Reporting and ReconciliationPrivate preview

Learn how to report on and reconcile Capital transactions.

Throughout the lifecycle of a Capital financing offer, there are three types of transactions:

Payout: A payout occurs when funds are disbursed to the connected account in accordance with their accepted financing agreement.
Repayment: A repayment is a payment towards paying off the financed amount.
Reversal: A reversal occurs when a payout or repayment transaction is reversed.

Stripe exposes Capital transactions so you can provide reporting to connected accounts (users). You might want to include Capital transactions in your platform or accounting software so your users can reconcile their transactions.

We offer two options for fetching transactions:

Financing Transactions API: We recommend using the Financing Transactions API, which includes extra transaction information specific to Capital.
Balance Transactions API: If you already have an integration with the Balance Transactions API, Capital Balance Transactions return most transaction types, but they lack additional detail (such as the associated Capital Financing Offer).

Payout transactions

When you enable an automatic payout schedule, your connected account receives their financing payout automatically. Otherwise, you need to Create a payout of source_type=financing to manually pay out the user’s financing.

Financing payouts have a corresponding Financing Transaction of type payout. After a payout Financing Transaction is created, Stripe sends a capital.financing_transaction.created webhook. However, it might take several business days for the ACH funds to arrive in the connected account’s bank account.

Paydown transactions

Capital has three types of repayment transactions:

Witholding paydowns: When connected accounts (users) apply for financing, they agree that Stripe can withhold a fixed percentage of their future earnings until they’ve paid back the total financing amount.
User-initiated repayments: Users can manually make a payment towards their financing on the Hosted Capital Reporting page.
Collection attempts: Stripe’s Servicing team might initiate repayments in accordance with the Capital collections policy.

All repayments have a corresponding Financing Transaction of type payment. You can Retrieve Financing Transactions and filter by transaction type if you want to display withholding transactions in your UI. Make sure you provide the account ID of the connected account in the Stripe-Account header.

If the retrieval of the Financing Transactions list is successful, you receive a response similar to the following:

{
  "object": "list",
  "url": "/v1/capital/financing_transactions?financing_offer=financingoffer_1NAdVWJQ3aJgxqz5nh90Zqrs&charge=ch_1HoZftJQ3aJgxqz50EbvL8zU",
  "has_more": false,
  "data": [
    {
      "id": "cptxn_1NAdVWJQ3aJgxqz5FSScvJaF",
      "object": "capital.financing_transaction",
      "account": "acct_1HLGiXJQ3aJgxqz5",
      "created_at": 1684780258,
      "details": {
        "advance_amount": 10000,
        "currency": "usd",
        "fee_amount": 1000,
        "linked_payment": "ch_1HoZftJQ3aJgxqz50EbvL8zU",
        "reason": "automatic_withholding",
        "total_amount": 11000,
        "transaction": {
          "charge": "ch_1HoZftJQ3aJgxqz50EbvL8zU"
        }
      },
      "financing_offer": "financingoffer_1NAdVWJQ3aJgxqz5nh90Zqrs",
      "livemode": true,
      "type": "payment",
      "user_facing_description": "Paydown of your loan"
    },
    {...},
    {...}
  ]
}

The response contains information describing how this particular paydown affected the outstanding financed amount. If the paydown occurred because of "details.reason": "automatic_withholding", it also contains a reference to the original Stripe payment in the details.transaction field.

Destination Charges

If your platform processes payments using Destination Charges and you’d like to reconcile the Financing Transaction paydown with the original charge which occurred on your platform, you can do this by first extracting the charge ID in the Financing Transaction’s details.transaction field. This will be set to the payment ID which occurred as a result of the automatic Transfer to the connected account.

{
  "id": "cptxn_1NBJQR2eZvKYlo2CBUy2GQ1S",
  "object": "capital.financing_transaction",
  "details": {
    "reason": "automatic_withholding",
    "transaction": {
      "charge": "py_1NBJI62c99H72o8MUEN0fIZx"
    },
    ...
  },
  "type": "payment",
  ...
}

You can then use the Retrieve Charge API to get back the charge object:

{
  "id": "py_1NBJI62c99H72o8MUEN0fIZx",
  "object": "charge",
  "source_transfer": "tr_3NBJGW2eZvKYlo2C1jQOxNwF",
  ...
}

Because this is a Destination Charge, the source_transfer is populated with the Transfer ID. Finally, you can then use the Retrieve Transfer API to get back the Transfer object:

{
  "id": "tr_3NBJGW2eZvKYlo2C1jQOxNwF",
  "object": "transfer",
  "source_transaction": "ch_3NBJGW2eZvKYlo2C17oDFajw",
  ...
}

The source_transaction field contains the ID of the Charge which occurred on your platform, triggering a Transfer to the connected account.

Reversal transactions

Payout and paydown transactions can be reversed for any of the following reasons:

Failed ACH debit: A connected account’s bank account might have insufficient funds to cover the paydown.
Financing cancelation: If a connected account cancels the financing offer after accepting, we issue a debit to recoup the funds and reverse the payout of the financing.
One-off manual reversals: When a charge is refunded, we don’t reverse the repayment Financing Transaction. However, users can contact capital-support@stripe.com to request that we reverse the repayment, which we might honour depending on the nature of the reversal. If this happens, we ask you provide as much information and context as to the original charge and why it was refunded.

Reversal of a repayment or payout transaction creates a Financing Transaction of type reversal.