Skip to content
donorfinch

Payments & Stripe

Disputes and chargebacks

What happens when a donor's bank reverses a gift, how to respond in Stripe, and how DonorFinch records it.

2 min read · Updated October 31, 2026

A dispute (chargeback) is when a donor asks their card issuer to reverse a charge, usually because they don't recognize it. It's rare for donations, but it happens.

What happens

  1. The bank takes the gift amount back out of your Stripe balance, plus Stripe's $15 dispute fee.
  2. DonorFinch marks the gift Disputed and shows it on your dashboard's attention list.
  3. You respond (or not) in your Stripe dashboard, where the deadline and evidence form live. If the bank rules in your favor, the money and fee are returned. If not, the reversal is netted out of a later payout and shows on the Deposits report.

Responding

Open the dispute in Stripe (Payments → Disputes). Useful evidence for a donation:

  • The receipt email DonorFinch sent, with the donor's email address and timestamp (download it from the gift page)
  • Any thank-you correspondence
  • For recurring plans, the date the donor signed up and the confirmation email

Most donation disputes are "I don't recognize this", often because the card statement says the organization's Stripe descriptor rather than a name the donor remembers. Make the statement descriptor clear in Stripe (Settings → Public details).

Preventing disputes

  • Set a clear statement descriptor in Stripe, ideally your organization's common name.
  • Refund promptly when a donor asks. A refund costs you Stripe's processing fee; a dispute costs $15 plus the reversal. If a donor contacts you first, refund.
  • Recurring donors forget. Our receipt for each charge helps; so does an annual "you've been giving monthly for a year, thank you" note.

Things to know

  • Don't refund a gift that's under dispute; the bank is already handling the money, and Stripe will reject a refund on it.
  • Disputes appear as a line on the Deposits report in the payout they were deducted from, posted to your adjustment account if you sync to QuickBooks.

If a dispute looks like it might be fraud on a stolen card rather than a confused donor, accept it in Stripe rather than fight it, and consider turning on Ask for mailing address on your form. Email support@donorfinch.com if you'd like a second pair of eyes.

Related