#robertpartfy-destination-charges

1 messages · Page 1 of 1 (latest)

fathom ermine
#

Hi there 👋 can you elaborate on what you mean when you say it's not working out?

mighty rose
#

hi @fathom ermine ! sure thing

#

i've been told by Stripe Support that, when using the destination charges method, setting the on_behalf_of value means possible arising disputes are charged to the merchant specified by this attribute

#

is that correct? because i am testing a credit card that triggers a dispute and it seems that: the dispute fee is charged against the platform account and the funds are not "taken" from the connect account (aka the merchant specified by this on_behalf_of attribute)

#

to give you more context about it, this is a test i just performed: pi_3KOkL5JbKXNH7mEr07X6nTrl

fathom ermine
#

As far as I'm aware, dispute/chargeback fees are expected to be levied against the platform account when using destination charges, though you do have the option to try reversing the initial transfer.

For disputes where payments were created on your platform using destination charges or separate charges and transfers with or without on_behalf_of, your account balance is automatically debited for the disputed amount and fee. When this happens, your platform can attempt to recover funds from the connected account by reversing the transfer either through the Dashboard or by creating a transfer reversal.
source: https://stripe.com/docs/connect/charges#types

mighty rose
#

i see, what i've been told is not correct then

#

on the other hand, the fact that the dispute rate increases for destination charges will "damage" the reputation of the platform account?

fathom ermine
#

Now that I'm less familiar with. I've heard other users mention that they've received email alerts when their dispute rates exceed some thresholds, but we're not familiar with those flows in this forum.

mighty rose
#

got it! thank you

#

another last question is, what happens when a charge is disputed and lost and we try to reverse the transfer performed to the connect account but this transfer is no longer available because it has been included in a payout?

#

@fathom ermine are you here?

fathom ermine
#

I'm not certain off the top of my head, and am checking. You could also mock up the flow in test mode to confirm how it will behave.

mighty rose
#

ok, i will test it out

halcyon apex
#

Sorry for the delay there. You can still reverse the transfer, what exactly happens there can depend a bit on the context

#

The Connected account will have the reversed amount taken out of their balance. If they have the balance, it will just be taken out. If they do not, their balance goes negative and I believe that can resolve a few ways