When a member disputes a payment with their bank, the disputed amount is now put on hold as soon as the dispute is opened, rather than only being deducted if you lose. If you win the dispute, the money is sent back to you.
💡 The final result of a dispute doesn’t change. A lost dispute was always deducted from your payouts. It’s now deducted earlier, and returned to you if you win.
What’s changing
The timing of the deduction changes:
Moment | Before | Now |
Dispute opened | No deduction | The disputed amount is held from your balance straight away |
You win the dispute | No change | The amount is sent back to you |
You lose the dispute | The amount is deducted | Nothing more happens, as it was already deducted when the dispute opened |
Payment report | Pending disputes not shown | A new “Pending dispute” line shows the amount on hold |
ℹ️ This only applies to disputes opened from [go-live date]. Disputes that were already open before then are not affected.
Example: one dispute from start to finish
A member pays 100 € for a class pack, then disputes the payment with their bank.
The dispute is opened. The 100 € is held from your balance. Your next payout is 100 € lower, and your payment report shows “Pending dispute: -100 €”.
The outcome.
If you win: the 100 € is sent back to you in a later payout.
If you lose: nothing more happens, because the 100 € was already deducted at step 1.
What you’ll see in your Back Office
Your payout will be reduced by the disputed amount in the payout after the dispute is opened.
Your payment report will show a “Pending dispute” line with the amount on hold, so your payouts and payments still add up.
If you win the dispute, the amount will come back in a later payout.
⚠️ Check your payment report for a “Pending dispute” line. This shows you exactly which amount is on hold and why.
Why disputed amounts are held
Holding a disputed amount while a dispute is open is standard practice for payment platforms. The money isn’t lost: if you win the dispute, it’s sent back to you.
How to reduce disputes
✅ Best practices
The best protection is to have fewer disputes in the first place:
Offer easy refunds when a member asks for one.
FAQ
Why is my payout lower than expected?
Most likely, a member has disputed a payment. Check your payment report for a “Pending dispute” line. The amount is on hold until the dispute is resolved.
Will I get the money back?
Yes, if you win the dispute. The amount is sent back to you in a later payout.
How long will the money be on hold?
Until the bank makes its decision. This usually takes several weeks, and sometimes 2 to 3 months. The timeline is set by the bank.
What happens if my balance is too low to cover the disputed amount?
The same as before: your balance can go negative. Only the timing of the deduction has changed.
Does this apply in my country?
Yes. It works the same way in all markets.