Handling negative balances in your Stripe account
A negative balance in a Stripe account occurs when the cost of refunds, disputes, or fees exceeds the available balance. To resolve a negative balance, Stripe may automatically initiate an account debit from the bank account on file within two business days, or users can add funds directly to their Stripe account from the dashboard. However, adding funds directly is not supported in India and Brazil.
Your available Stripe balance may go into the negative if the cost of refunds, disputes or Stripe fees is greater than the existing balance. If your account inherits a negative balance, your account will not be able to send out refunds until the negative balance is resolved. For more details, see below:
Automatic withdrawal
Automatic withdrawal, sometimes referred to as auto debits, is when Stripe automatically initiates an account debit from the bank account on file for the currency with the negative balance for the amount owed. If your account is eligible for automatic withdrawal, Stripe will attempt to debit your bank account within 2 business days of the negative balance. If the debit succeeds, your account will be funded. If the debit fails, you will need to add funds to your balance an alternative way. If you are eligible for automatic withdrawals, please ensure that you have an active Direct Debit Instructions (DDI) on file to prevent delays. If you are concerned about issuing refunds sooner, you may add funds to your Stripe account proactively using the instructions below.
For more information, please refer to Auto Debits FAQ
This is how an automatic withdrawal would look on your dashboard (in the form of a negative payout).
Adding funds directly
You are able to add funds directly to your Stripe account from your Dashboard by following these instructions: https://stripe.com/docs/add-funds
This is how a bank transfer would look on your dashboard once it has been reconciled (in the form of a negative payout).
It may also appear the Dashboard on Top-ups tab under the Balance page.
*Adding funds directly to your Stripe account is not supported in India and Brazil. Please reach out to Stripe Support if you're having this issue.
If you are in a country where Stripe supports automatic withdrawal for negative balances, check your balance and future payouts before creating additional funds to see if you’ve already repaid your negative balance.