Stripe may, at any time and in our sole discretion, place a Reserve on your Stripe Account if we believe there is a high level of risk associated with your business, including a higher than anticipated rate of Disputes, Refunds, or Chargebacks, or if you are operating in a high-risk industry.
This clause gives Stripe near-unlimited discretion to freeze portions of your business revenue, potentially causing serious cash flow disruption, with limited ability to challenge their decision.
Businesses using Stripe may have their payouts withheld or placed in reserve for up to 180 days based on Stripe's unilateral risk assessment, potentially disrupting cash flow with limited recourse. Stripe can terminate or suspend accounts immediately, cutting off access to payment processing and potentially funds held in reserve. You can review and negotiate reserve terms before signing, and should maintain alternative payment processing arrangements as a contingency.