Stripe Account Withdrawals

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This topic contains 7 replies, has 3 voices, and was last updated by  Karen 1 year, 5 months ago.

Viewing 8 posts - 1 through 8 (of 8 total)
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  • #52567

    Kevin C.

    Hi, this is a pre sales question.

    I want to find out exactly how Stripe works – how the money goes from the customer’s credit card and into various vendor’s bank accounts. I get that stripe charges the credit card for a $0.30c + 2.9% fee, and then the funds are distributed to the admin’s stripe account and all involved vendor’s stripe accounts (based on commission). But, once the money is in a stripe account, does the owner of that stripe account then have to withdraw the money from their stripe account to their actual bank account? If so, is there another fee from stripe for doing this?

    Thank you in advance for your help!



    Customer –> Vendor. If admin gets commissions too (most do of course!) then the amount owed to the admin, from the products total price, is paid to the admin after the vendor is paid — by the vendor automatically. This is all built into the plugin. But what is important is admins pay no fees to Stripe. A nice bonus.

    If a vendor has money in their stripe balance, they get it by ach the next day, no fees, all free.

    If a vendor did not connect to STripe first, and made a sale, the admin keeps all of the money and you pay the vendor later however you want. There’s code floating around here somewhere that will also require vendors to connect to stripe before adding a product which can be handy to prevent this. 🙂

    tl;dr – vendors pay all fees. admin pays no fees. everything is instant.


    Kevin C.

    Thank you for the clarification. That really helps. And also, I’m assuming this all works the same way with orders that include multiple different vendors? Is there any limit on how many different vendors can be involved in a stripe transaction?



    Stripe has no vendor limit. If a customer buys 1000 products from 1000 vendors Stripe says “Cool, thanks!” and just handles it.

    PayPal Adaptive Payments can pay a maximum of 6 people per transaction, so assuming the admin is one of them, that means 5 vendors + 1 admin.


    Kevin C.

    Perfect. Yeah I saw that with PayPal, so I’m glad to hear there’s no limit for stripe.

    And also on more question, just to make sure I have the exact order of the process down for my initial question – let me know if this is correct:


    – a Buyer is purchasing a $40 item from Vendor A and a $60 item from vendor B. $100 total. Both vendors get to keep 95% of their sale as commission.
    – Buyer is charged $100 on their credit card.
    – Admin receives $5 ($40*5%= + $60*5%), with no fee.
    – Vendor A receives $38 ($40*95%) minus Stripe fee (0.3c + 2.9% = $1.40), or $36.6
    – Vendor B receives $57 ($60*95%) less stripe fee (0.3c + 2.9% = $1.95), or $55.05

    Would this be the order, or does the admin take a piece from all vendors AFTER stripe has charged them a fee? Because in my above example, Stripe is technically only charging a fee on 95% of the transaction.



    You’re very close. I’ll use a single vendor example, because the math is the same for 2 vendors or 3 vendors or whatever.

    Customers $100 goes to Stripe.

    Stripe sends vendor $100

    Stripe charges vendor fee on $100

    Stripe automatically sends admin 5% as you instructed them to do with your commission rate.

    Admin receives the $5 and pays no fee.

    Total to vendor would be $100 minus stripe fees minus $5.


    Kevin C.

    Perfect, thank you for your help Ben!



    Ben’s example was very helpful. Thank you.

    @kcox117 I located the code in this thread .

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