Stripe Chargeback Cost Calculator
Friendly fraud is eating your margins. Calculate exactly how much money you are losing to credit card disputes and Stripe penalty fees.
You are losing $825 per month to disputes and fees.
The Hidden Cost of Disputes
When a customer files a chargeback (disputes a charge with their credit card company), the financial damage to your business is much worse than just issuing a standard refund.
The Unfair $15 Dispute Fee
Payment processors like Stripe, PayPal, and Shopify Payments charge you a non-refundable dispute fee (usually $15) every time a dispute is filed.
The worst part? Even if you submit tracking information and win the dispute, they do not refund the $15 fee. If you sell a $10 item and get a chargeback, you lose the $10, you lose the inventory, AND you are charged an extra $15 penalty by Stripe.
The Visa Fraud Monitoring Program (0.9% Rule)
Losing money is bad, but losing your payment processor is a death sentence for your business. Visa and Mastercard have strict thresholds for acceptable chargeback rates.
If your chargeback rate exceeds 0.9% of your total transactions, you risk being placed into a Fraud Monitoring Program. If you cannot lower the rate within a few months, Stripe will ban your account and hold your funds for 120 days.
How to Win More Chargebacks
- Clear Billing Descriptors: Make sure your credit card statement descriptor matches your website name. A customer buying from "Cool Shirts" will file a dispute if their bank statement says "LLC Holding Company 442".
- Require CVC and Zip Code: Turn on strict CVC and Zip Code verification in your Stripe dashboard to prevent stolen credit cards from being processed.
- Aggressive Refund Policy: It is always cheaper to issue a proactive refund to an angry customer than to fight a chargeback and pay the $15 penalty.
Frequently Asked Questions
What is the Stripe Chargeback Cost Analyzer?
The Stripe Chargeback Cost Analyzer is a free online tool designed to help you calculate the true cost of credit card disputes and stripe penalty fees on your margins.
How much does the Stripe Chargeback Cost Analyzer cost?
Our Stripe Chargeback Cost Analyzer is 100% free to use. We do not require any signups, subscriptions, or credit cards.
Is my data safe when using this tool?
Yes. All calculations are performed locally in your web browser. We do not store or save your financial data or inputs on our servers.