Unfair chargebacks drain your revenue and threaten your account standing. Whether you need to fight a specific chargeback with compelling evidence or respond to Stripe's account-level actions due to chargebacks — I can help you navigate both paths.
You received a chargeback notification and want to submit compelling evidence to dispute it. I'll guide you through what evidence to gather and how to present it.
Evidence submission guidance →Stripe has imposed reserves, put your account under review, or terminated you due to chargebacks. Get a demand letter to challenge disproportionate responses.
Demand letter path →Understanding how chargebacks work with Stripe is essential before fighting them.
A chargeback occurs when a customer disputes a charge directly with their bank or credit card company. The bank reverses the transaction, pulling funds from your Stripe account. Unlike a refund you initiate, a chargeback is forced upon you — and comes with fees and consequences.
Stripe acts as your payment processor, not the decision-maker on chargebacks. When a bank initiates a chargeback, Stripe facilitates the dispute process but doesn't rule on the outcome. The card network (Visa, Mastercard, etc.) and issuing bank make the final decision.
Every chargeback costs you $15 — regardless of whether you win or lose the dispute. This fee is non-refundable. Combined with losing the original transaction amount, chargebacks can quickly become expensive, especially for low-margin businesses.
Card networks monitor your chargeback rate (chargebacks divided by total transactions). Cross the 1% threshold and you enter the danger zone. Stripe may impose reserves, increase scrutiny, or terminate your account entirely.
Win more disputes by submitting the right evidence. Here's what you need for different chargeback types.
Transaction records, itemized invoices, and payment confirmations showing what was purchased and when.
Tracking numbers, delivery confirmations, signed receipts, and photos of delivery. GPS timestamps if available.
Email exchanges, chat transcripts, support tickets showing customer acknowledged receipt or was satisfied.
Terms of service accepted, signed agreements, refund policies acknowledged, subscription terms.
IP address logs, device fingerprints, download records for digital goods, account activity showing usage.
Photos of product as described, packaging, condition at shipment. Comparison to listing if "not as described."
Stripe notifies you via email and dashboard. Clock starts ticking.
Collect all relevant documentation. Don't wait — start immediately.
Upload evidence through Stripe Dashboard. Be thorough but concise.
The issuing bank reviews evidence. Timeline varies by card network.
You'll be notified of win or loss. Decision is usually final.
Transaction amount returned. $15 fee is NOT refunded.
Funds stay with customer. Fee lost. Counts toward chargeback rate.
High chargeback rates trigger Stripe's risk systems. Here's when you need more than just evidence submission.
Once you cross the 0.75% threshold, Stripe's risk team starts watching. At 1%+, you're in the card network monitoring programs. Stripe may demand a remediation plan or begin account restrictions.
Demand Letter May HelpStripe can hold 10-30% of your revenue in reserve for 90+ days to cover potential chargebacks. If the reserve seems disproportionate to your actual risk, you can challenge it.
Demand Letter RecommendedStripe may terminate your account citing excessive chargebacks, sometimes with funds still held. If you've improved your chargeback rate or the termination seems premature, push back.
Demand Letter EssentialSome merchants face severe penalties despite relatively low chargeback volumes. If you have a history of legitimate transactions and Stripe's response doesn't match the actual risk, that's a legal issue worth addressing.
CA Law AppliesTell me about your situation. I'll provide guidance for fighting chargebacks or generate a demand letter for account-level issues.
For account-level issues caused by chargebacks, the demand letter addresses these key points:
Argues that Stripe's penalties (reserves, termination) don't match your actual risk profile, especially if you've taken steps to reduce chargebacks.
Documents your fraud prevention measures, customer service processes, and history of resolving disputes in good faith.
Formal request to release held funds or reduce the reserve percentage based on your improved metrics and legitimate operations.
If terminated, demands reconsideration based on remediation efforts and the disproportionate nature of the action.
References California Business & Professions Code 17200, which prohibits unfair, unlawful, and fraudulent business practices — including arbitrary fund holds.
Sets a firm deadline for Stripe to respond, creating urgency and documenting their failure to act if they ignore the letter.
From DIY evidence guides to full chargeback defense packages.
Explore more Stripe dispute resources and other platform guides.
I'm Sergei Tokmakov, a California-licensed attorney who helps merchants fight unfair chargebacks and respond to payment processor account actions. I understand that chargebacks are often weaponized by bad-faith customers, and that Stripe's automated systems sometimes punish legitimate merchants unfairly.
Whether you need help building a compelling evidence package for a single chargeback or challenging Stripe's account-level penalties, I bring practical experience and legal expertise to your corner.
My Trading Technology Legal Hub covers money transmitter licensing, FinCEN registration, and regulatory compliance for payment processors and trading platforms.
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