Why Is Stripe Holding My Money?
If you’ve ever logged into your Stripe dashboard and seen a big chunk of your payout missing, you’ve likely run into a reserve—and you’re not alone. Stripe reserves are one of those unpleasant surprises that hit business owners right in the cash flow.
So, why does it happen, and more importantly, what can you do about it?
Let’s break it down.
What Is a Stripe Reserve?
In plain English, a reserve means Stripe is holding onto some of your money “just in case.” It’s not a penalty, but it can feel like one when you’re expecting a payout and find part of it frozen.
Stripe sets aside reserves to protect themselves (and the payment ecosystem) from financial risk—things like customer disputes, refunds, fraud, or abrupt changes in your account behavior.
Why You Might Get Hit with a Reserve
Stripe uses data, algorithms, and a risk model to decide when to impose a reserve. That decision can be triggered by:
Frequent chargebacks: If customers are consistently disputing charges, Stripe sees that as a liability.
Industry risk: Some industries are more prone to chargebacks or fraud, and Stripe bakes that into its reserve decisions.
Rapid growth: Sudden jumps in volume might seem like success to you—but to Stripe, they can signal instability or fraud.
Account flags: Incomplete business info, odd payment patterns, or inconsistent banking activity can all raise eyebrows.
Can You Prevent It?
Not always—but you can reduce your risk. Here’s how:
Stay under the radar with chargebacks: Keep your dispute rate below 1%. Better yet, use tools to prevent disputes in the first place. We offer payment processing with this software built in.
Communicate with customers clearly: Confusion = complaints = chargebacks.
Notify Stripe about major changes: Expecting a sales spike from a big launch or event? Let them know.
Keep your account in good standing: Accurate business info, consistent payment behavior, and clear refund policies all work in your favor.
What to Do If It Happens
If you’ve already been hit with a reserve, your best move is to show Stripe you’re low risk. That means consistent sales, fewer chargebacks, and clean account activity over time.
Eventually, Stripe may review your account and reduce or remove the reserve—but you’ll likely need to ask.
Stop Getting Caught Off Guard
At Rate Tracker, we don’t just monitor your payments—we process them with built-in tools that help prevent reserves, reduce chargebacks, and protect your cash flow. If Stripe or another processor is holding your funds or playing games with fees, it’s time to switch.
Make the move to a smarter, business-first solution.
