What is a rolling reserve?

A rolling reserve is a percentage of each day's settlement that the acquirer holds back for a fixed period before releasing it to you. A "10% rolling reserve over 180 days" means 10% of every settlement is held, and each day's held amount is released 180 days later.

Why acquirers require reserves

Chargebacks can be filed up to 120 days after a transaction (longer in some cases). If a merchant stops trading, the acquirer is liable for those disputes. The reserve is the acquirer's security against that exposure. Delayed-delivery businesses (travel, ticketing, pre-orders) and categories with higher dispute rates carry larger reserves.

Types of reserve

• Rolling reserve — a percentage held and released on a rolling basis. The most common form.
• Capped reserve — a percentage held until a fixed total is reached, then no further holds.
• Upfront reserve — a lump sum deposited before processing begins. Less common; usually for very new businesses.

Cash-flow impact

A 10% reserve on €500,000 monthly volume locks up €50,000 per month. After six months, €300,000 is held before the first release. Plan working capital accordingly.

How to reduce a reserve

Reserves are negotiable and revisable. Six months of clean processing — low chargebacks, no unusual refunds, stable volume — is normally enough to request a review. Strong financials, processing history from another acquirer and diversification across payment methods (bank transfers carry no chargeback risk) all strengthen the case. KLAUDE negotiates reserve terms at placement and schedules reviews as your history builds.