#rafaelbaptista-refund
scarlet sun
hi! they'd get $37
they then lose $40(to pay the customer). In theory then(assuming you're using Destination charges), the platform makes a net loss for the amount of the Stripe fee, that's it.
Best to test this in test mode to see how it works.
slender elk
yes, i'm using destination charges
but in theory because i retain that 3$ of the charge the platform will not loose money
is that correct?
the reverse transfer only gets me the amount that i transfered to the connected account
The checkout of the sytem was 40$.
The charge is: 40$
The platform gets : 3$ -- the fee
The connected account: 37$ -- when the reverse_transfer is set to true the platform allways only gets the a max amount that was transfered to the connected account
So if the refund was made, the platform is charged 40$ to pay the client, and then when doing the reverse transfer she gets 37$ ... but because the platform retain the 3$ initially of that charge the full amount paid to the client is covered (37$ from the connected account plus that fee)
I'm i thinking correctly?
scarlet sun
yep that all seems correct
you do still lose money though, on the Stripe fee
because you don't actually keep $3, you keep '$3 minus <stripe fee>'. So let's say the Stripe fee is $2. You keep $1, get $37 from the connected account, refund $40 to the customer, so you net make a loss of -$2. That's normal though, it's how our pricing works, you make the money back in future payments.
slender elk
Its possible to recover that Stripe Processing fee from the connected account?
scarlet sun
not really, the platform pays the fee in Destination Charges. It's Direct Charges where the connected account pays the fee.
it's just a cost of doing business, you should set things up so that the fee you take(the $3 in your example) covers your costs(so it should always be at least the Stripe fee amount, plus whatever you need for your own profit).
slender elk
But from what understand i think that Will not be possible since we cap the fee from the value and transfer ONLY the 37 to the connected account ... Só when the client tries to refund they Will allways have the 40$ full amount to refund
That way even if i set a Higher fee Will not work
scarlet sun
well yeah, if you transfer $37 then you can only take your own cut as a maximum of $3.
either you transfer less so you can keep more (like making it a $33/$7 split or whatever you want) or you charge the customer more. It's a business decision , not a technical coding/API one.
slender elk
i cant transfer less because that is the destination amount trasnfered an calculated from the total - fees, and i dont know ahead how much will be the stripe processing fee
anyone there?
dreamy flame
Hi! I'm taking over karllekko.
Can you clarify your question? I think karllekko previous answer was pretty clear.
either you transfer less so you can keep more (like making it a $33/$7 split or whatever you want) or you charge the customer more. It's a business decision , not a technical coding/API one.
slender elk
that didnt answer my question regarding how should i recover the stripe processing fee of the connected account in order for the platform dont loose money
slender elk
i cant transfer less because that is the destination amount trasnfered an calcul...
i describe here why that would not work
dreamy flame
that didnt answer my question regarding how should i recover the stripe processing fee of the connected account in order for the platform dont loose money
You can't get a refund for the Stripe processing fee. So what karllekko suggested are the only two options.
slender elk
so the platform will allways loose that money? is that right?
slender elk
> that didnt answer my question regarding how should i recover the stripe proces...
but i cant transfer less since that value is calculated before the charge so the destination account gets the money without the fees
the fees are capped from the total value , and the connected accounts gets a clean transfer without the fees
so its impossible to simple transfer less since i dont know how much will be the stripe processing fee, and since also that fee is already charged on our fee
slender elk
are you still with me?
dreamy flame
When you do a refund it's expected that you loose a small amount of money since you loose the Stripe fees that are we don't refund.
So you should either charge customers more or transfer less to your connected accounts. This way, on aggregate, you can recover the Stripe fees. If that's not possible, then you will loose some money on the refunds.
slender elk
yap i cannot transfer less since the destination value is calculed before to make the charge , so i think the case its that its not possible to recover that stripe fee
rough sorrel
Hello. Taking over for soma here. Give me a moment to catch up on context
Let me know if you have follow-up questions
slender elk
any updates?