Learn from my lesson, don't take your pre seed through stripe = Account Closure

21 points by pureyang 4 hours ago | 5 comments

we have a real product (thanks claude) and dozen users signedup still using up their free credits. setup payments because it was so easy, then decided to use their atlas product to incorporate and take a single 6 figure pre-seed funding thru stripe invoice (yes stupid, but we are early). Rest of payments are all free coupon payments for testing purposes. Stripe accepted the pre-seed payment, 3 days ago connected to mercury to send it there and just now closed my account and holding funds for 120 days (oct 5th). Got rejected 2x with an automated message after they asked for clarification.

1 invoice payment 0 real transactions 0 refunds 0 chargebacks

stripe gets to collect 500-800$ of interest on my account in the meantime

FML

Scaled 49 seconds ago |

Transaction fee is going to be what... $3,000+? Instead of a $30~$50 wire fee.

That said, I'm sorry you lost the account. As a heads up they often hold the money six months so if you're in a cash crunch you might want them to chargeback and pay via wire.

Normal_gaussian 20 minutes ago |

Whoever is giving a six figure pre-seed to a tech startup and doesn't know this is a bad idea is probably quite out of their depth with the investment.

This does smell of an attempt to avoid AML checks.

ThePowerOfFuet 1 hour ago |

So you take a six figure sum as your first transaction and wonder why this happens?

Who puts that sort of thing on a credit card instead of wiring it to you? Why would you want to give up Stripe's cut?

None of this makes any sense.

cavacavacava 3 minutes ago | |

I am asking myself the same question. Why didn’t they send it directly to Mercury?

metalman 47 minutes ago |

certified cheque or bank transfer puts everything in the hands of adult profesionals working with established procedures, rules, and laws. It is amazingly relaxing knowing the simple formalities are as good a guarantee of success as anything in existance. ie: this works everytime, unless something realy realy horrible of fluky happens, and then THEY FIX IT, and all you have to do is nod your head and say your please and thank you's