Beware of Stripe
Iāve been meaning to write this for a couple of days. To say itās not with a heavy heart⦠is an overstatement. Itās about a company, and itās acting as such, so thatās the kind of treatment itāll get.
(Havenāt heard of Stripe? Itās a payment provider, often favored by developers thanks to great tools and integrations, that helps anything from a small online store, to large e-commerce giants, charge for goods and services. They take credit cards, Apple Pay, Samsung Pay, and just about any Pay there is out there. Numerous startups use them, itās easy to get set up, and I had nothing but good things to say about Stripe. Well, until now, obviously.)
Some disclosure, before I get to the point.
First, I use Stripe, as the only option, for Switch to iPad through Substack. Iāve used Stripe in the past. As a developer, itās by far the best payment option Iāve ever come across. That only makes this worse.
Second, I canāt name the damaged party of what Iām about to share. Iām sure weād all like me to do that, but itās not my call. I have obtained permission to mention this at all, with the party being anonymous. Furthermore, I will say this, however: Itās a non-profit with all necessary regulations and whatnot, operating from Sweden, protecting people in a hot-bed country, where people need help from the oppressors.
Right. So, beware of Stripe why, then?
Iāve worked with a non-profit in Sweden for some time. Theyāre the real deal, doing real work, operating schools where there otherwise might not be any, and helping people get by under the thumb of recently re-instated oppressors. Some, recently a lot, Iād wager, without disclosing anything, of their funding is through donations. These donations are usually (but not solely) from Swedish citizens, and one by either Swish (a local way to āswishā money from your bank account, to a receiving number tied to a personās phone, or, in this case an organizaition), by invoice or bank transfer, or by online payment.
Yes, through Stripe. I know, I was there deciding on the platform, and Divide & Conquer built it.
As Iāve said, Iāve used Stripe in the past, and recommended it countless times. Weāve got plenty of clients relying on it, all without a hitch, until now.
You see, Stripe decided to freeze the non-profitās account. Weeks later, hereās still something north of ā¬25,000 sitting there, donations given in good faith to help people in need. Canāt get it, the support is pleasant but not interested in solving the situation, and the frustration is, unsurprisingly, high. I know for a fact that this is money required in a region with dire needs. The lack of funds will impact people lives for the worse. Not that Stripe seems to give a damn.
Why would they do this, Stripe? Whatās their angle? First, Iād like to clarify that the non-profit is above-board, well-established, with whatās known as a 90-account here in Sweden. Thatās a way for Swedish citizens to know that the account youāre sending money to, is tied to a vetted organization. These accounts are very hard to come by. The non-profit is, clearly, not the issue.
The country they want to support, however, could be. Problem is, itās not listed as such on Stripeās website. Money has been flowing for months, and weāre talking serious amounts here. Stripe surely had no concerns getting their fee from, well, I canāt tell you, but itās substantial. The generosity of people never ceases to amaze me. Too bad some of these donations are stuck in Stripe limbo.
The only reasonable explanation is that the region this non-profit wants to help, well, itās a hotbed. Itās bad, an understatement in its own right, but thatās what Iāve got. Itās bad, they need the help, and people know it, and thus there are donations coming in. Maybe Stripe is afraid the money goes to the regime? I wouldnāt know, itās not that thereās been any reasonable explanation given. I just know that donations are frozen, money canāt be withdrawn, and this is 90s PayPal all over again.
Which brings me full circle. As a developer, Iāve recommended Stripe for years. No more. Theyāre clearly not reliable, and should be avoided at all cost. Now, I wouldnāt write this, well, perhaps I would because it pisses me off, but I wouldnāt write this like this, if it wasnāt for all the potential goodwill in the world now. While I wonāt name the region where the non-profit is operating, I will say that whatās to stop Stripe from freezing money to other regions of unrest? What if you take donations for Ukrainian war victims, will they let those go through? They bloody well should, but, to me, and hopefully to you, their credibility is shot.
Itās not about the donations, itās about what they could do. The result of withholding money to people in need, I just donāt want to think about that. Neither does Stripe, it seems, so do yourself, and the thousands of people that wouldāve benefited from the frozen (perhaps lost) money, a favor: Pick another provider than Stripe.
Beware, I say. Beware of Stripe.