Welcome to the world of automation.
A genuine business will be willing to put down some information and a cash payment for a review; spammers won’t have the time or resources.
You run the risk of a perverse incentive to trigger it for revenue but make the fee refundable or something.
Besides, I think for modern society, paying $1 rather than presenting your government ID is an easier ask.
There's a few easy checks to prevent perverse incentives:
1. promise (yeah, an impossible task already) a human will review your appeal
2. if the strike was a false positive, refund that appeal cost.
Genuine business wouldn't mind paying their $970 bill by first paying $1 and then paying $969.
Which is why it seems really strange that this was a lifetime ban, and so quickly at that.
Maybe it didnt even get to human review?