A dispute (or chargeback) is when a family asks their bank or card issuer to reverse a charge. The bank pulls the money back while it investigates, and you get a limited window to respond with your side. It's different from a refund, which is something you choose to do.
How you'll know
When a charge is disputed, the Billing page shows a red "N payments disputed" alert at the top. It stays until every open dispute is resolved, so the deadline won't slip past you.
How to respond
- From the disputes alert (or Open Stripe Dashboard on the Billing page), open your Stripe Dashboard.
- Find the disputed payment and submit evidence. For childcare that's usually your signed tuition agreement, the enrollment or attendance record, and any messages showing the family agreed to the charge.
- Submit before the deadline the bank set. If you miss it, the dispute closes in the family's favor automatically.
Respond even if you intend to refund — letting a dispute lapse counts as a loss on your account, which can affect your future processing.
What happens to the money
- While a dispute is open, the charge amount (and a bank dispute fee) is held back from your payouts.
- You win: the funds are returned to you.
- You lose: the amount stays reversed and the family keeps it.
Either way, Seedling reconciles the payment record from Stripe automatically, so your reports stay accurate.
Heading them off
Most childcare chargebacks are simply "I didn't recognize this charge." A few habits prevent them:
- Keep a signed tuition agreement on file before autopay starts.
- Make sure your center's name shows on card statements (set during Stripe setup).
- Message the family first — a quick conversation usually turns a chargeback into a normal refund.