How to Avoid Refund Payment Failures (Supplier Guide with Stripe)

Why Refund Payments Fail

A refund payment will fail when:

• The supplier’s Stripe balance does not have enough available funds to cover the refund amount.

• Stripe is unable to draw from the connected balance at the time the refund is attempted.

If a refund fails, the supplier will receive an automated email prompting them to top up their Stripe account and manually retry the refund in the Dropship Returns page on StockShare.

How Suppliers Can Avoid Refund Failures

1. Maintain a Minimum Stripe Balance

To ensure refunds can be processed smoothly at all times, we strongly recommend suppliers maintain a minimum of $500 in their Stripe balance.

This buffer helps avoid payment failures when StockShare attempts to process a refund after a return has been initiated.
Stripe documentation:
https://docs.stripe.com/payouts/minimum-balances-for-automatic-payouts

2. Set Up Automatic Payout Schedules

To prevent your Stripe balance from emptying too quickly, we encourage suppliers to configure automatic payouts with a delay of at least 1 month.

This approach ensures:

• Funds remain in the Stripe account long enough to cover potential returns.

• Refunds can be processed even if the order was fulfilled several weeks earlier.

Useful guide:
How to choose and set up automated payout schedules
https://stripe.com/resources/more/how-to-set-up-automated-payouts-what-businesses-need-to-know#choose-your-payout-schedule

If a Refund Payment Has Already Failed

Follow the instructions in the email received from StockShare to retry refund once you have sufficient funds in Stripe.