Experience with Wise transfer paused? Stripe Payout

[dha145]

Any experience with having a stripe payout paused by wise. They asked for extra documentation. Only issue might be that the Stripe account under a subsidiary company of the wise account (similar name but different company). How would you resolve this?

 

[Sols]

What has Wise requested?

Provided nothing else is suspicious or wrong with the setup, I'd just show Wise statement from Stripe, proof that the subsidiary is a subsidiary, and provide an explanation for why the subsidiary doesn't receive the money into its own bank account. Hopefully you have a service agreement of some sort between the two companies which explains why the parent company is receiving settlements on behalf of its subsidiary.

 

[JohnnyDoe]

Just wise carrying on normal business and enjoying interest free loans from customers.

 

[Forester]

Receiving payments on behalf of another subject is exactly the issue that many (frankly, practically all reputable) banks and EMIs do not like and explicitly forbid in the TOS. I am not familiar with the exact wording of current Wise's TOS but check it carefully; and if it is there (as I guess), prepare a very well tailored argumentation that your subsidiary just represents you against Stripe or so, etc. (otherwise you are endangered by account freezing and all the possible consequences).

 

[avalanche]

Just wise carrying on normal business and enjoying interest free loans from customers.

Arent they not allowed to touch customer funds? I thought the funds are kept in segregated accounts

 

[JackAlabama]

Arent they not allowed to touch customer funds? I thought the funds are kept in segregated accounts

that is not how that game works

 

[avalanche]

that is not how that game works

Im actually curious, could you elaborate on this?

 

[JohnLocke]

As @Sols already mentioned, show Wise how things are connected and they will release the money. I don't believe them not to be cooperative.

 

[Mike Forman]

Wise is quite fast and correct in accepting documents if everything is legit.

Provide proof it's a subsidiary or the relationship between the companies with a contract and invoice.

 

[Sols]

Arent they not allowed to touch customer funds? I thought the funds are kept in segregated accounts

Correct. The funds are held in such a way that they are of no value the financial institution. If it were a bank, it might be a different story.

that is not how that game works

Do you say that because you know for a fact, or are you echoing what someone else has said without providing evidence?