Hims & Hers Stock Slumps After Visa Warning Over Weight-Loss Disputes

Hims & Hers stock took a hit on Monday after a Visa warning about subscription disputes tied to the company's weight-loss services.

The credit card giant flagged Hims for its rising dispute rate, placing it in its Acquirer Monitoring Program. To escape the program, Hims needs to bring its dispute rate below 1.5% of transactions for three straight months.

This decision comes with a price: every dispute now carries an $8 surcharge, adding up to around $75,000 in September alone.