# Processor reserve

> Processor reserve — Card settlements a payment processor withholds against future chargebacks and refunds — a rolling percentage held for a set number of days, a fixed amount, or an upfront hold. It is the merchant's receivable from the processor, not cash on hand.

Source: https://lopifi.com/glossary/processor-reserve
Part of: Lopifi — US GAAP books on autopilot, reviewed by a CPA (https://lopifi.com)

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**What is processor reserve?** In accounting, processor reserve means card settlements a payment processor withholds against future chargebacks and refunds — a rolling percentage held for a set number of days, a fixed amount, or an upfront hold. It is the merchant's receivable from the processor, not cash on hand.

## Also known as

- Rolling reserve

## Words this system refuses for it

- cash
- available balance

- **Category:** Cash
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/11-lexicon)