Balance Security Reserve

At Kiwify, by default, Pix sales are released instantly, boleto in 1 day, and card in 15 days.

However, there is a balance security reserve aimed at preventing a situation in which you make all your sales in one day, then immediately stop selling, zeroing your balance on the platform after 15 days. This could lead to a loss in the case of a chargeback (which can occur up to 25 days after the sale, for example).

This security reserve is usually imperceptible, except if you make just one sale or suddenly stop selling. The idea is that you should always have some balance on the platform to perform a possible refund.

How the Security Reserve is Calculated

The security reserve is 4% for those with card receipt in 15 days (D+15). For those with card receipt in 7 days (D+7) or 2 days (D+2), it is 10%.

To calculate the security reserve, our system looks at your sales volume over the last 30 days.

We then compare:

4% of your payment volume over the last 30 days.

And

The value in $ of your largest sale over the last 14 days.

The security reserve will be the higher of these values.

What's the Logic?

You always need to have some balance in your account to cover potential refunds or chargebacks.

The purpose of the reserve is to avoid the situation where you make a sale, withdraw the money, and then it becomes a chargeback or refund, and you do not have a balance on the platform to cover it. Thus, causing a loss for Kiwify.

If you are an affiliate, there is a block of the largest sale of the last 14 days to cover any refund request from your buyer. Without this block, the affiliate could withdraw the amount before the producer, causing a loss at the time of a refund.

The security reserve takes into account all sales from the last 30 days via Pix, boleto, and card.

Practical Example of Balance Release

When you have several sales:
Let's say you make credit card sales, with a net commission of $10,000.00 on January 1st.

On January 15th, $9,600.00 will be released.
On January 30th, $400.00 will be released.

If you continue to make sales on other days, the balance of these new sales starts to be used in the security reserve, meaning, by continuing to sell and always having some balance to receive, the 4% reserve is imperceptible.

Is the Reserve Value in the Available or Pending Balance?

The value remains in the pending balance until total release.

What If I'm Receiving Payments in D+2 or D+7?

If you receive payments in D+2 or D+7, the security reserve will be 10%, as it is necessary to have a balance to cover refunds and chargebacks that may arrive several days after the sale.

Updated on: 10/04/2024