[Bartlet]

I operate in what the credit card processors consider to be a "high risk industry". It's nearly impossible for myself or my competitors to get a merchant account without a reserve. In other words, for every $1 we charge, the merchant bank holds X% in reserve (until we hit a certain threshold). Thus, if we tried to defraud customers by selling bad products and then "disappearing," the merchant bank could use the reserve to refund customers.

So, with that as a preface, how will Stripe deal with chargebacks? It seems like it would be very easy to set up a scam, e.g. a merchant sells phony inventory and then "disappears" when customers complain.

[boucher]

Yup, dealing with risk is a hard problem that we're giving a lot and thought and effort to. We rely a lot on online info to verify identity, which gives us some advantages. But yes, we're working hard on mitigating the risks involved with fraud.

[rhc2104]

https://stripe.com/pricing

There is a $15 chargeback fee.