | gets greyed out and 1 person (you) claiming it doesn't.
               | -\\_(tsu)_/-
        
               | throwaway2016a wrote:
               | > I'm not sure why you wrote this as if it'd be a grand
               | technical challenge to implement.
               | 
               | No, I meant that as literally "somehow" as in "has some
               | logic to"... no implication of difficulty. But I can see
               | how that may sound that way.
               | 
               | > Well, from my vantage point I see 2 people claiming it
               | gets greyed out and 1 person (you) claiming it doesn't.
               | -\\_(tsu)_/-
               | 
               | 3 people is not a large sample size. I did notice an
               | issue where it is grayed out until you select a topic.
               | Which may be partially at play here (which is a UX
               | issue).
               | 
               | My accounts got temp locked because they needed to verify
               | some KYC information. Maybe there is another more severe
               | level of lock that does gray it out. But then I'd need to
               | know way more details about what Stripe thinks the OP did
               | to get that lock before I start blaming Stripe or the OP.
        
               | ziddoap wrote:
               | > _Maybe there is another more severe level of lock that
               | does gray it out._
               | 
               | FWIW I asked upthread to a Stripe person, and they do
               | apparently grey out the support/call buttons in certain
               | situations.
        
               | jeroenhd wrote:
               | As another Redditor commented:
               | 
               | > The "chat" and "have us call you" options get greyed
               | out once they have frozen your account. They do not allow
               | such users to have them call. You can only receive a call
               | if they have not frozen your account.
               | 
               | I suppose you can create a second account and then
               | contact support from there, but they'll probably flag you
               | for ban evasion and make your situation worse.
        
         | dekken_ wrote:
         | > Their dev support on discord
         | 
         | This is also a red flag
        
           | anonymoushn wrote:
           | It could be worse. Sorbet is on free Slack, which means any
           | discussions older than a month or two are deleted.
        
             | selfhoster11 wrote:
             | Incredibly amateur hour if true.
        
               | xyzzy_plugh wrote:
               | Serious question: what's the alternative?
        
               | JasserInicide wrote:
               | There's these things called "forums" that we used to
               | use...
        
               | hairofadog wrote:
               | I've seen Discourse work pretty well for public-facing
               | support.
        
               | pygy_ wrote:
               | Zulip is pretty good for this.
               | 
               | By default, you have a linear, IM-like UX, but it is
               | trivial to fork conversations on specific topics.
        
               | selfhoster11 wrote:
               | Paying for Slack so messages don't get lost?
        
           | samber wrote:
           | Stripe is developer centric. Discord has a lot of developers
           | in their community.
           | 
           | I don't really like Discord, but i must admit it is a smart
           | choice.
        
             | whateveracct wrote:
             | A normal forum would be better in most ways.
        
             | km3k wrote:
             | > Stripe is developer centric.
             | 
             | What kind of excuse is that? I've seen so many small
             | businesses using Stripe. I doubt all their owners are
             | developers who are comfortable with Discord.
        
             | mabbo wrote:
             | Right, but what if my mother wants to start a business?
             | She's not a developer. Should she avoid Stripe?
             | 
             | What kind of company builds itself as only being a product
             | usable by _developers_? We 're a small niche market at
             | best.
        
               | thatguy0900 wrote:
               | I would hope your mother is hiring a developer to build
               | her payment infrastructure if standard over the counter
               | solutions like those iPhone swipe attachments don't work
               | for her.
        
             | registeredcorn wrote:
             | >it is a smart choice
             | 
             | For the _customer_?
        
           | lawgimenez wrote:
           | Using Discord for support is a major red flag.
        
             | xyzzy_plugh wrote:
             | As opposed to IRC? Slack?
             | 
             | Discord has excellent moderation tools, is economical and
             | relatively user friendly (compared to IRC). If you desire a
             | public space for your community to engage with you in real
             | time, I'm not aware of a better alternative.
        
               | navanchauhan wrote:
               | What about good ol' forums? Indexable by search engines
               | and proper moderation tools that have stood the test of
               | time.
        
               | xyzzy_plugh wrote:
               | Like a GitHub issue tracker? The concept of forums is not
               | lost on me, but I think the point of a chat service
               | solves different problems.
        
               | selfhoster11 wrote:
               | Discord is not a public space. It's not indexed by search
               | engines.
        
               | sph wrote:
               | No, you're supposed to use the abysmal Discord search
               | feature to find your question among a billion chat
               | messages, or post it in one of the 150 channels we have
               | for each topic under the sun. No sorry, wrong channel.
               | Oops, your message got lost somewhere in the thousands of
               | messages we receive per day.
               | 
               | Discord support is hell on Earth.
        
               | lawgimenez wrote:
               | What's wrong with using email or Intercom?
        
       | whiddershins wrote:
       | I've heard stories like this about PayPal, I have a friend who
       | claimed Chase Bank bankrupted his business in the 90s ...
       | 
       | I'm thinking all financial players sometimes do stuff like this?
        
       | [deleted]
        
       | xyzzy_plugh wrote:
       | This isn't surprising to me, and I don't think less of Stripe for
       | doing this. It appears everybody is jumping to conclusions.
       | Saying Stripe is "stealing" is laughable.
       | 
       | There is a tremendous amount of fraud abound. Payment service
       | providers like Stripe sit in between businesses and credit card
       | companies, who proxy banks, who proxy customers.
       | 
       | Banks are pretty solid, as are credit card companies, so the
       | transitive nature of these transactions means Stripe proxies
       | customers. A significant feature of modern payment processing is
       | the ability to reconcile fraud for either party, but typically
       | these measures are structured in a way to protect the customer.
       | 
       | For example, you buy a $3000 computer and the business goes under
       | before they can ship it to you. It's likely you can get your
       | money back by calling your credit card company but it's not like
       | they're being generous. What happens is exactly what is happening
       | here:
       | 
       | Money is held until it can be safely cleared without dispute;
       | money is clawed back from merchant bank accounts and held until
       | it can be cleared (there is practically no limit to what can be
       | clawed back out of your merchant bank account).
       | 
       | If this makes you uncomfortable, don't deal with credit card
       | companies, and only take cash. It doesn't matter who your payment
       | processor is, this can and will happen with any of them.
       | 
       | I'm sympathetic to the OP here, but from a business perspective,
       | the fact that this is such a significant event is a red flag.
       | Shit happens -- your credit card could be stolen, you could be
       | robbed, you could be defrauded -- it's prudent to have a safety
       | net for when such things occur. And while realistically such
       | safety can be unreasonable to secure, that just signals to me
       | that so much of society is living at the edge of a knife. It's
       | easy to be angry at Stripe here, but I believe that's misguided.
        
         | EastSmith wrote:
         | What is frustrating for me and most of the folks here are the
         | robot emails.
         | 
         | Give me a effin proper response. I am your customer!
        
         | Spooky23 wrote:
         | Federal law requires that banks hold you harmless from certain
         | perils. Your risk for the $3000 computer is limited to $50.
         | 
         | Money is not held until cleared. Credit cards are a cash flow
         | business and settle very quickly, but contract terms allow the
         | credit card to recover chargebacks or other losses by nabbing
         | future cash flows.
         | 
         | My guess is the issue that triggered this is that a big
         | transaction is a risk as a chargeback may not be recoverable as
         | there is no baseline level of activity. Or... they suspect that
         | the merchant is getting a cash advance outside of the terms of
         | the contract.
         | 
         | Other than the lack of process to resolve the hold, I always
         | reserve judgement on stuff like this as you never get the full
         | story.
        
         | nfreising wrote:
         | I don't think Stripe holding money is the problem here. The
         | problem to me seems that there is no support to be reached at
         | Stripe to dispute their decision or get a human to answer. I
         | agree that OP's business doesn't seem that healthy if $3000 are
         | such a big problem, however that doesn't make Stripe's non-
         | existing support any better.
        
           | xyzzy_plugh wrote:
           | I've dealt with Stripe support and it's been... fine? Good
           | even? I can only assume that if they've gone radio silent
           | there's a reason. I'm not convinced Stripe is acting in bad
           | faith, as shitty as this is. (Unlike, say, PayPal, who is
           | notorious for shit like this).
           | 
           | At least one instance I'm aware of has to do with anti-money
           | laundering regulations, where it can be disallowed to
           | communicate regarding a pending investigation, but obviously
           | I can't speak to if that's happening here.
        
             | joshstrange wrote:
             | I'd be very interested to know what your issue was that
             | they helped with. I'm 0 for 3 (potentially 1 is fixed now,
             | 1 fixed itself, and the last I gave up on). Unless your
             | issue is trivial you will be thrown in limbo and go
             | days/weeks without a reply.
        
             | anonymousab wrote:
             | > I can only assume that if they've gone radio silent
             | there's a reason
             | 
             | This is the fundamental mistake made when dealing with
             | these corporations. They do not deserve the benefit of the
             | doubt, but beyond that, any customer service system that
             | has a heavy bot presence and outright removes inconvenient
             | (for them) points of contact should be assumed negligent
             | and suspect by default.
        
         | norswap wrote:
         | Why do you assume they're holding the money for legimitate
         | reasons? I count as much more likely they're just fucking up
         | and have no idea or don't care enough.
         | 
         | Plenty of example of this, event amongst top tech companies:
         | see the clusterfuck that is youtube copyright claims for
         | instance.
         | 
         | Every time there are automated flaggings, there are fuckups. We
         | can accept it if there's an efficient way to challenge, but
         | that's not happening. Stripe/Google doesn't care and/or it
         | would hurt the bottom line too much.
         | 
         | Also if credit cards company are much better at this, I don't
         | see why Stripe gets a free pass for sucking.
        
           | kylecordes wrote:
           | All of the companies are needlessly inviting the wrath of
           | regulation on themselves. Sooner or later (probably later) a
           | political consensus could emerge to require detailed human
           | review, subject to a regulator intervening on any/every case,
           | whenever they keep more than $X for more than Y days.
           | 
           | I suggest that it might be smarter for all of these firms to
           | do a better job, voluntarily, of providing human interaction
           | and review - to forestall such regulation as long as
           | possible.
        
       | balentio wrote:
       | I wrote an article on this last year and submitted it here and
       | got down voted into the lower levels of Hacker News hell. Later,
       | of course, someone else has a similar experience with Stripe, and
       | now everybody is all about it. It gets a frustrating trying to
       | talk to tech people sometimes. I never know if they are going to
       | be a shill mafia or actually consider the evidence.
        
       | kweks wrote:
       | You can try contacting Edwin ( edwin@stripe.com ) - he's often on
       | HN and has unstuck quite a few Stripe issues for me and other
       | HNers.
        
         | coolgoose wrote:
         | I appreciate your comment but this is a clear example their
         | internal flow is fucked up.
        
           | kweks wrote:
           | You are correct, but the aim of the reddit post / this post
           | is to get the problem solved. Billing is a complicated
           | subject, and fraud is even more complicated.
           | 
           | A well placed, polite email to C-level staff often fixes the
           | problem, but can draw attention to flaws in the support flow
           | - or validate a customer-hostile standpoint, at which point
           | you can make an informed decision about where to place your
           | business.
        
       | peanuty1 wrote:
       | I recommend Square, it works great for my mom's business.
       | https://developer.squareup.com/reference/square/payments-api
        
       | [deleted]
        
       | lma21 wrote:
       | Yet another story of Stripe holding big sums (yes 3k can be huge
       | for small businesses) with no proper support structure. Consumers
       | must rely on social networks to get some form of reaction.A $74
       | billion company has no proper support structure. Just wow.
        
         | xyzzy_plugh wrote:
         | I'm sympathetic that 3k can be huge for small businesses, but
         | if you can't tolerate a loss of 3k, isn't your business
         | practically doomed?
        
           | [deleted]
        
           | thfuran wrote:
           | If someone broke into my house and stole my tv and laptop,
           | I'd be pissed even though I can afford to replace them
           | tomorrow.
        
             | xyzzy_plugh wrote:
             | But this isn't theft? The funds are being held, they are
             | likely to be returned _at some point_. Inconvenient, sure.
             | But theft?
        
               | hacym wrote:
               | That could be the difference between making a biweekly
               | payroll and not for a low volume small business.
        
               | caboteria wrote:
               | What would you call it if I broke into your house, stole
               | your TV and laptop, and told you "I'm just holding them,
               | I'll return them someday, probably 240 days from now but
               | maybe later".
        
               | thfuran wrote:
               | I'd still be pissed even if they left a note saying that
               | they would return the TV in four or more months.
        
               | albedoa wrote:
               | Your issue with the analogy is that it doesn't include an
               | indefinite timeline for the eventual return of the
               | property? You might be missing the forest here.
        
               | AnonHP wrote:
               | Two words: cash flow.
        
           | Spooky23 wrote:
           | Stripe actively markets to the smallest of businesses.
           | 
           | My church uses Stripe for various fundraising events. It
           | would cause a serious cash flow issue if our payments for the
           | bbq chicken fundraiser were held up for 3 months. We don't
           | have $3k to pay the chicken guy.
           | 
           | A key feature of Stripe is daily deposits. To me it's
           | understandable that they will flag transactions to address
           | risk. But there has to be a process to adjudicate quickly.
        
           | aidenn0 wrote:
           | It depends on the business model. For a high margin business,
           | it might be fine, but for a business that has slim margins,
           | it could significantly reduce the amount of product they can
           | buy over the next quarter, which could make net margins
           | negative.
        
             | toss1 wrote:
             | Even in a high-margin business, and even if the funds may
             | eventually be returned, having funds not suddenly held by
             | surprise can create real problems. These create real
             | distractions, extra entirely unprofitable work that is only
             | to secure what is already due to you.
             | 
             | This is not acceptable from a critical infrastructure
             | vendor.
             | 
             | That anyone is willing to reveal just how obtuse they are
             | by attempting to justify it is astonishing.
        
               | aidenn0 wrote:
               | I was specifically responding to the question of whether
               | or not "if you can't tolerate a loss of 3k, isn't your
               | business practically doomed?"
               | 
               | To which the answer is "It depends on the business."
               | These things also don't happen in isolation; most small
               | businesses will be able to survive $3k frozen for a
               | quarter on a good day, but even well-run small businesses
               | have bad days.
        
           | nibbleshifter wrote:
           | For small businesses, the margins are that thin.
        
           | pc86 wrote:
           | I imagine their business can tolerate a $3k loss, just
           | probably not a $3k theft by their payment provider of all
           | things.
        
           | enlyth wrote:
           | Maybe your business is not your primary source of income?
        
           | sophacles wrote:
           | This reads like victim blaming.. "I bet the business was
           | wearing something slutty. If they didn't want the stripe gang
           | to bother them, they shouldn't have been wearing _that_ ".
           | 
           | What does a business soundness have to do with stripe robbing
           | them?
        
           | moralestapia wrote:
           | What is this, really?
           | 
           | Is this meant to defend Stripe?
           | 
           | What a weird way of looking at things.
        
             | xyzzy_plugh wrote:
             | A single instance of holding 3k doesn't seem like (or
             | shouldn't be) a significant amount for a small business.
        
               | moralestapia wrote:
               | ???
               | 
               | I still don't get your point.
               | 
               | Even if it is $1, why would someone take what is
               | rightfully mine?
        
               | chrisseaton wrote:
               | If you have no issue losing 3k without any reason, can I
               | have 3k from your business as well?
        
               | mitchdoogle wrote:
               | It's not losing 3k, it's delayed payment
        
               | chrisseaton wrote:
               | So can I borrow it for four months? I'll invest it and
               | give it back but I'll keep the interest. Oh by the way
               | inflation will have devalued it. Sorry about that.
               | 
               | Won't make any difference to you as your business is
               | robust, right?
        
               | lma21 wrote:
               | For potentially 120 (+30) days? That's 5 months. Some
               | people have to survive paycheck to paycheck!
               | 
               | A delayed payment must not exceed 2-3 weeks tops.
        
               | davidkuennen wrote:
               | If you're self employed and your monthly income is 5k$
               | from your business, 3k is a lot and can mean that you're
               | unable to pay bills or food for this month.
        
               | toss1 wrote:
               | Clearly stated by someone who has never run a legitimate
               | small business.
               | 
               | As someone who has run them for decades, it can be a
               | SERIOUS issue at the wrong time. Sure, there are good
               | times where it'll hardly be noticed, and can be dealt
               | with in due course.
               | 
               | However, there are _OFTEN_ other times when $3K failing
               | to show up when expected can create real problems. Cash
               | Flow is key.
               | 
               | To even suggest that it is OK for a company to
               | arbitrarily cutoff funds, merely because it might be
               | resolved sometime next year and "shouldn't be a problem"
               | is massively ignorant and ethically bankrupt.
               | 
               | For your own sake, and for others on HN, read the room.
               | Stop posting such 'hot takes' that only broadcast your
               | bad assumptions based on massive ignorance of the topic
               | and distract from the actual discussion (or if you're
               | just trolling for responses, pls take it elsewhere).
        
               | xyzzy_plugh wrote:
               | I have run a small business, and I am somewhat familiar
               | with payments infrastructure. From my perspective, it is
               | the room that is ignorant. Have you ever had a customer
               | fail to pay an invoice on time? Have you ever not been
               | reimbursed for expenses in a timely manner? Have you ever
               | been charged the wrong amount? Had a supplier go
               | bankrupt?
               | 
               | If 3k cash flow made or break my small business, then I
               | would've been toast within months of starting. If it's a
               | real business, then 3k breaking the bank means you're
               | over leveraged.
               | 
               | I'm not saying what Stripe is doing is okay. Nobody but
               | Stripe and the OP have enough context to make a fair
               | judgement. It certainly sucks, especially if OP did
               | nothing wrong. If OP feels this is truly unjust, then
               | that's what small claims court is for. But calling it
               | theft when your payment processor withholds funds is an
               | exaggeration. Is it theft if I pay my bills late?
        
               | toss1 wrote:
               | >>Is it theft if I pay my bills late?
               | 
               | Depending on how late you pay them, YES, it is theft, and
               | can be so judged in court.
               | 
               | >>. Have you ever had a customer fail to pay an invoice
               | on time? Have you ever not been reimbursed for expenses
               | in a timely manner? Have you ever been charged the wrong
               | amount? Had a supplier go bankrupt?
               | 
               | Yes, all of those things. And I pointed out that
               | SOMETIMES, they can go by almost unnoticed and dealt with
               | in due course, but OFTEN they can create real problems.
               | It is one thing when they happen by accident, but when it
               | is the result of capricious and hostile decisions by a
               | vendor, it is an outrage.
               | 
               | Your own argument points this out - if $3K is supposed to
               | be so manageable to a small biz, then it is not even a
               | daily rounding error for Stripe, and THEY should give him
               | the benefit of the doubt, and not externalize these costs
               | onto the small biz.
               | 
               | I'd also point out that just the fact that you're
               | justifying paying your bills late as "well it isn't
               | theft" already tells me that you are in the class of
               | ethically-challenged shady operators with whom I work to
               | avoid.
               | 
               | Just because you make a profit does not mean that you are
               | running a sound or ethical business or personally have
               | either of those properties. I'd suggest you do some
               | rethinking.
        
               | pdpi wrote:
               | Average annual turnover for 1-9 employee companies in the
               | uk is ~PS500k, PS3k represents around 8% of their monthly
               | turnover. There's no world where that is insignificant.
        
               | sgc wrote:
               | Well then it should be f-ing NOTHING to stripe, and they
               | should shorten their hold time. No doubt they, with all
               | their supposed programming intelligence, can come up with
               | a fancy algorithm that reduces their risk by 99% but
               | releases the money within a week.
        
       | Apreche wrote:
       | This is a case for the state attorney general (or equivalent
       | legal authority wherever this person lives).
        
       | pier25 wrote:
       | And Reddit mods removed it...
        
       | ryanbrunner wrote:
       | I've definitely never encountered many automated responses to
       | their e-mail support. Definitely I've hit support people who
       | don't know much beyond basic troubleshooting, and it's pretty
       | much impossible to get escalated to the point where you're
       | talking directly to a dev through support@, but generally not
       | canned responses.
       | 
       | (That might be based on our usage maybe, we're a OK sized Connect
       | partner)
        
         | ceejayoz wrote:
         | A lot of organizations route suspended accounts through an
         | entirely different support team focused on fraud. That team is
         | often not a management priority, either.
        
       | cdmoyer wrote:
       | The OP later clarified that it wasn't a normal transaction. They
       | sold a "cheap company van" using their stripe business account.
       | That seems like a huge liability, since a used car seems
       | extremely likely to cause a chargeback. I don't think dealerships
       | would accept a credit card payment (other than deposit) for this
       | reason.
       | 
       | https://www.reddit.com/r/smallbusiness/comments/wa1zob/dont_...
        
         | Crosseye_Jack wrote:
         | Most 2nd hand car sales in the US are sold "As-is", so the
         | buyer has very little recurse after the fact. The consensus is
         | when it comes to 2nd hand vehicle sales is buyer beware and you
         | should be taking the vehicle to be checked over by another
         | garage before finalising the purchase.
         | 
         | Last car I purchased (granted a) it was brand new b) I'm in the
         | UK) I purchased the car using my debit card (I kept the recept
         | for ages until it faded cause it was novel to me to have such a
         | large card transaction on a small thermal printed receipt :-P)
         | 
         | So I'm just wondering why a 2nd hand vehicle sale would be a
         | huge liability thats all.
        
           | flak48 wrote:
           | I'd guess that a manual review for the automatically detected
           | out-of-policy transaction wouldn't be prioritized if it's
           | been flagged as a transaction outside the seller's line of
           | business that they mentioned in their agreement with Stripe
           | when onboarding.
           | 
           | I kind of agree - I don't see why manually reviewing a
           | transaction that probably violates their agreement with
           | Stripe should be prioritized by Stripe - even if the
           | transaction would eventually emerge as legit (not fraudulent
           | and not chargeback-able). Because such a manual review would
           | entail a cost to Stripe that is being forced upon Stripe by
           | the seller's actions.
        
             | Crosseye_Jack wrote:
             | I'm not questioning the idea that the transaction was
             | outside the sellers normal line of business (and tbf to
             | Stripe, would imo be a valid reason to be extra careful
             | with the transaction and may be justifcation for account
             | termination, even if account termination seems a bit harsh
             | for a first time "offensive" imo, but hey, thats ToS for
             | you), just the idea that "used car seems extremely likely
             | to cause a chargeback" thats all.
        
               | flak48 wrote:
               | Yep, FWIW I hope OP gets their money if not their account
        
         | SyneRyder wrote:
         | And one of the comments below that one explains exactly why
         | this is a problem:
         | 
         |  _" When you sign up for your Stripe account, you had to state
         | what business you were using it for. If you're doing business
         | with your Stripe account that is not related to what you sign
         | up for, then there are reasons why Stripe is now holding your
         | money."_
         | 
         | It's listed in Stripe's terms and conditions on Prohibited
         | Items:
         | 
         |  _" Use of Stripe products to facilitate transactions on behalf
         | of another undisclosed merchant or for products/services that
         | were not disclosed in the merchant's Stripe account
         | application."_
         | 
         | https://stripe.com/en-au/legal/restricted-businesses
        
         | tomphoolery wrote:
         | lmao why. why would you do this. just use square cash.
        
           | arwineap wrote:
           | I enjoy the power of greenbacks, very visceral too.
        
         | mindslight wrote:
         | A paper-titled transaction seems like it should have one of the
         | lowest chargeback risks. A copy of the purchase and sale
         | specifying "as-is", plus signed title should be pretty clear
         | cut evidence against a chargeback.
         | 
         | It's also not terribly surprising that someone who develops
         | familiarity with one tool will then apply that tool to new
         | situations. The main problem here is the ever-growing financial
         | censorship regime / decommodification push that insists
         | companies should be prying into their customers' business.
        
           | flak48 wrote:
           | Why should Stripe take on the cost of investigating /
           | handling a potential chargeback, even though it might be
           | likely to be resolved in the business (and Stripe's) favor?
           | 
           | When it comes to chargebacks it's not just customer
           | experience (reputation damage due to fraud) and liquidity
           | risks that Stripes or other payment providers are protecting
           | themselves against - but also the actual support cost of
           | handling each chargeback too.
        
         | gnfargbl wrote:
         | When these stories come up, I would like to hear enough context
         | that enables me to understand whether or not Stripe is behaving
         | reasonably. I understand Stripe takes customer privacy
         | seriously, but even so it would be great to get the missing
         | information in a suitably anonymous form.
         | 
         | In this case, my judgment (as a small business that uses Stripe
         | for similar-sized SaaS payments) is that they acted completely
         | reasonably.
        
       | KingOfCoders wrote:
       | Fintech startup law: Every payment provider is becoming PayPal
       | due to risk and regulatory pressure.
        
       | blairanderson wrote:
       | Alternatively, I use Stripe as a payment processor for my small
       | business and it works flawlessly.
        
       | negamax wrote:
       | I have no idea how companies like Stripe and to a great extent
       | Revolut made it to forefront of banking. They are Uber of banking
       | industry. And have done shady things. As the time passes and VC
       | money runs out; these companies will implode
        
         | nostrebored wrote:
         | As someone who's worked there: stripe won't. Everyone in the
         | company can see the business metrics. People wouldn't be
         | staying if that were true.
        
           | negamax wrote:
           | I have a close friend, working for Uber since 5-6 years now.
           | I don't think he ever expected company to engage in anything
           | shady. SWEs are higher up than service counter staff but in
           | the game of business they are not far from being expensive
           | pawns. Sorry
        
             | xyzzy_plugh wrote:
             | So he started 5-6 years ago, after Uber was already caught
             | doing shady shit? Does not compute.
             | 
             | I don't think Uber was ever particularly transparent,
             | whereas I believe the other poster was implying that all
             | Stripe employees can see revenue, profit margin, etc.
             | plainly, which seems very uncommon for a non-public corp.
        
               | negamax wrote:
               | I don't remember their exact date. It's been a long time.
               | They joined before IPO. My point was it was fairly long
        
         | epolanski wrote:
         | Stripe has an excellent developer experience which makes it
         | easy to integrate it online.
        
           | ceejayoz wrote:
           | I think people forget how much effort it took to accept
           | credit cards at the time Stripe launched, too. Not just
           | technical, but having to get a merchant account, which would
           | be through a bank, who'd want to sell you a rented point-of-
           | sale and a contract for a minimum amount of fees per month,
           | and a rate hike for being a "risky online business".
        
             | epolanski wrote:
             | Well, when it launched, but few years down the road Stripe
             | was already in a class of his own on the topic of developer
             | experience compared to their competitors.
        
             | joshstrange wrote:
             | Yeah, I tried to leave the Stripe platform for lower fees
             | and... well I'd give just about anything to go back in time
             | and stop myself from doing something so stupid. Also in the
             | end the %/per-transaction fees were barely lower AND they
             | had a TON of hidden fees/charges.
             | 
             | The processor lied about fees/rates, API/docs were absolute
             | shit (and they were on the better end of what else I've
             | seen but compared to Stripe they sucked), and I had to go
             | through 3-5 video calls before they gave me API keys for
             | even the dev environment. Then you get to enter the world
             | of monthly charges on your account, minimum fees (if you
             | don't pay enough in fees you have to pay the difference,
             | for me it was $35 in fees minimum which doesn't work well
             | for seasonal things or in-house test accounts), PCI
             | compliance (fuck that form), even worse service, and slimy
             | sales people.
             | 
             | Even with Stripe's absolutely terrible customer support
             | (that I've experienced first-hand multiple times) I'll
             | stick with them over dealing with the alternatives.
        
               | peanuty1 wrote:
               | Have you tried Square?
               | https://developer.squareup.com/reference/square/payments-
               | api
        
               | ceejayoz wrote:
               | Square holds payments, too. Same 120 day window, too,
               | because that's how long Visa, Mastercard, and Amex give
               | customers to initiate a chargeback.
               | 
               | https://www.eseller365.com/square-holding-funds-
               | business-120...
               | 
               | > Like other payment processors, we periodically review
               | your sales to assess the risk of payment disputes. In a
               | recent review of your account, we determined that we have
               | to hold a portion of your transfer in a reserve balance.
               | Beginning <redacted>, 30% of each transaction on your
               | Square account will be stored in your reserve balance,
               | and will be released 120 days after the original
               | transaction date.
        
       | zxcvbn4038 wrote:
       | If I remember correctly this is actually normal for CC
       | processing, because the transaction is so much higher then usual,
       | they are holding aside the money in case it gets charged back.
       | Not like PayPal where they silently ban the account and money
       | disappears forever, could understand it being pain if your a
       | small business.
        
       | graderjs wrote:
       | This is not my experience of Stripe. I've found their support has
       | always been responsive and awesome over email.
        
       | slim wrote:
       | removed. anyone got a cached copy?
        
       | redeeman wrote:
       | This "rant" is in general, and not related to OPs case
       | 
       | I would strongly recommend to not rely on stripe, their service
       | level has become a joke. I get it, they have a nice API, their
       | system is technically nice in many ways, and they are (or atleast
       | were ~5 years ago) way easier to deal with for developers than
       | the "old" players on the market.
       | 
       | but they are kinda like google, their support is pretty much non
       | existent when things arent on the "happy path", they will GLADLY
       | ignore any inquiry for months if they feel like it, I know this
       | for bitter personal experience.
       | 
       | Yeah, their fees might be slightly lower than the older players,
       | but the old ones you could call if it comes to it, and they will
       | NOT be doing the same shenanigans on a whim, as it appears Stripe
       | do.
        
         | hnarn wrote:
         | Which "old ones" are you referring to more specifically?
        
           | apocalyptic0n3 wrote:
           | Authorize.net is the old one that Stripe always seems to be
           | compared against. And in that race... Stripe has already
           | crossed the finish line before Authorize.net has taken its
           | first step.
        
           | redeeman wrote:
           | i do not want to name specific names, but in my neighborhood
           | theres a couple of big online payment processors that until
           | somewhat "recently" were the ones that 99.9% of online shops
           | used. I imagine it be roughly similar in other places, though
           | perhaps more the bigger the country
        
       | vemv wrote:
       | If it was, say, a $30000 charge I could give Stripe the benefit
       | of doubt, but $3300 is a pretty ordinary amount for any retailer.
       | Could be e.g. a laptop sale, or three phones?
       | 
       | When I see Stripe's apology here it will not be enough for me -
       | not at least without a detailed blog post / postmortem.
       | 
       | Until/if that moment happens, I'll regard Stripe as an
       | untrustworthy entity and will recommend doing the same to do
       | anyone I do business with.
       | 
       | Zero tolerance for Google-style algo-decisions and stonewalling.
        
         | w4ffl35 wrote:
         | i will be keeping all of this in mind the next time im making
         | payment processing decisions for small businesses.
        
         | PeterisP wrote:
         | All the alternative entities will also sometimes freeze funds
         | for incoming credit card payments due to some algo-decision
         | flagging them. Both fraud and such anti-fraud measures are an
         | unavoidable part of the credit card infrastructure.
         | 
         | The major difference is that some platforms offer more hand-
         | holding support and some don't, but even those who will talk to
         | you (e.g. your local bank) can and sometimes will refuse
         | unblocking such funds for a prolonged time.
        
         | leoff wrote:
         | > When I see Stripe's apology here it will not be enough for me
         | 
         | I'm actually just starting a business using Stripe for handling
         | payments, and this makes me very concerned.
         | 
         | Is there an alternative service one could use? Is there a way
         | not to give these shady companies power to steal all my money?
        
           | vxxzy wrote:
           | Check out PastePay. Great service and a human touch!
           | https://www.pastepay.com
        
             | mtlynch wrote:
             | Based on your other comment,[0] it sounds like you work for
             | PastePay, which you should disclose if you're publicly
             | endorsing them.
             | 
             | [0] https://news.ycombinator.com/item?id=32263465
        
               | vxxzy wrote:
               | Oh no! I am sooo sorry. I don't "directly" work for
               | PastPay but I do work for their sister company. Thank you
               | for letting me know for the future!
        
             | bennyp101 wrote:
             | Bit of a bug in your page redirects
             | 
             | curl https://www.pastepay.com
             | 
             | <meta http-equiv="refresh" content="0;URL=https://www.paste
             | pay.com/industry/international-merchants">
             | 
             | curl https://www.pastepay.com/industry/international-
             | merchants
             | 
             | <!DOCTYPE HTML PUBLIC "-//IETF//DTD HTML 2.0//EN">
             | <html><head> <title>302 Found</title> </head><body>
             | <h1>Found</h1> <p>The document has moved <a
             | href="https://www.pastepay.com/">here</a>.</p>
             | </body></html>
        
               | vxxzy wrote:
               | It's fixed! There was an issue handling request from
               | international clients.
        
               | vxxzy wrote:
               | Thanks! Yeah that is not in the page. Not sure how that
               | is getting prepended. I'll send to support!
        
             | groffee wrote:
             | On Firefox page is just going into an infinite loop.
        
               | vxxzy wrote:
               | Strange!? Any chance you could send me request headers
               | you are receiving?
        
               | mmikeff wrote:
               | And Safari on MacOS
        
               | radiojasper wrote:
               | Can confirm! Same here with my Firefox on Windows 10.
        
               | TimCTRL wrote:
               | Same on Chrome 103
        
               | enlyth wrote:
               | Same on Edge/Chromium
        
               | thirdvect0r wrote:
               | Happening on FF, Chrome and Edge for me
        
           | sorenjan wrote:
           | Maybe look at Klarna. This is not an endorsement, I've never
           | worked with them, but as a consumer i like using sites that
           | use them for payment.
           | 
           | https://docs.klarna.com/
        
           | pythonic_hell wrote:
           | Checkout Adyen. They're practically the same.
        
             | slivanes wrote:
             | You need to do 5,000 transactions or more a month to be
             | considered by Adyen.
        
             | stef25 wrote:
             | Have you compared the backends you get to use as a
             | customer? I'd be surprised if Adyen even comes close to
             | Stripe.
             | 
             | Mollie for one is complete garbage.
        
           | tc313 wrote:
           | Just as a counter-anecdote, my one-person SAAS has used
           | Stripe since 2017 and I've had an excellent experience with
           | them, including personal customer support. Of course, YMMV.
        
           | TimMeade wrote:
           | I'm not sure of the facts on this case and always need to
           | hear both sides fully before i would comment on them.
           | 
           | But; I have run 4 different businesses on stripe over about 6
           | years and have never had a serious issue. Yes there have been
           | ups and downs but even with no phone number I would have to
           | rate their support head and shoulders above most. Maybe 24-36
           | hours for a response, but we always got one, and in most
           | cases it solved the issue.
           | 
           | We are still with them.
        
           | PeterisP wrote:
           | > Is there an alternative service one could use? Is there a
           | way not to give these shady companies power to steal all my
           | money?
           | 
           | There are many alternative services listed in other comments,
           | but to be clear, every single one of them has the power to do
           | exactly what Stripe did.
           | 
           | There is no way to accept credit card payments without
           | accepting that power to freeze suspicious incoming payments,
           | simply because fundamentally credit card payments are not
           | final and can (and often will) be reversed afterward, and if
           | someone promised to never freeze merchants' funds, every
           | fraudster in the world would come to try out their services,
           | bankrupting them in the process.
        
           | alex_suzuki wrote:
           | Maybe check out Paddle. I'm not affiliated in any way.
        
           | Ayesh wrote:
           | In a different HN thread that has no or positive reaction to
           | Stripe, you'd be seeing many praises for Stripe.
           | 
           | For local businesses, perhaps your local bank has a better
           | solution? They will be cheaper (if they use networks other
           | than Visa/Master), and often has zero fees when you withdraw
           | money to a bank account.
           | 
           | Here in my country, for a business that only caters to local
           | customers, I pay about 2% for payments with no fixed fee and
           | no fee for withdrawals, which happens daily. I can directly
           | call the person who handles my queries, and charge backs have
           | never been anything but a few quick clicks with no mind
           | games. All I do is redirect the user to the payment page, and
           | validate the payment upon arrival. The UX isn't as good as
           | Stripe of course, but many of the locals are quite used to
           | that UI anyway.
        
             | Aspos wrote:
             | Don't know what country you are from but guess your
             | acquiring bank gets orders of magnitude less fraud than
             | Stripe does so your bank can afford to take your calls. It
             | boils down to wildly skewed regulatory environment in the
             | US.
        
               | InitialLastName wrote:
               | They probably have orders of magnitude less revenue with
               | which to pay customer service agents than Stripe has (or
               | would have, if they hadn't delegated their customer
               | service to the machine in the sky).
               | 
               | We see this in many circumstances: centralization and
               | scale are great for efficiency, but bad for resilience.
        
           | [deleted]
        
           | peanuty1 wrote:
           | Square is one option.
           | https://developer.squareup.com/reference/square/payments-api
        
           | [deleted]
        
           | informalo wrote:
           | https://sumup.com
        
           | SyneRyder wrote:
           | You should always, always, have multiple ways to accept
           | payments. Don't rely on one provider, even if they're the
           | greatest processor in the world. Never have a single point of
           | failure for your business.
        
         | DebtDeflation wrote:
         | Flagging a larger than normal transaction is fine. Placing a
         | 120 day hold is very much NOT fine. This should be resolvable
         | within 24-48 hours after the business provides the requisite
         | documentation showing the transaction to be legitimate. The
         | root cause is a completely automated process devoid of any
         | capability for human review like we see with so many online
         | platforms these days.
        
           | ceejayoz wrote:
           | Documentation can be faked, and 120 days wasn't picked
           | randomly; customers have that long to dispute charges.
        
             | sgc wrote:
             | It is a tiny amount of money comparatively speaking. They
             | should not put a freeze over a couple of days. If there is
             | no dispute, then their risk drops exponentially. If the
             | amount were much higher, they should just devote more human
             | resources to verifying the charge, and still keep the
             | frozen period low.
        
               | ceejayoz wrote:
               | > It is a tiny amount of money comparatively speaking.
               | 
               | It's hardly the only charge of this nature.
        
         | metacritic12 wrote:
         | What's the OP/your alternative?
         | 
         | Oh Paypal? Look up the horror stories there. Or directly work
         | with a legacy provider like FirstData? They will also freeze
         | your account and won't even accept you if you just have just
         | $3k of sales.
         | 
         | Isn't it interesting that credit card processors really like to
         | give crappy customer support and enjoy freezing accounts? Is it
         | because they just attract misanthropic people? If only a caring
         | company that didn't freeze accounts and gave wonderful support
         | could enter, the field would be better. /s
         | 
         | Actually, the problem is super structural:
         | 
         | - Due to payment processing regulations, there is a fixed
         | overhead from taking a small merchant on. (KYC, AML, ensuring
         | you're not selling drugs). This makes tiny merchants incredibly
         | unprofitable to begin with. Legacy providers like FirstData
         | will reject you outright or make you pay fees to onboard. They
         | will also make you fill out pages of paper forms and put the
         | time cost on you to verify you're a legit business.
         | 
         | We as a society have said the gatekeeping features of finance
         | are more important that making sure tiny businesses have access
         | to payment infrastructure. We should change this parameter if
         | we truly cared about this. I suspect we don't.
         | 
         | - Merchants simply race to the CC provider that is easiest to
         | set up or have lowest fees. If you were OK paying a couple of
         | hundred dollars of setup fees to, you know, properly reimburse
         | your vendor for vetting you, or pay 5% fees for a high risk
         | (read: tiny merchant) specialty account, you probably wouldn't
         | have been frozen like this, at least without them calling you.
         | 
         | This is exactly the problem with Google services. Are you
         | paying Google a bunch of money? If you are a high level
         | enterprise account where the fully-burdened cost of a 1-hour
         | customer support call (~$100) is a small part of your yearly
         | net margin to Google, I bet they would take your call.
        
           | rshm wrote:
           | > What's the OP/your alternative?
           | 
           | Reach out to local credit unions or even smallish bank. They
           | usually are middleman to firstdata, chase paymentech etc. But
           | you get a dedicated account rep at cost of nominal monthly
           | fee. Rates usually are competitive often lower than what
           | stripe and paypal offers.
        
           | sfont wrote:
           | I am an extremely small account and have a merchant account
           | with Authorize.net. Most of my customers pay by check so I
           | even have some months where I have zero card transactions.
           | 
           | There is a small monthly fee and the processing fee is
           | variable depending on the card. Plain debit/check card under
           | 2%, compared to an airline rewards card that's more like
           | 4%...
           | 
           | I'm not even eligible for a Stripe account because a large
           | part of my business could be called computer repair and that
           | is explicitly disallowed.
        
           | peanuty1 wrote:
           | > What's the OP/your alternative?
           | 
           | Square is one.
           | https://developer.squareup.com/reference/square/payments-api
        
           | viggity wrote:
           | didn't stripe (maybe it was a competitor, idk) go to a Paypal
           | conference and took like 2000lb blocks of ice with dollar
           | bills frozen in them and drop them off in front of the
           | convention center? And then posted signs everywhere to the
           | effect "tired of paypal freezing your money?"
        
             | viggity wrote:
             | apparently it wasn't stripe, it was WePay.
             | 
             | FWIW If you want to be able to quickly switch payment
             | providers without stripe (or any provider) holding your
             | customer's payment info hostage, you should consider using
             | a PCI tokenization service like BasisTheory.com
        
         | icebergonfire wrote:
         | Without taking away from your point, deep in the Reddit
         | comments the OP states Stripe put a hold on the account after
         | billing the sale of a literal company truck through Stripe and
         | not via selling their normal store merchandise.
         | 
         | https://reddit.com/r/smallbusiness/comments/wa1zob/_/ihyq7tl...
         | 
         | As usual, there's always an undisclosed fact that changes the
         | narrative and explains the ban. Whether this should trigger
         | Stripe's scorched earth mechanisms is another matter.
        
           | civilized wrote:
           | Maybe there's more to the story, but executing transactions
           | which do not conform to Stripe's fraud detection model is not
           | an offense that should be punished.
        
             | dachryn wrote:
             | no the entire store account should not be blocked, at least
             | not for a first offense, but I could understand that the
             | transaction is blocked, and that it might that quite some
             | time to figure out what is going on
        
           | DuckyC wrote:
           | I think the fact that a company vehicle was sold for the
           | $3300 hardly matters.
        
           | [deleted]
        
         | wernercd wrote:
         | > not at least without a detailed blog post / postmortem.
         | 
         | Can they legally give that considering its, most likely,
         | private customer information? If they give detailed information
         | out in a "Detailed" post mortem... isn't that proof that they
         | are an untrustworthy entity?
         | 
         | Just seems to me this is a damned if you do, damned if you
         | don't attitude against Stripe (or, any company in general that
         | has a complaint but can't do a "detailed" public response
         | because, well, that's private information... .. . )
        
         | patmcc wrote:
         | >>>but $3300 is a pretty ordinary amount for any retailer.
         | 
         | Really? There are entire classes of retailers where that would
         | be a truly exceptional event. I don't know if that's true of
         | the OP (post removed), but if their average transaction is $27
         | or something this would rightly trigger alarm bells. If they
         | are in fact being stonewalled on support that's pretty
         | inexcusable though.
        
       | nsmog767 wrote:
       | am I the only person here eagerly scrolling through the comments
       | to see if "pc" chimes in??
        
         | mkl wrote:
         | Possibly. You can just check his comments to see that he hasn't
         | as of this comment: https://news.ycombinator.com/threads?id=pc
        
       | [deleted]
        
       | whatisweb3 wrote:
       | Hopefully making enough noise on HN and social media will help
       | your case move quickly. That appears to be the only way to get a
       | response these days.
       | 
       | Maybe one day non-custodial and permissionless payment rails will
       | prevent this situation, for those services that choose to use it.
       | Shame that HN is so polarized about blockchain that they refuse
       | to entertain the idea.
        
         | Schroedingersat wrote:
         | > Maybe one day non-custodial and permissionless payment rails
         | will prevent this situation, for those services that choose to
         | use it. Shame that HN is so polarized about blockchain that
         | they refuse to entertain the idea.
         | 
         | It's a shame that we've only figured out "pay $200 to the guy
         | using a derelict coal plant to run the world's fanciest space
         | heater" and "pay $200 to the guy who hoards the most of your
         | 'currency'" then and not "non-custodial and permissionless
         | payment rails" then.
        
           | whatisweb3 wrote:
           | Lol this comment reveals a lot of ignorance. My last
           | transaction fee on Eth was in the range of $1, most of that
           | value is burned and not sent to a miner, and anyone who wants
           | to participate in protocol rewards can do so through
           | delegation.
           | 
           | PoS is not perfect but far better than current norm of "pay a
           | billion dollar corporation a fixed fee and also give them
           | total control of the world's payment rails."
        
         | AdrianEGraphene wrote:
         | AFAIK, there are no permissionless payment rail that do fiat->
         | crypto payment processing. They all require intermediaries and
         | presumably would run into similar issues.
         | 
         | Crypto-> crypto would be a different story, but requires a more
         | sophisticated buyer.
         | 
         | I play in this space, so would definitely like to hear what
         | you've got in mind.
        
           | whatisweb3 wrote:
           | Imagining either crypto to crypto, or a permissioned rollup
           | handling crypto to fiat that lets the sequencer block a users
           | address for KYC purposes, but user can still trustlessly
           | withdraw funds to mainnet.
        
         | negamax wrote:
         | But what about the people who don't have social clout? I think
         | for every person like this, there are 100s if not thousands
         | who's money and accounts get locked away.
        
           | whatisweb3 wrote:
           | That's my point. A system where your funds are locked unless
           | your complaint goes viral is a terrible system.
        
         | noasaservice wrote:
         | This is a *legal* issue,and not a shitcoin-solving issue.
        
           | whatisweb3 wrote:
           | Poor technical and legal frameworks for digital payment
           | processors is how we have gotten to this point. Strict AML,
           | KYC, copyright protection, and anti-adult requirements forces
           | payment processors to err on the side of caution and deploy
           | mass automated systems to flag and lock accounts that trigger
           | the slightest internal alarm bells, even if this leads to
           | some false positives and destroys a few small businesses
           | along the way.
        
       | factsaresacred wrote:
       | The post was deleted by the subreddit moderators so I hope HN
       | don't mind me reposting it here:
       | 
       | > I used Stripe for about a year to run a small cell phone store
       | in Denver, CO area. In the case of my business, I never had an
       | issue processing my small payments for cell phones, ranging from
       | a couple hundred dollars up to $1000. All of a sudden, we run a
       | charge for $3300 because our primary processor in my business was
       | down, and we had a large transaction to fulfill. Stripe flagged
       | the transaction and is now holding the money from me for "at
       | least 120 days"
       | 
       | > It is one thing to say this is a red flag, fine... I hear
       | you... no problem. a transaction multiple times the size... sure.
       | I get it. However A normal payment processor would then query you
       | for documents authorizing the charge, bank statements, financial
       | statements, some sort of procedure to remedy the issue. Stripe
       | provides NO SUCH METHOD TO RESOLVE these issues.
       | 
       | > I am concerned because there are reports of Stripe continuing
       | to add "30 days" to the reserve hold past the initial 120 days,
       | indefinitely. One article detailed a hold that was surpassing its
       | 240th day. Stripe is taking advantage of a lack of regulation in
       | this space to steal small merchant's large transactions. They see
       | a big, outlier transaction and lick their chops, hiding behind
       | KYC and "Fraud prevention" To hold your money indefinitely.
       | 
       | > You cannot call Stripe. They do not have a phone number. Their
       | support page on their website has Phone call and messaging grayed
       | out. You can only email. If you email, you get robots. Even in
       | the same email thread, a different "agent" (with a different name
       | and everything) answers each time with not prior knowledge of
       | your history. There are no ticket numbers to your support
       | request; nothing tracking it. The robots respond with what is
       | quite obviously a template response.
       | 
       | > If you do a little bit of research about this topic, you
       | immediately see this is a prevailing issue. Reports of Stripe
       | taking up to $31,000 are all over the internet! Again, Stripe
       | gives no manner to remedy this. There is NO ONE you can call. NO
       | ONE you can talk to. More disconcerting, it seems that anyone who
       | posts about this issue on reddit gets downvoted and teamed up
       | against by established Reddit accounts, that I have to imagine
       | are owned by Stripe. These account have some established reddit
       | history on them, mainly talking about coding in PERL. It's a
       | little sus. In my case, I sent my EIN letter, Sales Tax Receipt,
       | Articles of Org, Statement of Trade Name, Certificate of Good
       | Standing, Bank Statements, Website links, Signed transaction
       | receipts, and anything I could think of to Stripe to review. I
       | just received robot-responses; never got anything cleared up.
       | 
       | > I challenge reddit to connect me to a human being at Stripe
       | that can tell me how to resolve the issue. I'm convinced It can't
       | be done. This is a big problem and should be brought to the
       | attention of small business owners, and regulators!
       | 
       | > TL;DR : I used Stripe to process my business transactions. They
       | saw a large transaction come through and used their twisted TOS
       | to steal $3,000 from my small business. They use gray area
       | contract loopholes to be able to hold your money from you
       | indefinitely. While you lose out on your working capital and ROI,
       | they collect free interest on your money; potentially never
       | returning it.
        
       | ellieh wrote:
       | Does anyone have any suggestions of what to use instead? Lots of
       | "don't use Stripe", but I'd love to know what the alternatives
       | are!
        
         | pier25 wrote:
         | For a hobby project of mine I use Gumroad.
         | 
         | The integration on my website is bad... But payments and
         | payouts have been solid so far.
        
           | quelltext wrote:
           | https://help.gumroad.com/article/260-your-payout-settings-
           | pa...
           | 
           | Gumroad itself uses Stripe, it seems so if Stripe decides to
           | hold funds it's likely Gumroad will just forward that
           | experience to you.
        
         | peanuty1 wrote:
         | Square is one option.
         | https://developer.squareup.com/reference/square/payments-api
        
       | joshstrange wrote:
       | So this seems like a good time to tell my Stripe story. Let me
       | preface this by saying I attempted to move to a different card
       | processor late last year/early this year and despite 100+ hours
       | of coding to fully integrate with them (and add features that
       | were missing compared to our Stripe integration) I had to drop
       | them due to what can only be described as lies about their rates
       | (yes, I should have gotten this in writing instead of just over
       | the phone but I was naive). All that said I had <1 week to switch
       | back to Stripe before preorders started for the event and it was
       | a breeze. Stripe has it's problems but I still think they are the
       | best game in town.
       | 
       | Now for my Stripe issue. Around the time I dropped the other
       | payment processor I bought some Stripe M2 readers (Part of
       | "Stripe Terminal" for in-person payments). At the same time I
       | purchased a "Stripe Terminal Test Card" to use in the test
       | environment. They have a simulated reader but I always prefer to
       | use the same hardware as production to get a better feel for how
       | it all works.
       | 
       | The readers arrived and so did the card but for some reason I
       | could not get the card to read, I kept getting back an error code
       | of "6" [0] telling me that the card could not be read. If I
       | scanned a real card it would scan and then fail when trying to
       | auth the payment (understandable, I was in the "test"
       | environment) but to me this proved the reader was working. I did
       | some testing in "live" and all my cards were read/charged without
       | issue. I opened a ticket with Stripe on May 6th.
       | 
       | I had a similar "new rep every message" as the person in this
       | Reddit post and my ticket would often go days/weeks without
       | response (other than me begging for help). I followed every
       | single instruction they sent, I provided all the debug info they
       | asked for, I shot 4+ videos of the issue, nothing. Around June
       | 2nd (almost a month after starting this process) I complained on
       | Twitter and Stripe Support reached out (this did nothing, it
       | might have gotten me a useless reply on the ticket but no real
       | help). A Stripe employee also reached out directly to me via DM
       | and we started an email conversation resulting in them just
       | sending me 5 Stripe Test Cards to see if maybe it was just my
       | card that was broken. About the same time Stripe sent another M2
       | reader and another Test Card (Note: in the interim I bought 16
       | readers for my event and had tried multiple of them to no avail,
       | I was pretty sure it wasn't a problem with the reader and told
       | them as much).
       | 
       | I got all the new hardware and recorded a long video of me
       | testing 3 M2 readers and 5 Stripe Test cards in every combination
       | 3 (readers) x 5 (cards) x 2 (methods, dip/tap). I used their
       | sample app and their sample backend (a ruby app running in a
       | docker container) just to rule out any of my code. Same error
       | every single time.
       | 
       | I reported my results to both the employee and my support ticket
       | and got no help. Support didn't reply, the employee talked about
       | sending me card they had on their desk that they knew worked but
       | that conversation petered out and I didn't want to bug someone
       | who was going out of their way to help me. 10+ days would go by
       | and I'd beg and plead for help in my support ticket with no
       | reply, this repeated multiple times.
       | 
       | Finally, on July 25th, 3 days ago, almost 3 months after starting
       | this journey, Stripe replied to my ticket:
       | 
       | > We have figured out that some of our Terminal physical test
       | card inventory did not work.
       | 
       | No. Fucking. Shit. This is something I suggested about a million
       | times. All my cards had the same serial/batch/something number on
       | the back and I had speculated it could be a bad batch and asked
       | them to send me an opened/used card that they knew worked and/or
       | check the number on a working card, they ignored all of this.
       | 
       | They sent me 3 replacement cards and they sit next to me right
       | now on my desk, unopened. My event is in 2 days and I don't have
       | the time/energy to test them right now. All my energy is on
       | testing the full setup on production but I might lose my mind if
       | these are broken as well. My curiosity just got the better of me
       | and I opened a card and the numbers on the back are different so
       | that gives me some hope (all 7 cards I got from Support/buying
       | myself had the same number).
       | 
       | This is only 1 instance of shitty Stripe support, I have 2 others
       | that I won't get into right now. I still love their
       | docs/sdk/dashboard but I really wish their support was better.
       | 
       | [0] https://stripe.dev/stripe-terminal-
       | ios/docs/Enums/SCPReaderD...
        
         | edwinwee wrote:
         | I work at Stripe and I'm terribly sorry for what happened here.
         | I have a Terminal test card that I use and that I know works. I
         | can overnight it to you so you have it before your event. Could
         | you let me know your address at edwin@stripe.com (or DM me on
         | twitter at @edwinwee)?
         | 
         | We're investigating right now what happened here. I'd also like
         | to dig into your other instances of shitty support--could you
         | forward those to me?
        
           | joshstrange wrote:
           | I'll forward all instances to you. I have 3 cards from
           | support that I haven't tested yet but look like they have a
           | different batch number so I'm hoping they will work. I won't
           | need them now since all my testing is happening in live but I
           | appreciate the offer.
        
       | shmde wrote:
       | https://teddit.net/r/tifu/comments/wa230m/tifu_by_using_stri...
        
       | ericpauley wrote:
       | >You cannot call Stripe. They do not have a phone number.
       | 
       | Not sure whether this person was specifically locked out or
       | something, but I've had consistently good experience with
       | Stripe's phone support. As they note email (and chat) are a joke,
       | but phone reps are highly knowledgeable and have quickly resolved
       | my issues.
        
         | rahkiin wrote:
         | According to the reddit thread, when your account is locked,
         | the 'Chat' and 'Give me a call' options get grayed out.
        
           | SpicyLemonZest wrote:
           | But is that, you know, true? The HN front page gives a
           | stunning amount of credulity to unverified stories from
           | random people on social media.
        
             | rahkiin wrote:
             | I do not know. I only state what the original author
             | posted.
             | 
             | Maybe someone is willing to create a Stripe account and
             | trigger a block to test it.
             | 
             | Edit: another thread 3 years ago mentions the same: "I
             | tried to contact support by chat or phone, but it seems
             | that when they suspend an acct, they block your ability to
             | contact support by any method except by email..." [0]
             | 
             | [0]: https://news.ycombinator.com/item?id=21031665
        
             | anonymousab wrote:
             | Stripe folks have confirmed that they will only allow
             | certain support channels when certain situations come up
             | (I'd imagine certain types of assumed fraud would merit
             | async channels only, etc.).
             | 
             | It's just a crazy coincidence that they also won't tell you
             | the underlying truths to the situation that would let you
             | understand why they aren't letting you call them. Surely
             | they are reasonable and not just standard corpo tech
             | negligent customer support. Surely.
        
       | patio11 wrote:
       | (I work for Stripe, and since many of my colleagues are currently
       | sleeping, taking the liberty of saying this on their behalf.)
       | 
       | We are looking into things.
       | 
       | As someone who ran businesses for a long time myself, it would be
       | very alarming to me if customers felt they were being ignored
       | while repeatedly talking to people who work for us. If that ever
       | happens, please bring in literally anyone at Stripe, inclusive of
       | other Patrick. Our email addresses are often available through a
       | quick search of HN; mine is (predictably) patio11@stripe.com if
       | you need it.
       | 
       | We don't comment publicly on individual customers. This is an
       | important part of customer privacy and we're serious about it.
       | 
       | Sometimes situations which result in external complaints are the
       | result of a process failure, and in those cases we try to fix the
       | instant case and improve processes in the future.
       | 
       | Sometimes they are the result of a process operating correctly
       | but coming to a result which someone did not enjoy. The record
       | available to the process is often more detailed than the record
       | available to the public Internet, and may include extremely
       | relevant context.
        
         | newfonewhodis wrote:
         | > Sometimes they are the result of a process operating
         | correctly but coming to a result which someone did not enjoy
         | 
         | So much to unpack here but this is extremely patronizing
         | ("we're not wrong, you just didn't like what we did). "process
         | operating correctly" refers to holding a merchant's money with
         | no reason communicated, and no way for them to get in touch
         | with the company?
        
         | TekMol wrote:
         | As someone who is seeing the industry from the inside: How do
         | you think about the option to settle all transactions instantly
         | over the lightning network?
         | 
         | Since lightning payments settle instantly, the problem of
         | frozen funds would go away for good.
         | 
         | Another problem that would go away is high fees. I was
         | listening to the UpWork earnings call today and one question
         | was what their biggest cost of revenue is. And they replied:
         | Payments. And that thats the reason why they prefer enterprise
         | customers over small businesses. Because those create less
         | payment related costs.
         | 
         | So lightning would get rid of two significant problems at once.
         | 
         | Would we get some other problem in return?
        
           | politician wrote:
           | Payments over FedNow are required to settle within 8 seconds
           | of the receiving FI being notified of the transaction.
           | Launching next year, FedNow is positioned to replace ACH and
           | wires and do most of the things that folks want lightning
           | network / L2 / Zelle / Ripple and other RTP solutions to do,
           | but for the entire USD-denominated market.
           | 
           | FedNow also replaces ACH debit origination and its Good Funds
           | Period with a Request to Pay architecture that IMO is far
           | safer and has fewer edge cases and lacks the hilarious
           | infinite loop in ACH debit exception handling.
           | 
           | So, yeah, good question, sorry you're being downvoted.
        
             | [deleted]
        
           | [deleted]
        
           | ceejayoz wrote:
           | /u/patio11 is publicly _very_ skeptical of cryptocurrency.
           | https://twitter.com/patio11/status/1536687513204625409
        
           | anonymouse008 wrote:
           | If you're 'on the inside' then you know much of the consumer
           | benefit is the silent 'redistribution of wealth' in 'points.'
           | Since there are 'fewer fees to the right people' in the
           | lightning network, points probably don't make as much sense -
           | so it's a non-starter to your primary customer.
           | 
           | Also, disputing charges is a whole separate protocol for
           | lightning that hasn't yet been considered. Or more
           | accurately, is railed against as 'code is law' and 'not your
           | keys not your crypto'
           | 
           | So for all the fees you 'save,' lightning nets a
           | significantly below 0.
           | 
           | [Edit] Upwork is big enough to make their own gateway - the
           | idea that they haven't is negligent.
        
           | Crosseye_Jack wrote:
           | What percentage of people who walk into a business or go
           | online to complete a transaction are able to send their
           | payment via the lightning network compared to the percentage
           | of people who walk in to do a transaction via
           | Visa/Mastercard/Etc?
           | 
           | The issue is Card payments and the networks they use. Doesn't
           | matter if lightning settles transactions instantly if the
           | customer wants to pay with Visa and Visa allows funds claw
           | back for ~180 days.
           | 
           | Normally a stores merchant account is kept open, so if a
           | transaction is charged back a month later (and the bank and
           | visa aggree with the chargeback) the money can be recovered
           | from future sales. If the stores merchant account is closed
           | because of "reasons" the payment provider can either use the
           | funds the store has yet to cash out from the the payment
           | provider as "insurance" against chargebacks until the
           | deadline passes (at which case its safe to cash out) or start
           | invoicing the store you just told to GTFO as a merchant to
           | try and get the money back and then go recovery paths which
           | is much more a nightmare for payment providers.
           | 
           | I'm not saying I agree with the polices, just that I
           | understand why they are in place, the payment providers are
           | just covering their own asses at the end of the day.
        
             | TekMol wrote:
             | At the moment, pretty much nobody is able to send payments
             | via the lightning network.
             | 
             | My question is about "what if".
             | 
             | Would there be downsides?
             | 
             | If the upsides outweigh the downsides, LN could slowly find
             | its way into retail. Maybe by starting with some special
             | use cases where speed, low fees, privacy or immutability
             | are especially important.
        
               | Crosseye_Jack wrote:
               | Customers like the ability to charge back if the product
               | is faulty, not as advertised, or the retailer goes under.
               | Heck its one of the advertised bonuses of using a credit
               | card for purchases, You are spending the banks money so
               | you are better protected against fraud/retailer
               | bankruptcy.
               | 
               | Customers with outstanding orders are often on the bottom
               | of the list of creditors who get paid back when a company
               | goes bust and even the companies themselves will often
               | say in their final messages to customers to speak to
               | their card company and issue a charge back for
               | outstanding orders.
        
               | TekMol wrote:
               | They like it, but are they willing to pay for it?
               | 
               | The vendor needs to factor in the costs induced by
               | Stripe. That's 3% fee _plus_ the danger of your account
               | being frozen. How much is that? Maybe another 1%?
               | 
               | So if the "price" to use Stripe is 4%, the vendor could
               | offer their customers the same products for 2% less if
               | they pay via lightning - and share the savings with their
               | customers.
               | 
               | Sounds like a good deal. I have bought something with my
               | CC hundreds of times and never ever did a chargeback.
               | 
               | On top of it, as a customer, I find credit cards annoying
               | and scary. To get one, I have to get it physically
               | delivered to my snail mail box. And everytime I pull that
               | thing out, someone could photograph or memorize the
               | numbers on it and cause me trouble.
        
               | TomGullen wrote:
               | Consumers like the idea of chargeback and other legal
               | protections. Crypto advocates say that you can add middle
               | organisations to offer this, but then we've gone full
               | circle and really there is no advantage.
        
         | rtlfe wrote:
         | > Our email addresses are often available through a quick
         | search of HN
         | 
         | Your customer service strategy is really "go to a small
         | internet forum that only some startup nerds know about and find
         | my email address"?
        
           | civilized wrote:
           | Makes you wonder who the audience for the original comment
           | really is.
        
           | tyrust wrote:
           | I doubt it's the general strategy. Patrick might be assuming
           | that frequenters of HN are less likely to be bad actors and
           | people that legitimately are slipping through the cracks.
        
           | unsupp0rted wrote:
           | Yes, in Stripe's case. That's the only way I've ever had a
           | big issue successfully resolved. They empower their customer
           | service team with over a dozen ways to say "sorry the system
           | won't let me solve this" or "Your issue may be unique to you,
           | but since my solution for somebody else's different issue
           | wouldn't work for you, I have no power to do anything".
        
         | civilized wrote:
         | Corporate process improvement is not an excuse for treating
         | people badly. An individual human who treats people badly is
         | not allowed to say "well I deal with a lot of people and I need
         | algorithms and sometimes my algorithms don't work so I'm doing
         | my best to improve them". Corporations should not get a pass
         | because they need cheap processes that "scale" to maintain
         | their profit margins.
         | 
         | This is the perpetual moral hazard that we constantly see at
         | all big tech firms. These firms promised fantastical profit
         | margins, but only on the condition of scaling at very low cost.
         | What doesn't scale at very low cost? Customer service. That's
         | why you're all so awful at it.
         | 
         | And don't come back with your satisfaction metrics from
         | customers you haven't screwed. Your job is to do right by the
         | customers who aren't convenient for you. Just like it's an
         | insurance company's job to pay out to the tiny minority of
         | claimants. It doesn't matter one bit if the company has a great
         | web site or API that everyone loves. The true moral nature of
         | your company is revealed by how you treat the customers who
         | need you to do right by them.
        
           | shepardrtc wrote:
           | I think this negativity is uncalled for. They said that they
           | do their best, sometimes there are mistakes on their end that
           | they try to fix, and sometimes the person complaining is
           | lying or leaving out details that would explain the
           | situation. If you've ever dealt with people, you would know
           | that they often "forget" things or downplay things that would
           | make them look bad.
        
             | civilized wrote:
             | You're bringing negativity as well. Just applying it to the
             | smaller, weaker party.
        
             | ryandrake wrote:
             | I read OP's reply as a generic criticism about companies
             | that scale beyond their ability to provide sufficient
             | customer support, not a specific criticism of patio11.
             | Silicon Valley is full of companies that scale beyond their
             | competence and ability to operate properly: it's
             | practically a requirement of the "growth at all costs"
             | mentality. I would argue that if you cannot handle dealing
             | with customers without AI and automation with many false
             | positives, then you have no business scaling further until
             | you can. I don't know if this is the particular case for
             | Stripe since I'm not a customer, but we can all see this
             | behavior across the industry.
        
             | jjoonathan wrote:
             | I think this criticism is called for. The customer tried
             | asking them nicely and it sounds like they did not try very
             | hard to fix it -- which is an experience I can empathize
             | with 100 times over. If you've ever dealt with companies,
             | you know that they often have policies and procedures that
             | intentionally screw customers and they only back off if it
             | blows up publicly. Because they can. Our accountability
             | mechanisms suck.
        
             | humanistbot wrote:
             | When so much money is at stake, the negativity is called
             | for. Stripe is not neutral here. They have leverage and
             | power over their merchants in these situations.
        
           | hassancf wrote:
           | Perfect
        
           | boringg wrote:
           | Disagree but a morally commendable position.
        
           | simplMath10 wrote:
           | The low cost part was to intentionally offer worse support
           | and increase profit for employees.
           | 
           | Corporations are contemporary churches, soaking up public
           | wealth and agency, ultimately serving the disciples of the
           | church before the public in exchange.
           | 
           | They're almost a Ponzi scheme; customer resources go in. None
           | there for the customer when they come to collect.
        
           | jjoonathan wrote:
           | Also: Stripe publicly emphasized the possibility that their
           | customer might be a dirty rotten liar.
           | 
           | I feel it is only fair to point out that Stripe might be a
           | dirty rotten liar, too.
        
             | graeme wrote:
             | It turns out the poster did, in fact, omit extremely
             | material info from their original post. They sold a used
             | company van via credit card via their stripe account:
             | https://news.ycombinator.com/item?id=32264886
             | 
             | This is not something the business sells, and a huge
             | chargeback risk
        
               | axus wrote:
               | Isn't the obviously correct behavior by Stripe to suspend
               | that transaction, without interrupting others? Clearly
               | they are able to identify transactions on a case-by-case
               | basis.
        
               | graeme wrote:
               | I read their account. They only complain of Stripe
               | holding "the" money, from the car. Did they say Stripe
               | locked their account or did any other restrictions?
               | 
               | https://www.reddit.com/r/smallbusiness/comments/wa1zob/do
               | nt_...
               | 
               | I read a few of their comments their complain seems to be
               | about the $3000 and needing to wait 120 days to get it.
               | 
               | They also say you can't call, but at least for me I'm
               | able to call Stripe here:
               | https://support.stripe.com/?contact=true
        
             | ciabattabread wrote:
             | From elsewhere in this page:
             | 
             | > I used Stripe for about a year to run a small cell phone
             | store in Denver, CO area. [1]
             | 
             | > We sold a cheap van in the company name. [2]
             | 
             | Yeah, that explains how they arrived in Stripe jail.
             | 
             | [1] https://news.ycombinator.com/item?id=32261868#32264335
             | 
             | [2] https://www.reddit.com/r/smallbusiness/comments/wa1zob/
             | comme...
        
         | aaaaaaaaata wrote:
         | > I work for Stripe
         | 
         | Bit of an understatement, right?
        
           | sulam wrote:
           | He is not Patrick Collison.
           | 
           | https://www.kalzumeus.com/
        
             | talideon wrote:
             | Wrong Patrick: kalzumeus is Patrick McKenzie. Patrick
             | Collison's site is patrickcollison.com, and he's 'pc' on
             | Hacker News.
        
         | antman wrote:
         | Customers are publicly asking for your answers for your what in
         | their opinion is an ill conceived and/or villainous process.
         | Not answering claiming that it violates your privacy process
         | from which they specifically exempted themselves could also be
         | considered even more ill conceived/villainous.
         | 
         | They are waiting for your answers, it is a public matter as per
         | your clients repeated requests, it affects more people, money
         | is involved, we are all waiting for your resolution and future
         | mitigation actions. Or rebuttal ofcourse.
        
           | kalkin wrote:
           | If I was a customer and Stripe (or any other company) started
           | releasing private correspondence and financial details
           | publicly because someone on the internet claiming to be me
           | complained about the company, and the company took that as
           | implicitly waiving any privacy obligations, I'd be pretty
           | upset. If they said that the prurient interest of their other
           | customers in the details was part of their decision I'd be
           | even more upset!
        
         | balentio wrote:
         | Don't worry. I made your correspondence public concerning my
         | account from last year so people can see how you handle
         | complaints.
        
         | baggachipz wrote:
         | Maybe if the company had some way, any way at all, to reach an
         | actual human being, this wouldn't be a constantly repeated
         | problem on HN and elsewhere.
        
           | patio11 wrote:
           | As I have observed in other contexts (
           | https://twitter.com/patio11/status/1463749947858165761 ),
           | many people who say "Ugh, I cannot reach a real human" have
           | in fact spoken to several humans, repeatedly and at length,
           | and are imprecisely stating their desire to speak to a person
           | who would agree with their view of the facts and swiftly
           | enact the resolution that they prefer.
           | 
           | We offer (human-powered, somewhat obviously?) support via a
           | variety of methods 24/7; time for us to reply to email is
           | generally a few minutes. Could we do this better? Yes, and I
           | hope we continue doing it better; if anyone ever has an
           | interaction where we don't meet the bar please flag to us.
        
             | westonplatter0 wrote:
             | I can attest to this.
             | 
             | The small company I was working for got card tested
             | (scammers use hundreds of stolen cards to see if they
             | work). I called customer support and talked with a human on
             | a Friday night at 8pm for 15 minutes about our options. 2-3
             | days later, I chatted with someone from the fraud team.
             | 
             | I was surprised by the high touch service even though
             | didn't have a lot of volume (new account w/ less than $10k
             | of transactions).
        
             | ryandrake wrote:
             | I'm not a Stripe customer, but I've often ended calls with
             | other companies' human tech support thinking "wow, I wish I
             | could talk to a human." Not because they didn't take my
             | side, but because I might as well have been talking to a
             | chatbot. Many companies' tier 1 support can't go off
             | script, can't offer creative solutions that are even
             | slightly off the rails, can't make exceptions, can't apply
             | human reason or good judgment, can't update fields in their
             | screens that are read-only... they are basically IVR
             | systems that eat lunch. So I can emphasize with the feeling
             | that customers are always interacting with an API.
        
             | baggachipz wrote:
             | "Am I so out of touch? No, it's the customers who are
             | wrong."
        
             | civilized wrote:
             | > imprecisely stating their desire to speak to a person who
             | would agree with their view of the facts and swiftly enact
             | the resolution that they prefer.
             | 
             | Wow, one reply in and we're already seeing open contempt
             | for this type of troublesome customer. What nerve,
             | expecting a payment processor to promptly process payments
             | and make funds accessible to the account holder.
             | 
             | This reply is going to look monumentally bad if the
             | customer ends up being right about how they were treated.
        
               | austenallred wrote:
               | The Reddit thread shows that OP has interacted with
               | Stripe through Twitter DMs at a minimum.
        
               | wernercd wrote:
               | > This reply is going to look monumentally bad if the
               | customer ends up being right about how they were treated.
               | 
               | And will you say the opposite when the opposite is true?
               | Other comments mention facts about how the OP tried to do
               | something outside of normal and the response is expected
               | for "abnormal" behavior on an account.
               | 
               | Anger against companies is one thing... but will you
               | defend them when it turns out the company is in the right
               | or is this only a one sided comment?
        
             | ziddoap wrote:
             | In this specific case, the OP claims that the call and chat
             | options are greyed out, leaving only e-mail and social
             | media. E-mail, they claim, is bot responses only.
             | 
             | While I understand you can't comment on the specifics of
             | this case, can you speak generally about whether or not
             | disabling the phone/chat support buttons is a part of some
             | standard process?
        
               | patio11 wrote:
               | Speaking generally, chat and phone support are designed
               | to provide immediate round-the-clock service to a wide
               | range of issues but not literally every type of issue
               | that a financial institution has to be able to deal with.
               | 
               | Sometimes, a financial institution might only be able,
               | due to staffing or other considerations, to deal with you
               | asynchronously in writing, perhaps from e.g. a group of
               | professionals who are not as numerous as front-line user
               | operations.
        
               | sph wrote:
               | This is a roundabout non-answer that doesn't explain why
               | chat and phone support were/are greyed out.
               | 
               | Are you just trying to say "we're so short staffed,
               | there's no one to answer your messages, let alone your
               | calls?"
        
               | whiddershins wrote:
               | What he is saying is that in the instance of a fraud
               | concern, they don't have people who can talk about it
               | available 24/7.
        
             | KingOfCoders wrote:
             | This comment should make every Stripe customer run.
             | 
             | You've build up an incredible amount of kudos with your
             | comments and blog posts over the last decade+ here and are
             | willing to burn it for a corporation in a moment? Earning
             | trust takes a long time, losing trust only takes the blink
             | of an eye.
        
               | snovv_crash wrote:
               | The guy tried to use a cellphone shop account to sell a
               | used van via credit card. If I was Stripe I'd be holding
               | the money until the chargeback period was over too.
        
         | dazbradbury wrote:
         | I only have one recurring bug bear that seems trivial for
         | Stripe to solve:
         | 
         | Is there a reason you can't get ARN/STAN refund codes via the
         | Stripe API?
         | 
         | I have never been able to get an answer to that.
        
       | vilfredoparet0 wrote:
       | A quote from Patrick Collison from one of the last "HN support
       | threads":
       | 
       | "We actually have an ongoing project to reduce the occurrence of
       | these mistaken rejections by 90% by the end of this year. I think
       | we'll succeed at it. (They're already down 50% since earlier this
       | year.)"
       | 
       | At this point it is obvious that he/his PR staff are lying.
       | 
       | The only question is: What are some good Stripe alternatives?
        
         | peanuty1 wrote:
         | > What are some good Stripe alternatives?
         | 
         | Square is one.
         | https://developer.squareup.com/reference/square/payments-api
        
         | MauranKilom wrote:
         | > At this point it is obvious that he/his PR staff are lying.
         | 
         | Without taking any stance on the problem at hand: How does an
         | N=1 sample make it "obvious" that a 50% or 90% reduction has
         | not taken place?
        
       | FpUser wrote:
       | Maybe bunch of small claim court cases could straighten them out?
       | If Stripe did something like that to me I would certainly pursue
       | this. My own experience is - I have a web store that sells my
       | software products (we use both PayPal and Stripe) for many years.
       | Size of transaction ranges from $10 up to $7000 (as far as I
       | remember) So far there were no any significand holds / delays.
        
       | schnebbau wrote:
       | As Stripe keeps growing this seems to be a more recurring
       | problem, as it seems to be with most companies that eventually
       | get too big to care about the little guy.
       | 
       | Which leads to my question: is there a smaller alternative
       | similar to the Stripe of five years ago which might appreciate
       | our business more?
        
         | Aeolun wrote:
         | And hopefully stays small. And does processing for any country,
         | not just 3 states in the US :/
        
         | pixiemaster wrote:
         | ,,Too Big To Care"
        
         | vxxzy wrote:
         | PastePay is a great alt to Stripe. Check them out
         | https://www.pastepay.com. I posted this elsewhere in this
         | comment section. PastePay is a "smaller service". It is more
         | customer focused than Stripe.
        
       | JonathanBeuys wrote:
       | How much does Stripe charge for this service?
       | 
       | Say you are a vendor who sells 1000 products a month for $100
       | each. So $100,000 in monthly revenue, split into 1000 payments.
       | 
       | How much would you pay to Stripe per month?
       | 
       | And how quickly can you move incoming payments away from Stripe?
        
         | joshstrange wrote:
         | Unless you have a bulk deal (which you won't even at
         | 1.2M/annual, though you are close IIRC) you are paying 2.9% +
         | $0.30 (also assuming you aren't using any extras).
         | 
         | > How much would you pay to Stripe per month?
         | 
         | So ($100,000 * 0.029) + (1000 * $0.30) = $3,200 / mo
         | 
         | > And how quickly can you move incoming payments away from
         | Stripe?
         | 
         | Not an easy question. Depends a lot on your payment stack and
         | how you implemented Stripe. I can say that for myself it took
         | ~100 hours to fully move everything over (both online and in-
         | person payment system) as a solo dev. I ended up moving back to
         | Stripe because the alternatives suck even more, or at least the
         | one I picked.
        
           | peanuty1 wrote:
           | > I ended up moving back to Stripe because the alternatives
           | suck even more, or at least the one I picked.
           | 
           | Did you try Square?
           | https://developer.squareup.com/reference/square/payments-api
        
       | [deleted]
        
       | Traubenfuchs wrote:
       | Count to three for someone from Stripe appearing here,
       | apologizing and fixing the issue.
        
         | sys42590 wrote:
         | Well, fixing this specific case does not equal to fixing the
         | issue in general.
         | 
         | The morale of the story is that you should not behave like
         | Google if you aren't as big as Google...
        
           | wonderbore wrote:
           | > you should not behave like Google
           | 
           | I'd end it there.
        
             | Crosseye_Jack wrote:
             | Yup, how many times have we seen it here on HN alone where
             | someone has posted "Google nuked us from the Play store and
             | won't talk to us about it" only to be returned after the
             | post hit the front page?
             | 
             | People shouldn't have to go viral on social media to get
             | decent customer service just because "computer says no."
        
       | whiddershins wrote:
       | It's interesting that most are taking the Reddit post at face
       | value, even though if the transaction were by a fraudster, the
       | fraudster would probably have no compunction about lying on the
       | internet.
        
       | thallium205 wrote:
       | It's called placing a reserve on the account and it is something
       | any payment processor will do to a merchant account.
        
         | joshmanders wrote:
         | A reserve is to make sure that the funds are there to cover the
         | check in the event it may bounce. Checks do not take 120+ days
         | to complete.
        
           | thallium205 wrote:
           | Credit card chargebacks can be initiated a half a year or
           | more after a transaction has occured so yes, the reserve is
           | in place to reduce the risk of losing money of the merchant
           | bank from this event.
        
         | wrycoder wrote:
         | Sure, and OP understands that. But, there's apparently no
         | effective resolution process, especially one involving a human.
         | 
         | What would you suggest the OP do to resolve their issue?
        
           | [deleted]
        
           | thallium205 wrote:
           | There is no "resolution" to the situation. His account has a
           | reserve on it and it may stay there for the entire lifetime
           | of the account. He has to just deal with it.
        
         | mission_failed wrote:
         | Yes banks regularly seize money from accounts for hundreds of
         | days and refuse to discuss it with paying customers /s
        
           | thallium205 wrote:
           | Actually, they do. And they will hold reserves on accounts
           | for many months to over a year if they suspect it may be
           | fraud. The acquiring bank does this because the risk of a
           | chargeback is high and their ability to recoup the funds may
           | be diminished with a small account.
           | 
           | I've been in high risk merchant processing for almost a
           | decade. The merchant may _never_ get the money back until
           | they close the account completely and wait half a year for a
           | check in the mail.
        
       | Tomte wrote:
       | Welcome to the Stripe support forum! A founder will be here
       | momentarily.
        
         | psyc wrote:
         | Or the Content & Communications guy.
        
         | username_my1 wrote:
         | any day now
        
           | jeroenhd wrote:
           | You're not wrong:
           | https://news.ycombinator.com/item?id=32263901
        
         | upupandup wrote:
         | Which country can I incorporate in so I can pay the least
         | amount of taxes by using Stripe? Gibraltar?
        
       ___________________________________________________________________
       (page generated 2022-07-28 17:01 UTC)