A reserve is a temporary hold on funds in your business account to cover potential losses from refunds and chargebacks. These funds are held for a predetermined period and released if not needed for disputes or refunds.

Types of Reserves:

• Fixed reserve: Holds a set percentage from each transaction until a specified release date
• Recurring progressive reserve: Continuously holds a percentage of funds, releasing them after a set time window
• One-time reserve: Moves a specific amount to reserve with a predetermined expiration date

Reserves may be necessary due to:

• Extended delivery windows or billing cycles
• High volume of unfulfilled orders
• Significant number of disputes/refunds
• Sudden increase in processing volume

Best Practices to Reduce Risk:

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

Reserve Notifications: You'll receive email notifications when:

• A reserve is placed on your account
• A reserve expires or is removed
• Reserve terms are modified

The notification includes:

• Reserve terms and conditions
• Percentage of held funds
• Duration of the reserve period

Reserve Expiration:

• Account review occurs days before expiration
• Reserve may be removed, reduced, or increased
• Decision based on financial health and dispute history
• Extensions possible if high risk persists

Reserve Information Access: Your notification email details:

• Total funds held
• Release date
• Percentage held from sales
• Impact on chargebacks/refunds

For additional support, contact [email protected] by replying to your reserve notification email.

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