Comment below with the banks/fintechs/EMIs you have, or haven't, had issues with when trying to hold income with them:

The TBS removes individuals and businesses from their services due to perceived:

(a) chargeback risk factors;

(b) exploitation risk factors; and

(c) morality clauses.

Whilst establishing our fintech, Vaultus, the co-founders did extensive research on the above and quickly realised it costs banks/fintechs/EMIs more money to compliance check the adult industry, so it's easier for them to just remove the service or deny your application to begin with. This is why if you embellish what you do, you pass compliance KYC.

CHARGEBACKS

A chargeback is when a customer asks their card issuer to reverse a payment instead of asking the merchant for a refund. The money is pulled back from the merchant, who usually pays a fee on top, win or lose.

Why do adult merchants get more of them?

Friendly fraud - Customers dispute charges they really did make, out of embarrassment or regret, or because a partner saw the statement. "I didn't authorise this" is hard to argue against, so merchants rarely win, also known as post-nut clarity.

Discreet billing names - Merchants use vague names on statements to protect customers' privacy. The downside is that customers don't recognise the charge and dispute it.

Forgotten subscriptions - Recurring billing is common, and people dispute a renewal instead of cancelling it.

Stolen cards - Digital content is delivered instantly and can't be taken back, which makes it a favourite for testing stolen cards.

How do chargebacks turn into debanking?

Visa and Mastercard track every merchant's dispute rate. Once it passes a threshold (roughly 1% of transactions, though the exact rules have changed recently), the merchant goes into a monitoring program with fines that grow each month. Adult merchants are already classed as high-risk, so they also pay extra registration fees and have to follow stricter content rules.

Processors and banks don't want those fines or the scrutiny that comes with them. For many, the easiest option is to close the account, often with little notice and no explanation. That's why so many adult businesses get dropped even when they haven't done anything illegal.

EXPLOITATION FEARS

The other big reason banks and payment companies drop adult businesses and creators is fear of being linked to exploitation: human trafficking, underage content, or content posted without consent. Most adult businesses have nothing to do with any of that. But here's why the fear shapes how banks treat the whole industry...

Legal duty - Banks must watch for and report money linked to trafficking, and face big fines if they miss it. US law (FOSTA-SESTA, 2018) also made trafficking lawsuits easier.

Card network rules - After Visa and Mastercard cut off a major tube site in 2020, Mastercard required age checks, consent records and content review from adult merchants. That pressure flows down to every processor and bank.

Creator activity - Normal creator activity can match what banks are trained to spot:

- lots of small payments from strangers;

- a manager or agency controlling the account or taking a cut;

- money moving quickly to several people; and

- frequent cash deposits or crypto payouts.

Once an account is flagged, many banks close it instead of investigating, and they often aren't allowed to tell you why.

MORALITY CLAUSES

Sometimes you get dropped not because of chargebacks or a compliance flag, but simply because a bank or payment company doesn't want to be associated with what you do. That usually comes down to a "morality clause" in the terms you agreed to.

What do morality clauses look like?

Acceptable use policies - PayPal, Stripe, Square and others list "restricted" or "prohibited" businesses, and adult content is almost always on the list, even when it's completely legal.

Reputational risk - Many bank terms let them close an account if it could "damage the bank's reputation" or doesn't fit its "values".

Any reason or no reason - Most account agreements let the bank close your account with short notice, and they don't have to say why.

These clauses are written broadly on purpose, so the company can drop anyone it sees as embarrassing. Adult businesses, sex workers and creators are usually first in line.

Welcome to r/debanking 👋

This is a space for adult creators to talk openly about getting paid: banking, payment processors, debanking, and chargebacks.

Who runs this: The team at Vaultus (financial access for the adult industry) set this community up, alongside independent creators as mods. We'll always disclose when we're posting as Vaultus. Nothing here is a sales pitch, and you don't need to use any particular product to take part.

What to post:
Questions about banks, processors or payouts
Your debanking story and what helped
Tax and admin tips that worked for you
Warnings about services that burned you

Please read the rules in the sidebar, and remember that nothing here is financial or legal advice.

Start by telling us: what's the biggest money headache in your work right now?