A dispute occurs when a customer (tenant) questions a paid invoice with their bank account or card issuer. Disputes can occur for a variety of reasons, and if a payment dispute occurs with a tenant, Alcove will take steps to resolve it directly.
1. What is a rent payment dispute?
A rent payment dispute occurs when a tenant questions a charge made to their payment method with their bank or card issuer. This can happen for various reasons, including suspected fraud, misunderstanding of charges, or dissatisfaction with services. When a dispute is initiated, the payment provider may temporarily reverse the charge while the case is reviewed.
2. Why would a tenant dispute their rent payment?
There are several reasons why a rent payment may be disputed, including:
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The tenant does not recognize the charge on their statement.
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The tenant believes they were charged incorrectly.
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The tenant's payment method issuer flagged the transaction as unauthorized.
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The tenant intentionally disputed the charge due to financial difficulties or dissatisfaction.
3. What happens when a dispute is filed?
When a dispute is filed, the payment provider (bank, credit union, credit card company) holds the funds until a resolution is reached. Alcove receives a notification through Stripe and and in most cases, has the opportunity to submit evidence proving the charge was legitimate. The final decision is made by the payment provider or the card issuer.
4. How can a tenant resolve a disputed rent payment?
If you have disputed a rent payment by mistake, you should contact your payment provider immediately to withdraw the dispute. You can also reach out to Alcove’s support team (support@alcoverooms.com) to discuss the issue and confirm your payment responsibility.
5. What evidence does Alcove provide to dispute a claim?
Once Alcove receives confirmation of a disputed payment, our billing team submits evidence to the payment provider, which may include:
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A copy of the lease agreement showing payment obligations, effective dates, and signature of the tenant.
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Payment history records and receipts.
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Communication records (emails, texts, support tickets) related to rent payments.
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Proof that the tenant has used and has access to the rented property.
Please note that disputing a chargeback does not guarantee a reversal—even with strong documentation—since banks review each case individually and may rule in favor of the cardholder (see: Stripe Disputes Documentation). This means that regardless of the evidence submitted, the outcome is determined solely by the issuing bank’s internal policies and risk assessments, which often result in unpredictable outcomes from our experience.
6. What are the consequences of disputing a rent payment?
Disputing a legitimate rent payment can have serious consequences, including:
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A failed rent payment, which may result in a late fees if the payment is more than 5 days late.
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Next steps in our delinquent rent policy, up to and including eviction filing by your landlord if the payment is not resolved, which may affect your ability to rent in the future.
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Additional fees if the dispute is lost and the payment provider charges processing costs.
7. How can I prevent rent payment disputes?
To avoid disputes, consider the following:
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Ensure you recognize all rent charges and due dates by reviewing your payment schedule in your Alcove portal here.
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Contact the Alcove billing team before disputing a charge if you have concerns or questions about a payment.
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Keep your payment method updated here to prevent accidental chargebacks.
8. What happens to a landlord’s payment when a tenant disputes their rent payment?
When a tenant disputes a rent payment and the funds are returned to them, the landlord's ledger will be deducted by the disputed amount until the payment is fully resolved. This resolution may occur in one of two ways:
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Alcove successfully disputes the charge, and the funds are returned to the landlord.
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The tenant resolves the payment by completing a new payment.
If the tenant does not resolve the payment, Alcove’s delinquency process will go into effect. This includes additional notices about the late rent, as well as a charged late fee if payment is not made within 5 days of the due date. If the payment remains unresolved within the delinquency time frame, the landlord has the option to file for eviction. If this is the case, the Alcove billing team will send next steps via email, and more information can also be found on our FAQ page here.
9. Where can I find more information about disputes?
For more details on how disputes work and how they are handled, you can review Stripe’s support page on disputes: Stripe Disputes Support. If you need assistance, please contact Alcove Support at support@alcoverooms.com or by calling 919-925-5755.