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What is Rolling Reserve?
What is Rolling Reserve?
Updated over a week ago

A rolling reserve is a percentage of a merchant’s gross sales withheld by Paynt to cover the cost of chargebacks or refunds over a particular period. The sum is returned to the merchant at the end of the reserve period.

Under a rolling reserve contract, Paynt holds a percentage of each transaction's total amount in a non-interest-bearing account for a specific period of time, between 90 and 180 days. The reason for this is that a cardholder usually has 120 days from the date of purchase to initiate a chargeback.

A rolling reserve does not affect your business in any other area than your cash flow. The reserve is taken out at the transaction level, so it will not affect your monthly budget.

Keep in mind, that the reserve is still your money. It is not a fee. After the specified period in your reserve agreement, Paynt will return the funds to you.

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