A reserve is a temporarily held amount of money in your business account to cover potential losses from transaction processing, including refunds and chargebacks. These funds protect your business from unforeseen payment processing difficulties.

Types of Reserves:

• Fixed reserve: Holds a set percentage of each transaction until a specific release date
• Ongoing progressive reserve: Continuously reserves a percentage of new transactions
• One-time reserve: Moves a specific amount to reserve with a predetermined expiration date

Reserves may be necessary when:

• Delivery windows or billing cycles are longer than average
• There are many unfulfilled customer orders
• High numbers of payment disputes or refunds occur
• Sudden increases in processing volume appear

Risk Reduction Tips:

• Monitor dispute activity regularly
• Address disputes promptly
• Implement fraud prevention measures
• Clearly display shipping, return, and refund policies
• Maintain thorough transaction records
• Provide easy customer contact methods
• Communicate delivery delays proactively

Reserve Notifications: You'll receive emails from [email protected] when:

• A reserve is placed on your account
• A reserve expires or is removed
• Changes are made to reserve settings

The notification will include:

• Reserve conditions
• Percentage of held funds
• Applied time period

Before reserve expiration, accounts are reviewed to determine if the reserve should be removed, decreased, or increased based on:

• Business financial health
• Number of refunds and disputes
• Other risk factors

Reserve information, including total funds held, release dates, and transaction details, can be found in your notice email. For additional assistance, reply to your account reserve notice email from [email protected].

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