Stripe Terminated Your Account? Here's What to Do
Getting that dreaded email from Stripe is scary. Here's a practical guide to recovery and finding alternatives.
First: Don't Panic
A Stripe termination feels catastrophic, but it's not the end. Thousands of legitimate businesses have been through this. You have options.
Understanding Why It Happened
Stripe terminates accounts for several reasons:
- Prohibited business - Your vertical isn't allowed on Stripe
- High chargebacks - Exceeded their threshold (usually 1%)
- Risk assessment change - Their risk models flagged you
- Terms violation - Something in your business changed
- Fraud detection - Their systems flagged suspicious activity
Immediate Steps
1. Get Your Money
Stripe typically holds funds for 90-120 days after termination. Document everything. Request clear communication on release timeline.
2. Appeal (If Appropriate)
If you believe the termination was a mistake, appeal with evidence. Be factual, not emotional. Success rate is low but possible for genuine errors.
3. Document Everything
Save all communication, transaction records, and account history. You'll need this for your next processor.
Finding Alternatives
If You're in a Prohibited Category
Stripe explicitly prohibits many verticals. If this is you, you need a specialist high-risk processor, not another mainstream PSP. PayPal, Square, and similar will likely reject you too.
If It Was Chargebacks
Address the root cause before applying elsewhere. New processors will ask about your history. Coming with a plan to reduce chargebacks makes approval more likely.
What to Tell Your New Processor
- Be honest about the termination - they'll find out anyway
- Explain what happened and what you've changed
- Provide clean processing history if available
- Show your chargeback prevention measures
Preventing Future Terminations
- Choose processors that actually want your vertical
- Monitor chargebacks obsessively
- Implement fraud prevention before problems start
- Maintain a backup processor
- Keep clear communication with your PSP
Key Takeaways
- Stripe termination isn't permanent - alternatives exist
- Be honest with new processors about your history
- Address root causes, not just symptoms
- Consider specialist processors for complex verticals
- Always have a backup plan
Need help finding the right PSP?
We help merchants in complex verticals find payment providers that fit.
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