Problem with stripe (money frozen) Question

Hello all,

Three weeks ago I started using stripe as a payment provider. After selling a few products (worth of 30k gym equipment) and requesting a payout from stripe, I received an email from stripe three days before the payout was scheduled with the following text:

Thanks for using Stripe!

We're writing to request some additional information that we couldn't verify using your account. In order to continuous transferring funds to you on time, would you mind providing the following information:

• a copy of the invoice or contract for (py number)
• a photo of the primary products, goods, or services being sold (please ensure that the photo includes a sheet of paper that notes the date that the photo was taken)
• a copy of the tracking numbers for the shipment of your goods
  
  Any documents or photos can be attached in your reply to this email. As soon as we can verify these details, your account will be all set to again automatically transfer funds to your bank account.

I responded within 24 hours and delivered everything they asked for. After this I got a response the next day: We'll go ahead and check your business website/account and we''ll definitely get back to you for update. After me asking how long this will take because I need the money for new inventory purchasing, I got the answer: I'm afraid that there's no exact time frame for the review, but we'll work to make sure this review is completed in a timely manner.

What does that mean? Will this take days / months / years? How difficult can it be to verify my account with all the clear documents I added. It's now the third day.. (PS I am from Europe if that matters)

Anyone with the same experience? Or does anyone know what is taking so long for verification? It feels so painful to see my money frozen in the stripe account, with their power over it, I feel like I have to kiss their ass to get my money back.. This really s**ks.

 

I know some people who's PayPal accounts have been frozen for no apparent reason. And I've heard reports that Stripe can be just as bad. But this is the first actual case I've heard of where Stripe is concerned.

I don't have an answer for you but I am interested in hearing how this turns out.

 

Hi,

Stripe have put all my funds on hold for 90 days. I just can't believe it.. my life is going on pause for these 90 days, I don't have money to buy new inventory. This was the biggest mistake in my life to start working with stripe, they even shutdown the chat and the only reply thrue mail are same stories without any answers on my questions. It's just horrible, having sleepless nights, no income, thought for a moment to shoot myself with a gun. I worked for full time 4 years to make that money that is on my stripe balance and I somehow have a feeling that they will refund this later on to the customers (reading other horror stories) for some reason of high risk bs.

 

There are a lot of positives for using stripe, PP, and other online services, but there are also the negatives, the biggest of which is that they control you and you have NO rights whatsoever. Sadly, you have found that out the hard way, maybe to the extent of losing everything you have accomplished in the last four years.

If possible, and it may not be possible with your business plan, you will need to wrest control of your life back from the dictates of faceless entities that ONLY care about themselves, and NEVER their customers. I faced similar issues with PP and eBay years ago. End result was I quit selling on eBay and instead started selling via my own website. That was 13 years ago and is the BEST thing I ever did. Further, to keep the money grubbing faceless thieves out, I refuse to accept ANY online payments. If my customers can't pay with a check or a money order, I don't want their business. Sure, I lose a few sales but far less than I would lose taking online payments. And in 13 years no customer has EVER given me a bad personal check so ZERO losses there. With credit cards, PP, stripe, etc. there are always the issues of potential non-payment, frozen accounts, and payment reversals none of which affect me since I simply refuse to accept those forms of payment.

Since I refuse to accept CC, PP, etc for my products, it is only fair that I do likewise for my vendors. If my vendors will not accept checks, money orders, or cash I SIMPLY DO NOT BUY THEIR PRODUCTS. Life is so much easier when faceless entities are not choking the life out of me.

 

Stripe, Square, and PayPal, are notorious for closing accounts without warning and then being very difficult to get in contact with someone after the fact. A lot of this has to do with the fact that they auto approve the accounts and later when they find out it's a business that isn't to their liking they shut it off.

 

One answer is to frequently move your money out of those accounts. That way when they do freeze your funds you don't get hurt so badly.

 

Well, stripe is new and probably they also want to follow the footsteps of PayPal. One of my clients faced the worst. The person who paid him was fraudulent according to them. It was a digital file that he bought. Anyway, because he wasn't a good person according to them, they close my client's account and get all the money without any question being asked.

Hopefully, they will restore your account, once they see that your account has the potential to get more money into. And probably, once you have a lot, they will give you an excuse for taking all of your money.