I was using Razorpay as my payment gateway and it was all fine until one day my settlements got paused due to non-compliance with regulatory guidelines as set by their partner banks, which I believe is the SBI. They told me that they just needed to re-verify my KYC details, and then they would resume and they also asked me to send some invoices from customers (9HG926sXRttH8Pu). So I emailed them back asking the type of invoice they wanted and waited. It took them from June 26th to July 7th to reply to this email saying they wanted proof of delivery of certain orders. I couldn't send that as those orders were placed on that day itself, so I asked if I could send some other orders. I also asked them exactly which guideline I did not comply with as well. They agreed to me sending some other orders but completely ignored my question regarding the compliance of guidelines. They replied again with some questions about the products that I sell, which I answered. After that, I sent a couple of emails just asking for them to settle a part of my money, as I used up everything in my account to run my business, even all my personal savings, but got ignored. Then on the 13th of July, they finally told me that they disabled my accounts and placed a hold on the funds (150, 000) as they noticed "a few discrepancies" and that my funds would be held for a MINIMUM of 120 days, to check if there are any chargebacks, as per Card Payment Network Rules. The funny thing is that according to the Razorpay statistics 70.9% of my orders are via UPI, so even if this is a legitimate thing that they can do, 70.9% of the funds being held haven't even been paid via card, and so I assume, would not come under the Card Payment Network. Note that I have been asking, at this point, for 2 weeks + regarding exactly what is wrong with my account and what guidelines I did not comply with and got completely ignored. After that, I asked for some explanation of what they meant, to no reply. Then I went through their terms and service and found barely any information regarding this holding of funds, and anything related to a 120-day hold of funds mentioned a period of 15-30 days when they inform you of this so you can fix whatever discrepancy has been found. So I sent them an email on the 15th regarding this, asking them if they could send me the bit of the terms and conditions where this is mentioned, and I have not got a reply since then. I tried opening a support ticket as well, but they sent me two of the same automated emails with the 120-day hold description and ignored all my questions. Which is quite suspicious as it was right after I asked them to show me the part of the terms and conditions.
It baffles me as to if there was any discrepancy on my store (which they still haven't informed me of), why were my store and account verified in the first place to allow payments and settlements to come through, for them to only go back and say that there's a problem with it later? They surely would have spotted it and not have allowed my account to be verified in the first place right?
I hope Razorpay will reply to my emails now, if not, I will have to come to their main office in Bangalore to have my questions answered. I understand how loads of people complain to Razorpay saying that they're supporting scam businesses and that they're doing this to prevent those complaints, but why would you hold funds for 120 days? What business can survive 120 days with absolutely 0 cash inflow? At least they can slowly release the funds as time goes by seeing that they haven't received any complaints or chargebacks.
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