Accepting frozen-funds cases now

Stripe froze your money. I get it released.

Payment processors freeze funds and stonewall business owners every day. I draft a demand letter citing the specific provisions of their payment services agreement and state money transmission laws that require them to release your money. $575 flat fee.

Sergei Tokmakov, Esq. · CA Bar #279869 · 1,800+ projects completed
1,800+
Projects
700+
5-Star Reviews
15+
Years Licensed
14-30 Days
Typical Release

Frozen Funds Demand Letter

Attorney-drafted demand letter on firm letterhead with draft arbitration demand attached.

Frozen Funds Demand Letter

For Stripe, PayPal, Square, Shopify, or any processor
$575 flat fee
3-5 business days
  • Attorney-drafted demand letter on firm letterhead
  • Cites payment services agreement provisions
  • State money transmission law citations
  • Draft arbitration demand or complaint attached
  • FedEx certified mail to processor's legal department
  • Addresses Stripe, PayPal, Square, Shopify Payments, or any processor
  • 30-day release deadline with escalation language
  • 2 rounds of follow-up Q&A
Get My Funds Released →

Rush available: +$150 for 24-48 hour turnaround.

Real frozen funds cases I have handled

These are anonymized examples from recent client work. Every demand letter is drafted by me personally and sent to the processor's legal department.

Stripe — SaaS Business

$47,000 frozen for 3 months — "risk review pending"

Stripe froze $47,000 in reserves from a SaaS company with a 0.2% chargeback rate. Their "risk review" had been pending for 3 months. I cited their payment services agreement Section 9 and California money transmission regulations. Stripe released the full amount within 14 days.

Full $47,000 released in 14 days
PayPal — E-commerce Store

$23,000 held for 180 days — "unusual activity"

PayPal limited a seller's account and held $23,000 for 180 days claiming "unusual activity." The seller had been on the platform for 4 years with zero disputes. I demanded release under PayPal's User Agreement and cited state consumer protection statutes.

$23,000 released in 21 days — no 180-day hold
Square — Restaurant Chain

$18,500 frozen — "elevated risk"

Square froze $18,500 from a 3-location restaurant citing "elevated risk." The business had been processing with Square for 2 years. I cited the Square Seller Agreement's reserve provisions and applicable state money transmission laws.

Funds released in 11 days after demand letter
Stripe — Marketplace Platform

$92,000 reserve — "will not be made available"

Stripe held $92,000 in a marketplace platform's reserve and stated the funds "will not be made available." The platform had a 0.1% dispute rate. I drafted a demand citing the CFPB's supervisory authority and state money transmitter licensing requirements.

Reserve released in stages — $92,000 recovered within 30 days

Why payment processors freeze funds

These are the most common reasons processors give for holding your money. Most of them are pretextual.

"High risk" classification — Processor unilaterally categorizes your business
🔄
Chargeback spikes — Even small increases trigger automated holds
📈
Volume changes — Growing too fast triggers risk algorithms
💻
Industry type — Certain categories flagged regardless of performance
📄
Documentation requests — Processor asks for docs, then freezes anyway
💰
Reserve requirements — Processor holds percentage of all transactions
🔒
Account termination — Frozen funds paired with account closure
🔍
"Under review" — Indefinite hold with no timeline or explanation

What my demand letter covers

The demand letter is not a customer support ticket. It is a legal document that cites specific violations of their own agreement and applicable regulations.

📝
Payment services agreement analysis — I cite the specific provisions they are violating
State money transmission laws — Processors are regulated as money transmitters
💼
CFPB supervisory authority — Federal consumer protection oversight
📋
Contractual reserve provisions — Their own agreement limits when they can hold funds
💰
Unjust enrichment claims — They cannot profit from holding your money
Draft arbitration/complaint — Attached filing ready to submit
📦
Escalation to legal department — Addressed to their legal team, not customer support
📢
Regulatory complaint references — CFPB, state AG, and banking regulator filings

How it works

Tell me what happened

Email me: which processor, how much is frozen, how long, and what they told you. Include any correspondence.

I review your payment history

I look at your chargeback rate, processing volume, and the processor's stated reasons for the hold.

I draft the demand letter

The letter cites their payment services agreement, state money transmission laws, and includes a draft arbitration demand or complaint.

I FedEx it to their legal department

Sent certified mail to the processor's registered agent or legal department. Most funds are released within 14-30 days.

Customer support will not help. An attorney's letter to their legal department will.

Tell me which processor froze your funds and how much they are holding.

Get My Funds Released →

What clients say about my frozen funds demand letters

700+ reviews on Upwork

Stripe Frozen Funds — $31,000 Released
★★★★★ 5.0

"Stripe had my money frozen for 4 months. Customer support kept saying 'under review.' Sergei sent a demand letter to their legal team and they released everything in 12 days. Should have done this months ago."

$575 · Demand Letter
PayPal Account Limitation — $15,000 Released
★★★★★ 5.0

"PayPal limited my account and said I had to wait 180 days. Sergei's demand letter cited their User Agreement and state money transmission laws. They released my funds in 3 weeks instead of 6 months."

$575 · Demand Letter
Stripe Reserve — $67,000 Released
★★★★★ 5.0

"We process about $400K/month through Stripe and they suddenly started holding 30% in reserve. The demand letter Sergei sent got the reserve reduced to 5% and the existing hold released. Huge cash flow relief."

$575 · Demand Letter

Frequently asked questions about frozen funds demand letters

Can an attorney actually get my frozen funds released?

Yes. Payment processors respond differently to attorney demand letters than to customer support tickets. The letter cites specific provisions of their own agreement and applicable regulations. Most funds are released within 14-30 days of receiving the letter.

Which payment processors do you handle?

Stripe, PayPal, Square, Shopify Payments, Adyen, Braintree, and most other processors. The legal framework is similar: they are all regulated as money transmitters and bound by their own payment services agreements.

How much money needs to be frozen for this to make sense?

There is no minimum, but the economics work best when the frozen amount exceeds $5,000. At $575, the demand letter pays for itself if it recovers even a fraction of the held funds.

What if the processor closed my account?

Account closure and fund freezes often go together. The demand letter addresses both: release of held funds and compliance with their own agreement regarding account termination procedures.

How long until my funds are released?

Most processors respond within 14-30 days of receiving the attorney demand letter. Rush delivery (+$150) gets the letter out in 24-48 hours. The actual release timeline depends on the processor.

What if the demand letter does not work?

If the processor does not release funds within 30 days, you have options: file the attached arbitration demand, file a CFPB complaint, or engage a litigator for court action. The demand letter creates a documented paper trail for any next step.

Get Funds Released → How It Works