Separate charges and transfers

Separate charges and transfers is a Stripe Connect flow-of-funds model: the platform charges the buyer into its own balance first, then makes one or more separate transfers to move each seller’s share out afterwards.

How it works

• The charge lands entirely in the platform’s account — the platform is on the hook for it.
• The platform then issues a transfer, or several, to split the money out to sellers.
• Because the two steps are decoupled, the platform can transfer later, to more than one recipient, or hold the funds back.

Contrast a destination charge, where the money is routed straight to a connected account as part of the charge itself.

Why it matters

The model gives a platform flexibility — split one payment across several sellers, delay the payout, take a reserve — but it also means the platform holds the funds and carries the settlement and refund liability in between. Reconciling which transfer belongs to which original charge is where the manual work and the leaks appear.

How Fynex does it

Fynex handles the multi-seller case natively instead of stitching a charge to a chain of follow-up transfers: it runs a true multi-party payment, splitting one settlement across many parties at once, by standing rule or per transaction, with every split traceable back to your books. See split payments for platforms and how Fynex compares as a Stripe Connect alternative.