A connected account's balance goes negative. The platform is ultimately responsible for that negative balance if the account type is which of the following? Choose one.

• A. Standard
• B. Express
• C. Custom
• D. Custom and Express

Answer: (D)

In Stripe Connect, who bears responsibility for a negative balance depends on how much control the platform has over the connected account. A negative balance means a connected account has spent or paid out more than its available funds, creating a shortfall that must be covered.

With Standard accounts, the connected account remains largely outside the platform’s direct financial control, so the liability and responsibility to cover any deficit sit with the connected account itself, not the platform. In contrast, Express and especially Custom accounts are more tightly integrated with the platform—the platform has more ability (and obligation) to fund shortfalls to keep payouts and payouts flow going. Because of that greater platform control and responsibility for the financial health of those accounts, the platform is ultimately responsible for any negative balance when the connected account type is Express or Custom.

That’s why the correct answer includes both Custom and Express—Standard accounts aren’t the ones where the platform is on the hook for negative balances.