How payments work at Cozy

We recently announced that Cozy now processes more than $1 billion per year. It was a significant milestone, but the thing that sticks with us, and has been a core part of our culture and focus since day one, is the absolute responsibility we hold for each of you who trust us with your payments and data.

We know all of you landlords and renters who use Cozy trust us to safely and efficiently automate some of the largest payments you make and receive every month. Our goal is to give you peace of mind in return. That’s why we want to thoroughly explain how Cozy payments work, who we work with, and what we do to ensure we continue to be reliable for you and millions of other landlords and renters for the long term.

Our partners, infrastructure, and security

We work with Stripe for payment processing. Stripe operates in 25 countries, and they’re a company clearly set up for the long term. We’ve spoken to many payment processors and banks over the years, and Stripe continues to meet our high standards for reliability, security, and technology. And Stripe continues to impress us with their integrity and innovation. They quickly uncover and remedy the inevitable mistakes that arise in any complex business.

We love Stripe (and they love us!), but the buck stops with Cozy, and we take responsibility for every dollar we process. We put the following safeguards in place to make sure payment processing is safe and reliable:

Our Trust & Safety team ensures that every single Cozy payment goes through several layers of fraud detection.

We employ an extremely rigorous software development process. Every code change is backed with automated tests and reviewed by at least two engineers. Cozy has to work reliably. We understand how costly bugs can be, like when Knight Capital lost $441 million in 45 minutes.

We keep our infrastructure up to date, which ensures that we receive security updates as soon as possible. The recent Equifax breach was a result of a security update that took months to apply. Similar updates to Cozy’s environment are applied in days, or even the same day, for critical vulnerabilities.

We actively and voluntarily pursue data security. Cozy is voluntarily compliant with PCI DSS, even though we do not store your credit card information. (It’s in Stripe, so why also store it on Cozy?) PCI DSS is one of the most stringent organizational security standards in financial technology. We hire third-party security specialists to perform yearly audits. For example, the leak of credit card information at Home Depot in 2014 was due to insufficient PCI DSS compliance.

How your money flows

Even with all of these safeguards in place, and our great set of investors behind us, it’s important that we move your money securely. To that end, Cozy never takes custody of your funds during a payment transaction. Our processing partner Stripe is a licensed money transmitter, and moves your money on our behalf. Funds travel from renters’ bank accounts and credit cards and are deposited in landlords’ bank accounts via the ACH system. Cozy has no access to your money while it’s in transit.

Support at Cozy

We receive a lot of questions about payments, and if you have specific questions on how Cozy works for landlords or renters, we have an entire Help Center and dozens of how-to videos on YouTube. And of course, if you have any further questions about payments or any other Cozy features, our responsive Support team is available seven days a week at support@cozy.co.

We hope this info has been helpful! We’re in this for the long haul, and we’re happy you’re on the journey with us.