Payment method shows even when it cannot be used

[carolframen]

Describe the bug
Both on the Stripe plugin settings and on the documentation it states that: Select payments available to customers at checkout. Based on their device type, location, and purchase history, your customers will only see the most relevant payment methods.

The documentation even uses Przelewy24 as an example

Only the payment methods relevant to your customer are displayed. For example, Przelewy24 will not be shown to customers with a billing address outside of Poland.

But this is not what happens. All payment methods are shown regardless of the customer's location/purchase history/ shipping and billing address.

To Reproduce
Steps to reproduce the behavior:

1. Add an additional payment method such as Przelewy24, iDeal, giropay, etc. It is important you choose one that is not available on your country.
2. Add a product to cart and go to checkout
3. See the payment options

Expected behavior
According to the documentation it is expected that only relevant options show to the customer

Screenshots

Environment:

• WordPress Version: 6.5.4
• WooCommerce Version: 8.9.2
• Stripe Plugin Version: 8.3.1
• Browser Version: Chrome 125 on Windows 11
• Any other plugins installed: tested with only Woo and Stripe

Additional context
Related thread: https://wordpress.org/support/topic/country-availability-display-payment-methods/

I also tried with both a logged out customer and a customer account I use for testing that has an address in Brazil and has a lot of test orders with that address.

Also checked if adding the billing address separately made any difference, but it didn't.