Overview
1VALET uses Stripe to securely process all resident payments, including rent, amenity bookings, and event tickets. When a transaction is completed through the resident app or 1CONNECT Portal, funds are first deposited into your Stripe balance. Stripe then transfers those funds to your connected business bank account based on your payout schedule and any balance rules configured on your account.
If your payouts occur frequently (for example, daily) and a refund is needed after funds have already been paid out, you may not have enough available balance in Stripe to process that refund. Setting a minimum balance helps prevent this by ensuring Stripe always holds back a specific amount of money before sending the rest to your bank.
1VALET recommends that all customers have a minimum balance set up a during initial 1VALET Payments onboarding to avoid failed refunds during regular operations.
What Is a Minimum Balance?
A minimum balance is an amount of money that Stripe keeps in your account at all times before issuing payouts.
Example:
If your minimum balance is set to $1,000, Stripe will not send payouts that would reduce your Stripe balance below $1,000. If a refund or chargeback drops your balance to $600, Stripe will automatically rebuild it up to $1,000 using incoming payments before releasing more funds to your bank account.
This happens automatically so you don’t need to manually add money after each refund.
Why Set a Minimum Balance?
A minimum balance is the most reliable way to protect your building against refunds and disputes.
Benefits include:
Ensures refunds can be processed without delay
Reduces the risk of failed refunds and chargebacks
Automatically replenishes after being used
No manual monitoring or funding required
Works alongside any payout schedule
Improves financial stability and predictability
This is especially helpful for properties with:
Frequent payouts (daily or weekly)
Amenity or event bookings that are often refunded
Guest suites or short-term stays
Low transaction volume
Minimum Balance vs. Refund & Dispute Prefunding
Stripe also offers a separate balance called Future refunds or disputes. While this can be used to reserve money manually for refunds and disputes, it does not replenish automatically and requires active management. For more information on Refund and dispute prefunding please reference this help article.
For most properties, setting a minimum balance is the best option.
How to Set a Minimum Balance
At this time, minimum balance settings must be configured by 1VALET.
To request a minimum balance:
Contact 1VALET Support at support@1valet.com.
Provide the dollar amount you would like to maintain.
Our team will apply the setting to your Stripe account.
Once set, Stripe automatically enforces the balance threshold going forward.
Need Help Choosing an Amount?
A common starting point is to set a minimum balance that covers:
Your most expensive refund scenario (e.g., a guest suite stay)
A typical chargeback amount
A buffer for unexpected reversals
If you’re unsure what amount to choose, 1VALET Support can help you decide based on your property’s transaction volume and usage patterns.
If you have any questions or need further clarification, please do not hesitate to contact our Customer Support Team at support@1valet.com.