Understanding how payments work helps both students and tutors feel confident using SimTuts. Here's everything you need to know about our payment system.
Your Money, Secured by Stripe
SimTuts never holds, stores, or has access to your money. Every payment is processed directly through Stripe, one of the world's most trusted payment platforms—used by companies like Amazon, Google, and Shopify.
Here's why this matters:
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Your card details never touch our servers. When you add a payment method, that information goes directly to Stripe. SimTuts never sees your full card number, CVV, or banking details.
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Money flows directly between student and tutor. When a lesson completes, payment goes straight from the student's card to the tutor's Stripe account. SimTuts facilitates the connection but never holds the funds.
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Stripe is PCI-DSS Level 1 compliant—the highest level of payment security certification. They process hundreds of billions of dollars annually and are trusted by millions of businesses worldwide.
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If SimTuts disappeared tomorrow, your money would be safe. Tutors receive funds directly into their own Stripe accounts. Students' cards are charged by Stripe, not SimTuts. We simply orchestrate the transaction.
This architecture isn't just secure—it's transparent. Tutors can see exactly what they're receiving in their own Stripe dashboard, and students can see exactly what they're being charged.
The Short Version
- Students: Nothing happens to your card until you join the video call. At that point, a temporary hold is placed, and the final amount is captured after the lesson ends.
- Tutors: Payment goes directly to your Stripe account after the lesson is completed.
- Cancellations: Cancel before the lesson starts and there's no charge—because no hold was ever placed.
For Students
Adding a Payment Method
Before booking a paid lesson, you'll need a payment method on file:
- Go to your Account Settings
- Click Payment Methods
- Add your card details
Your card information is stored securely with Stripe—SimTuts never sees or stores your full card number.
When You Book a Lesson
When you request a booking, nothing happens to your card immediately. The booking goes to the tutor as a "pending" request while they decide whether to accept.
When the Tutor Accepts
Once a tutor accepts your booking, the lesson is confirmed—but nothing happens to your card yet. No hold, no charge. The booking simply moves from "pending" to "accepted."
When You Join the Video Call
When you join the video call, an authorisation (hold) is placed on your card:
- The hold is for 130% of the estimated lesson cost
- This buffer allows for overtime if the lesson runs longer than planned
- The hold is not a charge—it's a temporary reservation
For example, for a 1-hour lesson at $50/hour, $65 (130% of $50) is authorised on your card when you join the video call.
During the Lesson
The video call tracks the actual duration automatically, and either party can end the lesson when complete.
After the Lesson
When the lesson ends, we capture only the actual amount:
- 1-hour booked lesson that lasted 55 minutes? You pay for 55 minutes.
- 1-hour booked lesson that ran 10 minutes over? You pay for 1 hour 10 minutes.
Once a lesson has actually taken place, there's a 30-minute minimum charge—so a call that ends after only a few minutes is still billed as 30 minutes. The remaining authorisation (if any) is automatically released back to your card.
What About Overtime?
The 130% buffer handles typical overtime. If a lesson runs beyond the authorised amount, only the authorised amount is captured up front, and the extra time is raised as a separate overtime charge that you're asked to review and approve.
Cancellation Policy
Before the lesson starts: Whether the booking is still pending or already accepted, no hold has been placed on your card. Cancelling is free—there's nothing to refund because nothing was ever charged.
During the lesson: If you need to end early, you're only charged for the actual time used, subject to the 30-minute minimum once the lesson has begun.
For Tutors
Setting Up Stripe
Before you can accept paid bookings, you need to complete Stripe onboarding:
- Go to your Tutor Dashboard
- Click Set Up Payments
- Complete the Stripe Connect onboarding
Stripe needs to verify your identity for regulatory compliance. This typically includes your name, address, date of birth, and sometimes additional documentation.
How You Get Paid
SimTuts uses Stripe Connect Direct Charges, which means:
- Payments go directly to your Stripe account
- SimTuts takes a 20% platform fee as an application fee
- You're the merchant of record for your students
- Stripe handles all the payment processing
When You Get Paid
When the student joins the video call, SimTuts authorises their card. After the lesson completes:
- The final amount is captured from the student's card based on the actual lesson duration
- Funds go directly to your Stripe account balance
- Stripe transfers funds to your bank on your configured payout schedule
Stripe's default payout schedule is typically 2 business days, but you can configure daily, weekly, or manual payouts in your Stripe dashboard.
Platform Fee
SimTuts takes a 20% platform fee on each completed lesson. This is deducted automatically as an "application fee" by Stripe, so you see your net earnings directly.
Example:
- Student pays $50 for a 1-hour lesson
- Platform fee (20%): $10
- You receive: $40
Handling Cancellations
Before the lesson starts: No authorisation has been placed, so there's nothing to cancel or refund. Both the tutor and student can cancel freely.
During the lesson: If the tutor needs to end early, the student is only charged for the actual time used, subject to the 30-minute minimum once the lesson has begun.
Viewing Your Earnings
You can view your earnings in two places:
- SimTuts Dashboard: Shows lessons completed, amounts earned
- Stripe Dashboard: Shows detailed payment history, payouts, and tax documents
How Authorisations Work
Payments on SimTuts work like paying at a petrol pump. When the student joins the video call, a temporary hold is placed on their card for slightly more than the estimated cost (130%). When the lesson ends, only the actual amount is charged and the rest is released. If a card can't be authorised when the student joins, the student is prompted to update their payment method, and they can't join the lesson until the authorisation succeeds.
Currency
SimTuts currently supports lesson payments in:
- USD (US Dollars)
- GBP (British Pounds)
Tutors set their rate in their preferred currency. Students are charged in the tutor's currency, and their bank handles any conversion if needed.
Tax Considerations
For Tutors
As an independent tutor, you're responsible for your own tax obligations. SimTuts provides:
- Earnings summaries in your dashboard
- Stripe 1099 forms (for US tutors meeting thresholds)
- Transaction history for your records
Consult a tax professional for advice specific to your situation and location.
For Students
Lesson payments may be deductible as education expenses in some jurisdictions. Keep your receipts and consult a tax professional.
Security
Why You Can Trust This System
SimTuts uses a payment architecture specifically designed for trust and transparency:
We never hold your money. Unlike some platforms that collect payments and distribute them later, SimTuts uses Stripe's Direct Charges model. This means:
- Student payments go directly to the tutor's own Stripe account
- SimTuts takes its platform fee as an "application fee" at the moment of transaction
- There's no SimTuts bank account sitting between you and your money
- Tutors have complete control of their funds through their own Stripe dashboard
We never see your sensitive data. All payment information is handled by Stripe:
- Card numbers, CVVs, and bank details are encrypted and stored by Stripe
- SimTuts only receives tokenised references—never actual card details
- Even our staff cannot access your payment information
Stripe's Security Credentials
Stripe is trusted by millions of businesses including:
- Amazon, Google, Microsoft, and Shopify
- Over $1 trillion in payment volume processed
- PCI-DSS Level 1 certified (the highest security standard)
- SOC 1 and SOC 2 compliant
- Available in 46+ countries
Dispute Resolution
If there's an issue with a payment:
- Contact the other party first to resolve informally
- If unresolved, contact SimTuts support
- Stripe's dispute process is available as a last resort
Because payments flow directly through Stripe, you also have access to Stripe's robust dispute and chargeback processes if needed.
FAQs
Why do I see a higher amount on my card statement?
That's the authorisation (130% of the estimated cost), which is placed when you join the video call. The final charge will be lower, reflecting the actual lesson duration.
Can I tip my tutor?
We're working on an in-platform tipping feature so you can show appreciation for great lessons directly through SimTuts. Stay tuned.
What if my card is declined?
Update your payment method in Account Settings. You can add multiple cards and set a default.
How do refunds work?
Since no charge is made until the lesson starts, most cancellations don't need a refund. If there's an issue with a completed lesson that warrants a refund, SimTuts support can initiate one. Refunds typically take 5-10 business days to appear on the student's statement.
Can I pay with PayPal?
Currently, we only support card payments through Stripe. This ensures a consistent experience for authorisations and captures.
Ready to book your first lesson? Browse our tutors and find an instructor who matches your learning goals.
Questions about payments? Contact our support team.