Stripe Reviews: Why Stripe is a disaster. My honest reviews about Stripe.
The major problem with Stripe is that you can create an account any way you want even if you have an unauthorized business or anything for several days or even weeks. Your Stripe account is usually reviewed before the first payment is made and your Stripe account is quickly deactivated. You may have a low risk of payment dispute called chargeback in the jargon or have no dispute at all. Stripe arbitrarily blocks accounts based on a sometimes faulty algorithm but also when it thinks you may be a "high risk" business. I didn't really understand what that meant because I had never had more than 0.25% of disputes so I didn't think I was high risk.
I had five or six different businesses with Stripe over a three-month period. Functional legal businesses approved and registered by my company in the UK. After one month we generated a few thousand euros. It was a good launch for us and we really thought we had found our place on Stripe. But however it was a very big mistake to have thought that.
We have been banned for obscure reasons both from selling unauthorized products when we can sell these products without any problem and they are not in the forbidden business list of Stripe or even of most payment processors. You can look at the reviews on Trustpilot and you will see the same thing as me: more than 50% of people complain about Stripe keeping their customers' money for three months or worse... up to six months... but they usually add an extra reserve.
Their reasons are obviously not given. That's when things started to get fishy for me. So I called my lawyer because Stripe owes us over 10,000 euros today that are frozen. It's really sad to get to that point but I had to endure their very pronounced lack of support. Indeed I contacted them in several languages and on several platforms. By email by twitter by facebook and even through other companies accepted on Stripe or partners. Each time it's a disaster. I don't really understand though because 10,000 euros for Stripe is not much. And two disputes over several thousand payments is not much either. Most of our clients are all from the same country and we have even tried to activate Stripe's Anti-Fraud Radar, which is said to block 98% of fraud transactions.
At first I thought this was an isolated case and that I was seen as other people using Stripe for activities that were not necessarily very acceptable. But it wasn't. It happens to many people I've been able to chat with through Facebook and the independent reviews on Stripe show that. It's really sad to see how Stripe is abusing its dominant position in the payment processor market by selling the ease of integration. Of course integration is easy. It's as easy as getting stuck for no reason at all. I've explained it several times to people at Stripe, but it doesn't help. My accounts have been subjected to a multitude of checks several times. I have provided all the documents and everything necessary to demonstrate that my business is not at risk. We have several businesses: selling services to companies. Sale of physical objects of which we have stock in advance on our side and another part where we do not have stock. That's where I wondered if it wasn't because of dropshipping perhaps. But no, it's not. Stripe tolerates dropshipping and I got confirmation of this from Stripe's French support. I also got confirmation from several team members that Stripe often and arbitrarily blocks accounts. What saddened me the most is that I have seen people lose millions of euros with Stripe and even had to lay off more than fifty people in companies because of payouts that did not arrive. Fathers who were unable to give presents to their children because they were blocked during the Christmas period.
Stripe boasts about the dream, but the reviews show the catastrophe. The justifications are the same and the messages are either automatic or prefabricated messages ready to be sent to customers. Moreover they ignore you and end up blocking you on social networks when you try to get explanations about what's going on.
The firm's techniques are very disappointing and we don't understand why we can't run our business.
I have written on several forums about my honest experience with Stripe and have had responses from several people working at Stripe. They have given me their email so that I can contact them regarding this topic so that they can take a closer look. I contacted them via Twitter in public in private and via their email but I got no response after two months of trying.
My only recourse in court and with a debt collector for this abuse is going to be simple. You may remember that Google Adwords has been convicted for abuse of dominant position and also for blocking advertising accounts by keeping the reasons for them in several countries. Well maybe with Stripe if they don't solve this problem it could happen.
I leave my email here if anyone would like to contact me to share their experience and reviews about Stripe that I would add in this post. Or if Stripe would like to contact me: email@example.com
I'll leave you with a few reviews I seen on Trustpilot..
"Run very far away from this company
I started my business barely six months ago. The biggest mistake i made was switching to stripe as a payment processor. They closed my account because i was termed "high risk" and now they wont refund my customer. i have contacted them via email so many times and no response. why wont they get a help line to help customers sort out issues. i had the worst Christmas because the customer kept calling me everyday frustrated and is going round telling people that my business is fraudulent all because stripe has refused to refund her money. i wish i did more research before using them. I wont recommend this company for my worst enemy"
"I don't recommend this service at all- before opening our account we contacted customer service several times about our business. After the first week they said we were high risk and said that they were going to refund our clients (7 clients $7,500). I have never heard of anything like this, nevertheless it is what it is. We have had to contact Support everyday with no answer finanally they put 6 of our payments for refunds schedule for 5-10 business days. One of the refunds has not been processed and I have contacted support everyday with no response. HEY STRIPE WE NEED OUR CUSTOMERS LAST PAYMENT REFUNDED SO WE CAN TALK TO OUR CUSTOMER ABOUT PAYING FOR A SERVICE WE HAVE ALREADY PROVIDED."
"Signed up to Wave to create invoices for my digital business and needed to create a Stripe account to receive payments through Wave. I'd been sending out invoices for just a few months when one of my clients had paid me roughly $800 for my work along with roughly $400 for ad spend money. He ended up going to his bank and lied saying it wasn't him that made the payments and now my account is negative over $1,200. I've since had people pay me using Stripe and instead of receiving the funds it's just made my negative balance a little smaller. I'm still over $1,000 negative and I've contacted Stripe many times and they say it has nothing to do with them but my clients bank."
"Stripe closed my account after 10 years - I sell high end natural incense from the worlds foremost perfumers with nothing but flowers in them - apparently it is a restricted substance. They will not tell me my why it is restricted - it just is. Amazon.com have over 3000 listings of similar products - they are totally non specific - they treat their customers with UTTER contempt - I have no right of reply - no right to know how to rectify the situation - no warning about making an adjustment - and seemingly no right know what is erroneous in my business - because "it just it is" - which has been running legally for 15 years. Obviously I have been done by some stupid algorithm nobody can be bothered to review properly and my business is dust - You cannot get through to a human that gives anything other than robotic answers - they never respond to specifics - and they behave like the typical tyrannical behemoth juggernaut that they have become - soulless inhumane and vain glorious"
"As many others here, Stripe just decided to close my account and keep my funds for 3 months without any legitimate reason. "After reviewing your business and account information, we've found that your business presents a higher level of risk than we're able to work with." "Because of the elevated dispute risk here, your account balance will be placed on reserve for the next 90 days, the industry-standard period during which most payments are disputed. During this time, the reserved funds will help cover any disputes or refunds on your account." We're an established and respected manufacturer, we switched from PayPal to Stripe over 2 years ago for CC payment processing. 2 years of history without any dispute ever. And all of a sudden, this. It didn't even result from a dispute. There is just no reason. Stay away from them at all cost. Never trust a company who acts like it. We're going to survive without those funds for 3 months, but this behavior could kill smaller companies relying on Stripe payments for their survival."