[Bug] Shopify Payments Identity Verification Loop & Funds on Hold – Anyone else experiencing this?

Shopify Discussion
1

Hi everyone,

I’m reaching out to see if anyone else has experienced a similar frustrating loop with Shopify Payments identity verification, and if there are any tips to get this resolved faster.

My business is an LLC registered in the US, but I am not a US citizen. Recently, my Shopify Payments payouts were put on hold while I underwent a verification process with the merchant trust team. I submitted my ITIN, EIN, and business documents, and after a 2-day hold, my payouts were successfully released.

However, almost immediately after, I was hit with another identity verification request. This time, I have $2,500 currently on hold.

The main issue is that the automated facial recognition/ID system (via Stripe) is completely failing. I have tried to verify my identity over 35 times using both my passport and my driver’s license. I’ve tried different devices (desktop with Chrome, two different phones), ensured perfect lighting, made sure all four corners of the documents are visible, and tried zooming in and out. Nothing works.

I contacted Shopify Support today, and they escalated the issue to the merchant verification team for a manual review. However, I was told it could take another 3-5 business days for them to even look at it, during which my funds remain locked.

Has anyone else been stuck in this endless verification loop despite already providing all necessary business and tax documents? Is there a way to expedite the manual review process when the automated system is clearly broken?

At this point, I am actively looking into migrating to Authorize.net, as this level of disruption is unacceptable for business cash flow.

Any advice or shared experiences would be greatly appreciated.

Thanks,

2

Hi there @Moonrich_Media
I have seen similar cases where after the initial review, a second verification was required, especially when the system found conflicting information about the identity. Because the automatic check keeps failing, do not submit multiple atempts as this may lengthen the wait. While you’re waiting on the manual review, you might want to activate an alternate payment gateway such as Authorize.net to keep new orders flowing. Also, make sure the details of your Shopify account, your legal business name and your identity verification documents are exactly the same, with no differences in formatting.

3

That is a good point about not submitting multiple attempts as I was not aware that it could actually slow down the review process, so I will stop retrying the automated system.

Regarding Authorize.net, I am already in the process of setting up an account there as it is absolutely ridiculous that a manual review takes 5+ business days while the payouts are on hold.