A dispute - also known as a chargeback - occurs when a cardholder questions a charge on their account and contacts their card issuer. When this happens, the payment is immediately reversed, and the card network applies a dispute fee.
The disputed amount and the fee are temporarily deducted from your account while the dispute is under review.
How the Dispute Process Works
If a dispute is opened against a payment made through your account, Stripe follows this process:
Notification
You'll be notified through your Dashboard or by email when a dispute is created.Deduction
Stripe automatically withdraws the disputed amount and a dispute fee from your account.Details & Evidence
You’ll receive a description of the dispute and any available claims made by the cardholder.
You’ll have the opportunity to submit evidence to support your case.Resolution
The card issuer reviews both sides and makes a final decision:If the dispute is resolved in your favor, the funds are returned to your account.
If the cardholder wins, the payment remains refunded. The decision is final and made solely by the card issuer.
Note: The disputed amount may be more or less than the original payment, depending on fees or currency changes.
How Long Does It Take?
The full lifecycle of a dispute - from the moment it’s initiated to the final decision - can take 2 to 3 months.
Important Notes
Stripe facilitates the dispute process, but cannot influence the outcome. The cardholder’s bank makes the final decision.
ACH Direct Debit Disputes are final. There is no appeal process. If a customer disputes an ACH payment and it’s successful, you must contact them directly to resolve the issue.
