In the event that you receive a payment dispute (initiated by the cardholder through their financial institution), the payment amount (as well as a separate $15 dispute fee) will be deducted from your LumaPay, powered by Stripe, account balance. If you do not have enough money in your Stripe account to cover the disputed amount, the difference will be debited from your bank account.
You have a limited amount of time to challenge the dispute by submitting evidence that the charge is legitimate, or you can accept the dispute. If you challenge the dispute and win, the payment and the fee will be credited back to your Stripe balance. If you accept the dispute, or you do not submit evidence by the time the deadline passes, the cardholder wins the dispute and keeps the funds. Card networks apply this additional dispute fee to help protect cardholders and discourage dishonest or fraudulent business practices that could lead to chargebacks. We encourage you to communicate directly with your customers whenever possible.
Learn more about the chargeback process in Stripe’s fraud and disputes documentation.