What is a reserve?

A reserve is a portion of your funds set aside to handle refunds, chargebacks, and other transaction-related liabilities. In Zoho Payments, there are two types of reserves:

Reserve by Zoho Payments: An amount of your account balance held by Zoho Payments for a specific time to cover disputes. It acts as a safety net, ensuring sufficient funds are available to resolve disputes and mitigate losses for the business and Zoho Payments. The amount withheld varies based on the business’s dispute rate and financial risks.

Reserve (Source - Bank): The reserve is a portion of funds you maintain in Zoho Payments to cover potential refunds, chargebacks, or other liabilities. You can create this reserve by adding funds from the verified bank account. These funds are not included in your payouts and will remain in your account until you request a release by contacting support@zohopay.com.