Tell HN: Stripe ToS update demands biometrics, freezes payments until given

[cuz-reasons]

I've been using Stripe for my business for about a decade. Got an email from them:

> There’s an open task on your account that needs attention. To keep your account in good standing, take a moment to review it.

Unsaid is that they froze payouts until accepting their new ToS, and that they require a Photo ID plus face scan in order to comply.

I don't necessarily think requiring biometrics is a bad thing, but:

- No advance notice was given.

- A simple "[Action required] Review terms of service for {stripe-id}" email is easy to miss

- Frozen payouts can destroy a business.

This makes me rethink my relationship with them. Super disappointing.

[not_your_vase]

Wait a second. You mean that until now you could just open a Stripe account with random personal details, without verification? You could just say "trust me, bro about my details", and Stripe did trust you?

Based on your description this sounds to me like a big KYC hole which they are trying to plug in now.

It would be interesting to know how many such accounts exist...

[cuz-reasons]

Stripe always had KYC.

It has been a long time but IIRC, I had to send them scans of my ID, articles of incorporation, etc. I am an USA Person with a real business and USA based bank accounts. None of that has changed in a decade.

The problem here is obvious? One day they decide to freeze payouts, and inform me of that with a weakly worded email saying there is a ToC update. What if I was on vacation, didn't have access to a smartphone to do their Biometrics demand, or just didn't see the email? My business would have gone unpaid until something breaks and I'm scrambling to deal with unpaid bills.

[atmanactive]

Any alternatives?

[cuz-reasons]

It's super hard for me to change my billing provider. I almost certainly wont, but this is a huge reliability red-flag so I am going to put together a backup system, and my current WIP will have at least 2 providers.