All Paypal Users Need to Read this TOPIC !!!

Dont be fooled by paypals claims of security. Like I was. They are lies and it is a frivolus attempt to get you to place your money in thier hands.

They use these security claim to have full authorization to lock or limit your account.

They have a user agreement that basically gives them the right to do whatever they want with YOUR MONEY.

They recently froze the funds of my buyers group. We had over $23,0000 dollars in that account. They made every excuse to keep that money locked up even after we called and faxed them all the info they were trying to get. They then tried to ask for information that was not pertinent to our case.

All the phonecalls led nowhere and all the emails were responded after 5 days with yet another runaround.

I was one of the lucky few. I sent a reversal notice for all the members of the buyers group. BY LAW they had to agree. Not to mention paypal spies were watching a conversation I was having on Link hidden: Login to view forums site. with a attourney that was showing me how to file a lawsuit locally and I was about to file against paypal when they returned the funds.

1 attempt to get me to believe that the lawyer was a fraud failed. I defended the lawyer and the person that tried to stop me deleted thier post. Right after that our money was retuned to the buyers.


DONT BE FOOLED! I was not the only victim. So far paypal has victimized over 10,000 people. Dont be next on thier list. Paypal is not a financial institution, they hide behind thier useragreement.And are not FDIC insured.

If you use them for small value I would say they are ok, But if you have alot of money in your paypal account expect future problems. Or if you become a high volume seller.

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Most ebay users know that paypal sucks at resolving issues. That is why most of them use credit cards to make ebay purchases. You wont loose much by switching to bidpay. But you will gain security of having your money dumped into your own account and protected by FEDERAL BANKING LAWS.

Anyone else have any bad incidents with paypal? Post it here.

Mine were horrible. $34,000 in my account locked for 'suspicious activit' that was never (and has never been) defined. It took over three years and a class action lawsuit (settled in 2004 for millions, not that PP advertises that very much.) I don't use them now unless I am in a position where I absolutely have to due to customer demographics.


Frank

I've had my account frozen by paypal twice, luckily only for a few hundred quid (UK, they released the account when I threatened legal action using some buzz words from a lawyer friend of mine. Each time there was no real excuse given by them. I now keep my funds at a very low level with them and have a second account with them for emergencies as my ebay sales are digital and automated.

I always thought they were scammers before this anyway, but got lured with the ease of use. :oops:

regards

Justin

I had the same incident with you guys, paypal put me on a limited account access. Meaning i can`t recieved any payment, send or request money and close my account.

The issue took place last July 27, 2007 when i posted my first listing at ebay. Since this is my first time (and very excited) i placed 10 listings all on the same category, luckily, on the very first day i closed two units then paypal call me telling me that i am not establish enough coz i only have 2 feedback. It is true, so i forwarded the documents paypal wants. It took me almost a week to settle that until the 2 buyer cancelled the order. I returned the payment and emailed paypal saying that 'there were no transaction being made for the 2 supposed buyer'. I cancelled the order to my supplier coz the two buyer backout and still paypal want me to produce the tracking number for the 2 units as proof of purchase (coz my account is on high risk, they say).

I keep on telling them (on every department) that the transactions are cancelled and no delivery of the unit is being taken. Paypal told me: to be able for me to restore my account standing to normal, i have to produce that trackung number. i am so confused the way they treat the issue, and still the answer is to provide the tracking number.

Hope to hear your advice guys. Many thanks. :(

i think pp likes to freeze you when youve got a lot of money in your pp account, so if you are just regularly transfering smaller amounts into your bank account, then isnt the problem avoided?

no ive had reports of even people with small amounts having thier accounts frozen. weve even heard of a company that had 2.2 million frozen by paypal. Nobody's money is safe with them. its just a matter of time. try checking out Link hidden: Login to view thier forums are filled on a regular basis with victims of thier scams.

My personal belief is that paypal is the biggest scam site on the net. They have frozen thousands of accounts and stole millions from unsuspecting members. Its just a matter of time before they get shut down by the FTC.

10Q guys, i`ll keep that in mind. you`re such a gr8 help. later.

Anyone feel they should think that paypal is not out to destroy you visit this link right here and see how many thousands of people have been ruined by them.

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yes i am just starting out still trying to find suppliers, but i did make a mistake about 18months ago when i was giving selling laptops a go. As soon as I had money Paypal frooze the account I faxed over requested documents and I had to wait ages before it was opened again.

Another time a friend of mine ordered something about

Lessons for sellers is always keep records of tracking numbers so if a buyer filed a claim stating they did not receive the item they purchased, you can alway email them the tracking number and the date it was delivered. Yes paypal do suck because of the high fees and the horror stories people say that's why the alternative way is Bidpay or better yet, get a real merchant account like jimmy said. I do use paypal and bidpay as a way of payment but just a heads up to the new bidpay users, If an international buyer sends you funds, the fee percentage rate is 2.9% just like paypal. I just want to let you know that =)

[quote='keebsuk':750d842b]yes i am just starting out still trying to find suppliers, but i did make a mistake about 18months ago when i was giving selling laptops a go. As soon as I had money Paypal frooze the account I faxed over requested documents and I had to wait ages before it was opened again.

Another time a friend of mine ordered something about

%^&*( those paypal $%^&*(
they forced me to close my paypal account with $18000 in it after i sent various proof of shipping and original bill of sales/invoices
all these for because 'high potential risk activity in your account'

NO SHIT!! its my money n i want it do i leave it in paypal n let them spend it??!?!?!

they jus full of it n find lame excuse to keep my money

now my only question is
if i start using bidpay, can buyer still pay using paypal to bidpay? wut about purchases

my ebay is currently limited because of paypal. do i start a new account or can i remove paypal and keep the same account?

No you cant. I dont even recommend using bidpay. I tried that route and they denied my first 3 bidders payments for stupid reasons. Dont waste your time forcing bidders to sign up with an account to pay for an item. If you have a merchant account and securnetshop cart. Thier info will already be added. they will only have to enter thier credit card numbers and submit.

So wait a minute. Doesn't eBay OWN Paypal? And at first didn't Jimmy_Salehoo RECOMMEND BIDPAY? And now you don't after dealing with them? SO who do we use for payment then!!!???? HELP!

So wait a minute. Doesn't eBay OWN Paypal? And at first didn't Jimmy_Salehoo RECOMMEND BIDPAY? And now you don't after dealing with them? SO who do we use for payment then!!!???? HELP!

Yes I did recommend a switch. Then they denied my first 3 bidders causing me to close down all 3 auctions because thier security is just too high. Do you want to risk loosing good sales lets say you sell 500 items a month and bidpay denies 145 for unknown reasons. Do you want to risk even a small chance of those 145 bidders leaving you negatives because they could not pay for an item they won from you.

Visit here Link hidden: Login to view this is the company I did sign up with and it has so far worked out great. I have full access and control of MY money. I dont have to worry about any frozen accounts or denied payments. And on top of that im saving a ton of money on transactions fees that paypal rips everyone off with. The security is top notch and if a payment is declined its for a good reason. Not because there is not enough info or because some idiot reviewing the transaction thinks something is suspicious.

So far weve had 650 transactions for over 13,000 and only 1 credit card has been declined.

I disagree there Jimmy. Once Bidpay got the documents they require, All payments will be approved. I did have 2 transactions that was denied because they were asking me My Bank Statement, and a Utility Bill to Confirm I'm Legitimate and once they reviewed the documents I have sent them, they approved all transactions that I have including buyers from canada. Don't get me wrong, I am with you setting up with a merchant account but for those sellers that wants to know about bidpay's service, they are pretty cool and are better than paypal.

Paypal sounds SCARY. What about GOOGLE CHECKOUT? NE1 try them????

The problem with Google checkout is eBay doesn't consider them a secure payment option. Hmm wonder why.

Maybe its because they know they will lose a lot of business if they allow them on eBay.

Right now you cant say in your listing that you accept google checkout. You have to send them an email off eBays message system with a link to your google checkout.

I recently had a problem with Paypal. I sold a nice laptop to a guy in WA. the buyer got cold feet and filed a dispute with american exprees which he used as his cc. he did this because he didn't get the laptop in 7 days as HE thought.

Well he ended up getting it on the 8th day but Paypal doesnt care. They zeroed out my paypal account of 1600 bucks. The buyer felt bad and contacted Paypla and said he had reversed the dispute with AE but Paypal took their time of 2 weeks to resolve. Meanwhile I have buyers paying with paypal which just continued to be sucked-up by the 1600 hold. So I am scrambling to tell my buyers the problem and please be patient. etc etc.. SO I finally get my money and again am scrambling to ship items.
I am happy to say I didn't get 1 neg but still I was running aroung with my head chopped off and thinking my eBay account is going to be destryoed as I just got PS status with 400 FB.

No more. I am going to go with Jimmys advice. To hell with Paypal.

I would not be surprised to see Paypal get canned by the feds and eventually eBay get bought up by Google.

Really.

awww, the infamous paypal, i've had alot of problems with paypal in the past.


Link hidden: Login to view
(make money here)

You are correct. PayPal is solely owned by eBay. If you're a seller on eBay, then you're paying three fees to eBay. It's no wonder they eclipse all the other auction sites. You pay to list, you pay eBay when the item is sold, and then you pay PayPal (an eBay company).

I almost had an ugly issue with PayPal. I had a customer who ordered almost $700 worth of goods for her restaurant, supposedly. We ordered her goods. She had received one of the items. The tracking numbers, within the PayPal specified period, were sent to her.

I inputted all the tracking numbers into PayPal with carrier information. Yet, PayPal froze the funds. The items were scheduled to be delivered to her on the same day they would have automatically given her the money back.

Luckily, I have a good relationship with my shipper. I contacted them and they phoned the guy on the truck and told him not to deliver the goods to her. I then authorized PayPal to refund her the portion of the money for the two items. However, my legal counsel phoned them and told them they had better not give her the money for the item she kept, or he would file suit.

It worked. But this is a scam that's going on where they get the item and the refund. Beware. I still use PayPal because there are people on eBay who will not buy unless you do. It's not quite as prevalent on other bid/auction sites.

Hi
I was wondering how do you accept credit cards on ebay...I do have a merchant account but I am about to cancel my website. Is there any other way to accept credit cards?
THanks!

Hi
I was wondering how do you accept credit cards on ebay...I do have a merchant account but I am about to cancel my website. Is there any other way to accept credit cards?
THanks!

Hey bud you can visit Link hidden: Login to view I signed up with them and did all the nessicary required infomation and was ready to go within 24 hours. Took me a bit longer to figure out how to set things up but now its pretty simple. They will even set you up with a free shoppig cart. However I recommend you pay the extra with the shopping cart company and get the full access to the site allowing you to email bills and do reoccuring payments for people buying a service from you.

As far as paypal hogging the ball. They arent as trusted by regular ebayers like they used to be. Our sales are still high and in good volume. And if the bidder doesnt have a credit card they will just send a check. You would rather get a check anyways as there are no fees :D

Question - Are the problems with Paypal and folks claiming they didn't receive a product mainly due to the buyer using a credit card for the purchase?

Isn't it easier to prove that you as the seller did the right thing if you have the tracking/delivery info. and the buyer originally paid directly using their Paypal funds?

Thanks.

The problem isnt just the sellers practices. Its the seller becoming a victim to a buyer. And now the recent changes will allow a buyer to hold sellers hostage using paypal and ebay feedback.

Wow what a perfectly timed advice! I just signed up with ebay and Paypal yesterday. I will avoid doing business through pp then.

I took a look at Link hidden: Login to view and notice that their features and fees are very lucrative. nice!

Question : so FirstData IS a bank? Does the money in the merchant account immediately actualise into my bank acc (from USD into Thai Baht)?

and Thanks for your timely response. I appreciate that this site do care about us users :)

and notice that their features and fees are very lucrative. nice!

Question : so FirstData IS a bank? Does the money in the merchant account immediately actualise into my bank acc (from USD into Thai Baht)?

and Thanks for your timely response. I appreciate that this site do care about us users :)

No First Data Is the Merchant Processing Company. Wells Fargo Is the Primary Bank.

Jimmy:

Question on FirstData, what is the fee for signing up and setup?

And if its using Wells Fargo what does that mean?

Can I use whatever my normal credit union bank is? I don't have a large federal bank definitely did not want one. I have US Bank and they handle everything even large transactions painlessly.

So can I simply use them my official bank or routing number like with any other option? Whats your answer to that?

Hi Guys and Girls,
I must say i have never had a problem with Paypal (might just have been lucky). I have had over $10,000 thru paypal in the last 2 months, but i have found that if you transfer money out of paypal straight away, and do not leave any money in your account, then they leave you alone.

i have found that if you transfer money out of paypal straight away

I would have to say your just lucky. I had my paypal account for 4 years before they got me.

I am lost as to why anyone would leave thousands in a paypal acct.
for any length of time. I would transfer the money out every few days to an interest bearing checking acct with debit function. That way your money is away from paypal and drawing interest. You can then purchase with debit card on that acct. If your purchases and suppliers only take paypal, You are dealing with suspect sites anyway. Real suppliers use real live merchant accounts. Which take most forms of credit cards and debit cards. If you are saying you dont have a credit card or checking acct. What are you doing in business trying to compete in the real business world?????

Excellent point JD! I move my money out of PayPal every 2 days!

I am lost as to why anyone would leave thousands in a paypal acct.

Actually most leave their money in the paypal accounts because paypal money market has a higher interest level then a normal bank.

Actually most leave their money in the paypal accounts because paypal money market has a higher interest level then a normal bank.

But apparently paypal is not very safe.

What about Canadians. What other services are available for them?

I have had my two accounts locked up by paypal even after fulfiling all that they have requested. This is purely stealing.

I am having problems, where I had just been scammed by A CHINESE seller outside of ebay, I did call before i did the transaction, they said that the transaction was fully covered. So I went for it, and now I do not know what to do, paypal will not help me. Would consulting my bank do anything? Or should i contact the police directly.

I followed the link to bidpay but it redirected me to 'Authorize.net' saying that in DEC. '07 Bidpay discontinued services. Do you know anything about this Authorize.net'? I have had a paypal acct for quite a while but now after reading all these posts I'm getting worried. I don't have much money but I want to keep what I do have.

Thank you
Carol

I just checked into Link hidden: Login to view and they want a total of near $80/mo in assorted fees. What's that all about?

Does anyone know anything about Authorize.net that has replaced Bidpay? Or is there an dependable equivalent to PayPal? I would sure appreciate any advice. Thank you

I only use PayPal for very small transactions or to send a payment to a business or person who I trust. I have been receiving credit card payments using ProPay.com for a few years now and it has worked perfectly for me since day one. I also use Google Checkout which works just fine. I used to use BidPay with no issues untill they folded. PayPal has ripped me off a few years ago for around $5k and I will never use them again for anything over $100. All the money PayPal froze I ended up returning to the buyers and PayPal took more out from my checking account to even the balance, so now I had NSF with the bank to deal with.

I got signed up through the company Jimmy recommended, but I'm having a hard time trying to figure out how to get it all linked up with my ebay account. I'm not finding where ebay will allow me to add a merchant account to my listings as an option for the buyer to use. Can anyone help me out?

I got signed up through the company Jimmy recommended, but I'm having a hard time trying to figure out how to get it all linked up with my ebay account. I'm not finding where ebay will allow me to add a merchant account to my listings as an option for the buyer to use. Can anyone help me out?

Someone here has to know, but if they don't respond quickly I would hit the ebay forum for the answer.

Yeah that was a little confusing there Jimmy ? Who do we need to use?Any suggestions

I got signed up through the company Jimmy recommended, but I'm having a hard time trying to figure out how to get it all linked up with my ebay account. I'm not finding where ebay will allow me to add a merchant account to my listings as an option for the buyer to use. Can anyone help me out?

If you have your securenetshop shopping cart setup you actually have to click the settings tab, then ebay checkout.

You actually have to use the shopping cart and create within your listings a link for your buyers to pay. Please look at my auction listings so you can see how I have placed these links within my auction.

Notice I have
credit card logos
Links
And detailed instructions how to pay on the shopping cart.

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Its a little confusing to start but once you get it setup and you make sure you have the info in your auctions. You will have no problems. I just tell my buyer to click the buynow tab in my description and enter their ebay email address to pay. But I only have to do that for 1 out of every 20-30 auctions.

Hey JiMMY I have a question does the merchant acct come with a free shopping cart? I am glad you started this topic as I believe every one should leave pay pal they have screwed more people than Ron Jeremy HA HA ! The sad part though is that is a true statement . I guess though like most everything else we all signed up with Paypal a few years ago when that was the thing to do there was not many options we just did not know better and we all sold items on sleaze bay and had to do it which in turn left us open to there scam. I say WE ALL BOYCOT PAYPAL and switch to something else any one else ?

Hi Guys i have a similar story but mine was when i tried to purchase salehoo i used paypal and all of a sudden they said that my Account had limited access i had to fax them my proof of address all for a purchase of $87AUD i was not happy they said that they believed that my account was being accessed by a third party and i couldn't understand why i had to give my proof of address for that reason any way they fixed it for me the next day and hear i am.

Looking back on it Paypal was the worst mistake ever made.

Merchant accounts are just the way to go, period. When I started being on eBay less and less anyway, I got out there and accepted Amazon Payments, Google Checkout, ProPay etc & realized the world that was is 100 x better, easier, and faster.

And I would never go back to Paypal again.


If that company does not drop Paypal entirely I would be surprised, almost every time someone had paid me with Paypal (anywhere) it took over a day for the payment to show up in full.
Without any warning!

Wow, I knew PayPal was bad, but I didn't know they were this bad. I'm changing my payment options for my website, and closing my PayPal account. Luckily, I have my account set up with a prepaid debit card! :) I chose them because there were no fees associated in setting up my business account (just higher transaction fees). I'm heeding the advice here, and dropping them. Thank you!

Anyone else have any bad incidents with paypal? Post it here.

yes i did wil not use it agn i got scam

i had bad experience also with paypal,
they are the worst payment processor company,
i was in US than came back to my country, they limit the paypal due to IP,,than they request me to sent bank statment and some other stupidd documents, all requestes has been completed still my account is LIMITED!

i had bad experience also with paypal,
they are the worst payment processor company,
i was in US than came back to my country, they limit the paypal due to IP,,than they request me to sent bank statment and some other stupidd documents, all requestes has been completed still my account is LIMITED!

I suspected something else was going on with you account.

Your sit. is a top ten reason eBayers get suspended or limited.

If your account is new and you started in the US then went to another country and was selling a high risk item you are begging to be suspended.

I know it suc#s but that is how it works.

Change your IP and start all over again.

oh great! is this still a constant problem? this is horrible!

oh great! is this still a constant problem? this is horrible!

From a buyers perspective PayPal is usually hassle free, with the odd few exceptions of limited accounts and so forth, but from a sellers point of view they aren't going to be on many people top ten lists.

We offer it as part of our service, and don't have too many issues from a service point of view. Having said that I have made sure to communicate the types of products that we sell and the type of transactions that we are expecting to them in advance in the hope that it may ease any issues developing.

It may sound a bit stupid having to do that to try and create a smooth path, but it seems to work with these guys.

We get to provide the service for international clients who trust the name, and our transactions are smooth. Having said that I also operate a business aimed at a local market, and only offer credit card payments through the Paymate gateway.

PayPal transfer time -: 5-7 days
Paymate transfer time -: 24 hours or sooner!

If you have a high turnover and rely on cash flow, PayPal can really hurt you while they are holding your money over to cash in the markets themselves!

thanx, as a new seller on ebay, i think if i didnt have paypal, it would seriously hurt my business since every potential bidder raises the value of an item, if i lossed even half of my bidders i dont think my auctions would turn a profit. maybe when im selling 100 ps3's a month, i might be able to afford that risk but for now i believe im stuck w/ paypal. :-(

I did not read all of the stuff but would like to give some general advice regarding Paypal:

1. withdraw funds regularly
2. keep a small reserve for buyer claims on the account
3. in case you get restricted get back to them on a permanent basis so that they at least enable your account to receive payments again especially when selling on Ebay. Otherwise you could have extra work over there and bad feedback
4. threatening with lawyer does not make too much sense. Be aware this is a very big company. Although you will get effected emotionally and financially more easily for them it is only part of their bureaucracy and fraud prevention
5.try to find out what they really want to free your acount. Most likely the first person you talk to won`t be able to tell you. Stay on the phone until s.o. clearly tells you what is expected.

i saw this on a thread about the ebay fee calculator, thought somebody might find it intresting so i pasted it here, damn paypal. ....................... ' Yinka says:
February 7, 2009 at 10:14 am
This site saved me $217.80,Paid someone $7500.00 for an item on eBay,and the seller did not ship. I called paypal and they said they are able to recover $7282.20,they also said they will go after the seller to recover the rest. Something seem fishy with the figure,so I checked out this site,and go figure,the difference was paypal fee. Needless to say I called them and I got my money back. I can't believe they tried to profit from fraud.'

Jimmy, are u still using Link hidden: Login to view? How is it working? Need some options. Thank u.

I found out about 4 years back that even saving tracking numbers does not prevent a seller from giving a refund. I was, at the time, selling cell phones and sold one for about $500. It shipped and was tracked. The buyer filed a claim with paypal and stated he never received the phone, though I sent paypal the tracking number which even had the name who signed for the phone!!! They made me refund him the money! They are unbelievable!

Hey guys,

Just a little FYI the SN Jimmy that created this post is no longer on this site.


Thanks,

I was a salesman my ebay power seller of economically-financial operations were mainly to traces of each sale paypal where I charged a commission and get the buyer to do when you get to be 24000

ebay owns paypal yes

and its really good for small amounts of money as its really easy to use and alot of people trust it

i would not recommend keep large sums of money in it though

personal i have lost over 2k us dollars and paypal never paid it abck even after ebay claim of full cover

Thanks for the tip!

We have bad experience with paypal before ， as follows : we have sent the right goods to buyer , with right tracking number(sure it was signed) . but when the buyer complain and ask for refund . i have given all the right information to them , but they still refund the buyer . i am very disappoint about it !

The best way to deal with Paypal is to have a separate checking account just for Paypal. Then have a savings account attached to the checking. When you get money from Paypal into your checking, transfer it to savings. Now Paypal cant touch it.

Never leave money in your Paypal account that is higher than the amount your state lets you sue for in small claims court.

If Paypal wrongs you and you have proof which you should, sue them.


If you are shipping high priced goods on eBay, put the item and shipping materials on your scale, weigh it and take a picture of the weight then take another picture when the item is sealed with postage stamp and take a picture of that and its weight. Keep a copy of the postage receipt.

Send the item to be signed for.

If Paypal wrongs you, go to your local courthouse and sue the hell out of them. If there is room to sue them for more, do so and the judge might give it to you if you have dotted all your I's and crossed all of your T's.

If you gave Paypal all of this information and they still dinged you the judge may find some reason to give it to you.

If Paypal tries to contact you and talk you out of suing them for arbitration reasons, explain to them that cases are won all the time without arbitration and if they don't immediately, within 24 hours, refund your account and continue to let you use your account without issue, you will sue them. If they threaten you in any way, tell them " to go pound sand".

With all of the above said. Paypal is and continues to be the most used form of payment on eBay and 99% of the time without problems.

I just started selling stuff on ebay and 2/3rds of my account are in "payment holds" which aren't released for 21 days due to "buyer safety" it slows down my business so much!

The only reason thats its the most common form of payment on eBay is because its a eBay company or so i read somewhere

Hi

Since the 3 June, my Paypal is limited because they want invoices, email addresses, telephone numbers and proof that the supplier has sufficient inventory and so on for suppliers who I bought items from on Ebay, now, I read somewhere that Paypal and EBay are partners, do they not know, I cannot get the email addresses, the telephone numbers and so on, the invoice shows the member Id and that is all, I cannot call them, I am in South Africa, costs too much money, contact them through Email and get the same reply, until I supply the info, they will not open it, do I close my business?
I am South African, I cannot open some of the Credit card facilities, I do not have an American bank account, I hate the power Paypal have but, what do I do?

I feel you pain, Alanwakelintrading,

I spent over an hour trying to sort out a very simple issue with PayPal over the phone last week - it was a true test of my patients!

Do you have Skype?

It's an internet calling system that is really cheap to use.

It's free to download, and calling other Skype callers is free too.

To call PayPal, you will need to add credit to your account, but for the 1 hour + I spoke with them it cost me less than US$1.

To call PayPal go here: Link hidden: Login to view and login to get the phone number, plus your pin number which they will ask you for when they speak to you.

Also, just a tip: when you call them, an automated voice prompt will ask you to enter the phone number attached to your PayPal account. You can either enter it on your phone's keypad (or Skype's keypad) or say it out loud.

The voice prompt couldn't pick up the number I was entering so I just used the option to say " I am not a PayPal customer" which allows you to skip this step, and get taken to an operator sooner.

I hope this helps.

I just started selling stuff on ebay and 2/3rds of my account are in "payment holds" which aren't released for 21 days due to "buyer safety" it slows down my business so much!

Yes this can be a real nightmare for sellers!

Our blog writer Erika wrote a really useful post on PayPal holds recently, I recommend you check it out here:

Link hidden: Login to view

Hi all,

There has always been an alarm bells going off inside my head when it comes to using paypay to hold funds.

Online is not safe at all and I personally get all my international customers to use international bank transfer or western union and then release goods when money has cleared.

When it comes to holding money, the safest place on earth is your own bank.

Not PayPal
Not Alert Pay
And certainly not your girl-friends wallet. lol :o)

thanks for the heads up and sharing your experiances.

Cody
Cozziemomo NZ

I've had that problem too with them freezing my account but it wasn't as bad as a lot of other people here.

See my situation was I accumulated up to $500 in my account so they said I needed to upgrade to a business account or something so that I would be able to accept more money. I needed to request an increase on my limit I guess on how much money I bring in. So I tried but nothing happened. I guess they knew I would withdrawal the money every time I made a sell but still the system keeps tabs on how much money you accumulate. So they locked my account eventually. I don't know what happened I just told them to close that account.

But I went ahead and opened another account with them and I applied for that paypal pay later thing they have and thats a way to kind of cheat them out of freezing your account. Like any credit card they'll start you off at $500 and then you build your way up to $1,000 and so on. I've been using them for 3 years now and it works out. They haven't frozen my account, I don't use any of my own money, and it works.

So I start off with a $500 credit limit, right. I purchase all my merchandise, I sell my merchandise to my customers, I withdrawal my profits into my bank account and then I pay off the credit limit of $500 in full. THEN I REPEAT IT AGAIN! I purchase $500 worth of merchandise, sell to my customers, withdrawal the profits into my bank account, and pay off the $500.

Paypal will not freeze your account because its money you owe them. If they freeze it how are they suppose to get their money back right!

I'd recommend this to people who have no money to start their own business and can qualify for paypal pay later. It works, its secure, I've been doing it for 3 years now, and I haven't had any problems yet.

Effective December 31, 2007, BidPay.com, Inc., a wholly owned subsidiary of CyberSource Corporation, discontinued operations. You have been redirected to Authorize.Net, a CyberSource online payment solution that helps small businesses accept credit cards and electronic check payments.

Please visit our site to learn more about online payment solutions.

This is what I got ( the above) anyone heard of them? Are people leaving paypal to go here?

My question???? If you are in Ebay, you are kinda stuck with Paypal, right????????

Effective December 31, 2007, BidPay.com, Inc., a wholly owned subsidiary of CyberSource Corporation, discontinued operations. You have been redirected to Authorize.Net, a CyberSource online payment solution that helps small businesses accept credit cards and electronic check payments.

Please visit our site to learn more about online payment solutions.

This is what I got ( the above) anyone heard of them? Are people leaving paypal to go here?

Are you asking if anyone's ever heard of Authorize.net? They're one of the largest, if not the largest, credit card processor in the world ...

If you use eBay, you have to use PayPal. It's not a specific rule, because it doesn't have to be. If you use eBay, and don't accept PayPal, you're screwing yourself out of sales left and right due to the way that eBay corporate went out of its way in the early years after the acquisition to discourage the use of other payment providers, and to increase the feature base on PayPal to the point that buyers had a hard time understanding why anything else would be needed.

Seriously, it's a rout -- if you sell primarily on eBay, to consumer/end user kind of customers, get a PayPal Pro account and use it. I finally gave up this fight myself a while back. It sucks for other uses, but for operations that aren't doing any volume (ie. the majority of indie eBay sellers) PayPal Pro is one of the easiest ways to get set up to take credit cards, integrate PP and credit card payments into a single cart, have all your money going to and from your bank account fee-free with reasonable transfer times, etc. etc. etc.

When you start doing volume, then it makes sense to talk to your bank and scout around online for a real merchant account, and start looking at carts and gateways and such so you can still integrate PayPal with your other payments. But in the early days in particular, there's just no reason to not accept PP as part and parcel of the eBay experience.


Frank

PayPal's largest source of income comes from holding money. Most credit card companies make money off of each transaction that you make with their card. Unfortunately for PayPal they have to pay these fees to the credit card companies too. They still charge you a premium, so they make some money per transaction, but not as much as VISA, AMEX, MasterCard do.

Where PayPal makes their money is in HOLDING MONEY. This is why they are so happy to always do this. They hold your money for even 20 days and they start profiting off the interest that it is accruing. This came out some time ago when they started their 21 day holding term for eBay users. This helps them squeeze money out of your money before they hand it over to you.

This is also the reason that they are happy to freeze accounts. Even the wiff of a "suspicious" item and they will freeze it because now they have an excuse to do so. They might know 100% that it is bogus and again they probably have every right to release it in 90 days back over to you, but they want to hold on to it for as long as they can collecting interest on it.

This is how they make most of their money and once you understand this, you can see a lot of sense (from a selfish perspective) in a lot of the ways they do things.

I currently have all my funds held in paypal with everything connected to ebay. i did not know there were other options. Thanks for the info!!!

Welcome to SaleHoo, chamberunlimited :)

Our resident eBay guru had shared tips on how to avoid and resolve eBay's 21 day hold policy through this blog - Link hidden: Login to view

Also why were your funds put on fold in the first place? What reason/s weres provided by PayPal? oftentimes this will point you towards the right direction in the resolution of the issue.

Hope this helps!

I hate PAYPAL! They did exactly the same thing to us, restricted our account for no reason and once we provided them all the requested information they closed it. Now they holding our money for 180 days...

We have also applied for a merchant account and are looking at signing up with paymate.com.au...

I have heard that too! a friend of mine asked me to look into MoneyBookers or wepay.com...they are way better and don't pull retarded moves like PayPal and freeze you accounts....

I opened a paypal account, big mistake?

Any alternative?

PayPal can be a pain to deal with at times, especially with new account holders, and even more especially if you are a new account holder that uses drop shipping to sell on ebay, but it's never a mistake to have a PayPal account.

Look after it and it can serve you very well!

Great information.

thanks to all.

I understand Google has a service also.

Does anyone know about this one?