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Payment delinquency exposure Private preview

Estimate the dollar amount at risk if a connected account becomes delinquent.

The payment delinquency exposure signal estimates the financial exposure if a connected account becomes delinquent. It quantifies the dollar amount at risk from disputes and refunds in the event of a business credit delinquency.

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Retrieve exposure signals

Use the Account Signals API to retrieve the exposure signal for a connected account. The response includes the estimated exposure amount and additional details about how it was calculated.

How Stripe calculates exposure

The Stripe exposure model estimates the dollar-at-risk using concepts borrowed from financial credit models. The formula is:

Payment delinquency exposure = Gross exposure × Loss given default

The signal returns the final estimate in the exposure_amount field. The components that feed into it are available in additional_details.

Gross exposure

Gross exposure ( additional_details.gross_exposure_amount) is the total trailing payment volume still at risk of a dispute or refund. It’s calculated as:

Gross exposure = Trailing payment volume × Predicted dispute window distribution

Predicted dispute window

The predicted dispute window ( additional_details.predicted_dispute_window_in_days) is the estimated number of days between a charge and a potential dispute:

Predicted dispute window = Dispute date − Charge date

Stripe uses historical dispute data to calculate the predicted dispute window distribution for each business and applies that distribution as weights to trailing processing volume when aggregating to gross exposure.

Loss given default

Loss given default ( additional_details.loss_given_default_in_percentages) is the percentage of gross exposure that’s expected to actually be disputed or refunded and materialise as a loss in the event of delinquency, given as a value between 0% and 100%:

Loss given default =% of Gross exposure that turns into a loss

Webhook event

Listen for v2.signals.account_signal.payment_delinquency_exposure_ready event notifications when an exposure signal is evaluated.

Take action on connected accounts

After you receive an exposure signal, use the available Radar tools to take action on your connected accounts. See the list of available actions.