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I wish to tell you a story.  A while back I purchased a Nokia E71 mobile phone.  It’s one of the latest from Nokia and has been given rave reviews for a smart phone.  I ultimately didn’t like it as it wasn’t for me.  After a few weeks, I listed it on eBay as I’ve done approximately 100 times before with other items around the house.  Now the item sold quickly and sold for roughly USD $490.  I demand in my eBay listings that the buyers use PayPal and that they have a verified PayPal account and a verified PayPal address.  I figure this is the safest route for both parties.

The transaction was completed as it was many times before.  I received the funds in my PayPal account, got the notice, and promptly used the PayPal UPS shipping service to print a label and have the shipping fees deducted from my account.  The process took about < 5 minutes and I was happy…again, as I’ve been many times before…never an issue.  Remember this was a $400+ item and in a category that usually has a lot of fraud (electronics).  This was 29 NOV 2008 when this all happened.  Transaction complete, funds immediately available, shipped, UPS deducted fees…all fine.

Fast forward (but only about a month and a week).

Every month we try to go around our house and look for things we don’t use and either donate them locally or if we think we can sell them, we list them on eBay.  This is a practice I generally recommend.  I sold Dell computer manuals for $25 one time.  Just the manuals that come with your computer (which are worthless mostly)…amazing.  This time around I had a Russian replica submarine clock that I had bought about 11 years ago.  A quick check on eBay showed they were getting bought, so what the heck.  Here was my listing: Russian Submarine Clock Vostok Hammer/Sickle RARE (note: this link might not be available in 60 days).  It’s a clock.  Not even an automatic one, it requires being wound every 4 days or so.  Something substantially less “valuable” than modern day sought-after electronics I’d argue.  Keep this in mind for later reading.

It sold and the buyer paid via PayPal and was a verified buyer and a verified/confirmed address.  Note that both of these are required for seller/buyer protection for PayPal transactions – again, following the guidelines set forth.  I went through my normal process and began printing out the label.  While the screen said this:

The error message read this:

So I was thinking What gives? and called support.  As I was talking to them I noticed the header of the “details” page of the transaction:

Payment review?!  First time I’ve ever heard of it.  At first I was thinking this was a good thing and PayPal just protected me from fraud.  Then I read the link which details out the reasons why something would be “on hold”:

    • You have been an eBay member for less than 6 months, and you sell an item for more than $100
    • You have an eBay feedback score of less than 100, and you sell an item for more than $100
    • You have a buyer dissatisfaction percentage* greater than 5%
    • You have an average DSR of less than 4.5
    • You have received fewer than 20 Detailed Seller Ratings in the last 12 months
    • You are listing your item in a high-risk category such as gift certificates, video games, cell phones, computers, or consumer electronics.

None of which applied to me.  I was now livid and let the customer service supervisor (I had asked to escalate), Marie 6168, know how unappreciative I was of this and explained that even *if* I fell into one of those buckets why did my November transaction (which fell into the last bucket of electronics) give me no problems and was for an amount significantly greater?  Her answer then moved from explaining that I was “in review” because of one of the above to “it’s random.”  Great.  Warm feelings all around now.  I was also then told that my hand-crank wall clock with no electronics was flagged because it is a high-risk category.  LMAO!

NOTE: I’m curious if the actual flag was because of the word “Russian” in the title.  I’ve had problems with dealing with legitimate commerce with anything Russian related in the past because financial institutions are leery.  Even if this is the case, the buyer and seller followed all rules for verification for all systems (eBay and PayPal) and therefore doesn’t seem like the title of the item should throw a flag!

At this point I’m pretty pissed.  I was told by Marie 6168 that I wasn’t being forced into doing anything and didn’t have to ship the item.  WHAT?!  How is that?  By not shipping the item (or waiting for the hold to be released), the buyer gets screwed and leaves negative feedback and my eBay reputation takes a hit (something very important in eBay land).  I felt like my eBay reputation was being held hostage.

So at this point I’ve been informed:

    • I’ve sold something and the verified buyer has sent funds to the verified seller.
    • The funds have been put on hold and I don’t have access to them.
    • The funds will be released sometime within 21 days
    • That I should ship the item.

That’s right.  PayPal, as the broker of the funds, has received money for an item I sold.  Then they are asking me to go ahead and ship that item to the buyer.  WTF?!  How is this protection for me?  It seems the buyer is the only one protected.  They will ultimately get the goods and if there were any issues with the funds, I’d be out the goods.  How is that protection on my end AT ALL?

It looks like I’m not alone either based on a conversation at Get Satisfaction.  I was not afforded any opportunity to escalate any further beyond Marie 6168 despite my best attempts.  All I could get was an email address I was told to be the executive offices – [email protected].  I hope their reading this.

I feel as a verified/Premier customer of PayPal since 2000 and a customer of eBay since 1998 (with a 100% rating) that some discretion should have been made here and the funds should be available.  This idea of PayPal managing when I get funds based on their rules versus standard commerce is ridiculous.

The problem is that the eBay/PayPal relationship is almost a requirement for online auction commerce.  Where else are you going to go for a world of buyers and a broker, which up until now, helped put a protective wall between the money?  Craigslist?  Sure that’s fine, but I knew that my local market wasn’t big enough for a Russian Sub clock!

PayPal – you currently are on my suck list.  Whatever systems in place that automate this payment holding process need revisiting.  You’ve made a verified/premier/long-term customer who follows the rules very angry. 

Win me back.

UPDATE 1: I shipped the item from my local UPS store.  Cost me $7 more than if I would have used my UPS account tied to my PayPal account.  So this process has cost me additional money in addition to not receiving funds for my item yet.

This work is licensed under a Creative Commons Attribution By license.

1/9/2009 8:02 PM | # re: PayPal screws sellers by holding payments
That's why I use CraigsList now. No fees, and I don't use PayPal. eBay is just trying to screw everyone. That ship is going down hard.
1/9/2009 9:24 PM | # re: PayPal screws sellers by holding payments
Oh, come on. Paypal is a legitimate company, for which we all should be grateful. You should the item and not lose any sleep over it because there is no way you were going to get screwed. This is routine, and unless you're dying for the cash, you should just let it go.

What I would like to know is what is the BUYER's history with eBay and PayPal. Know anything about that? Perhaps he's gotten screwed before in the past, and therefore they are looking out for his best interest. The whole market is scandalous, and they really HAVE TO do stuff like this because they get audited ridiculously. These types of seemingly meaningless inquisitions ensure that they are keeping their nose clean.

I do agree though that it's a shame eBay and PayPal have a practically unstoppable enterprise, with no competition. CraigsList is not even in the same league. You won't find what you are looking for on there as a buyer, and you won't make as much money as you would on eBay as a seller.

Oh, by the way, it had nothing to do with the word "Russian" in the title. Are you serious? It's because of the word <shout>RARE</shout>.

1/9/2009 9:46 PM | # re: PayPal screws sellers by holding payments
I have never used Pay Pal because of many bad stories I have heard about Pay Pal and all the ways sellers and buyers can cheat. Now I am even less likely to use Pay Pal. I think I would rather use CraigsList based on what other people have told me. Sometimes when business/companies get too popular they go bad like Quest.
1/9/2009 11:16 PM | # You have an eBay feedback score of less than 100, and you sell an item for more than $100
That's the condition that you met. Looking at your listing, your feedback score is 96 and the item sold for $104.50 (got this from your listing that you provided the link to.)
1/10/2009 1:49 AM | # re: PayPal screws sellers by holding payments
Yes this type of stupid thing do happened there.Also They are not available in number of country that's why i stop using it
1/10/2009 11:17 AM | # re: PayPal screws sellers by holding payments
Josh: I agree -- they are legitimate companies. That's why I use them. And that's why I've abided by all their rules (use verified/confirmed buyers and addresses). And when you do follow the rules and this happens, it sucks for loyal customers.

Michael: Explain to me then why in November, less than 40 days prior, I was able to do this *with* a high risk item (mobile phone in high demand) and for an item 4x the cost ($400) and the funds were available immediately and I had no issue? And I've done this in the past with other electronics, watches, etc. of high value and never had the problem.
1/10/2009 11:22 AM | # re: PayPal screws sellers by holding payments
Paypal has recently screwed me also so don't feel like your the only one, I sold a digital product for $20 which the buyer has already recieved and also sent me several emails about operating the product. The funds were "once" available in my account but then a week later I got an email from paypal stating that the buyer says the product was an "un-authroized" purchase. And has placed my funds on hold until the investigation is over.

I have since sent them email snippets of this person asking me questions about the product thus showing proof that the person actually acknowledge's recieving and purchasing the product. And it's been over a week and still the money is not available in my paypal account.

This sucks but I have made so much money selling digital products via paypal so compared to the other 100's of transactions Ive successfully sold, I take this with a grain of salt. While $20 won't make me or break me, it would be nice to actually have the funds since the fraud buyer has the product.

So Im not going to boycott paypal or anything I'll just make a mental note that I could possibly have a few transactions that might get delayed due to fraud buyers.

1/10/2009 11:37 PM | # re: PayPal screws sellers by holding payments
That's PayPal for ya! I use PayPal myself to accept payments, and I've been really screwed in the past, which is why every time I get a payment, the very first thing I do is to withdraw it. I won't leave one red cent in my PayPal balance.

Even though the withdrawals seem to purposefully be delayed for a couple days, at least that's only two days of payments at risk. I used to leave money in there a couple of weeks, and I've had PayPal arbitrarily decide to freeze large amounts of money.

According to their T&C, they have god-like authority, and you have no rights. Be cautious.
1/11/2009 10:25 AM | # Software Changes Over Time
Tim: I simply pointed out the condition that applied for your payment to be held. You asked why payment was not held on the phone you sold in October. The obvious answer is that software changes. The software that decided to hold your payment in December is definitely the exact same software that did not put a hold on it in October. There could be other reasons, too. As you and others have pointed out, metadata about the buyer could be a factor, or metadata about the item (more likely) could be a factor.
1/11/2009 2:11 PM | # re: PayPal screws sellers by holding payments
Yeah... Same issue here. (Almost to the letter except mine was a video camera in November and a cell phone last week ) I'm FURIOUS about this practice. No results at all from their "Customer Service Rep".I called them with proof from USPS tracking that the cell phone had indeed been received and asked that the funds be released."Mike" just kept reading over and over again what I could already see on my computer screen. At least I think that's what he was doing as I had trouble getting past his middle eastern accent.He explained to me that this gives the buyer time to dispute the sale. So if they do, the funds can be returned to them. So, how do I get my item back? I CAN'T!! And what if the buyer disputes the sale AFTER the funds are released? They simply withdraw the amount of the sale from my attached bank account.EASY PEASY.If they can simply withdraw money from my account, why the need for this holding funds practice? So WHY are they "HOLDING" our money? Not to "Protect the buyer and seller" as they state. They're investing it! They make money from the interest the account where our funds are being held incures. That on top of the fees they already charge you to process everything. What a crock!

And to JOSH: Did you know that sellers cannot leave Negative feedback for buyers on Ebay. Not even Neutral feedback. So if a buyer stiffs a seller, waits ages to pay, or files a untrue claim with paypal(Getting their money back AND keeping the merchandise)they still get a positive rating. Ebay bought PayPal in 2002 and it appears they are doing everything to protect buyers but nothing to insure a good experience for sellers. It's probably NONE OF YOUR DAMN BUSSINEES if someone is "desperate for the money"! The point is that, if you sell something, and the purchaser has that something, you want paid. If you went to a store and paid for something you saw on the shelf, the store took your money,and told you they would hold the item for 21 days then you could have it, YOU'D BE PISSED!!! I'm guessing you must work for Ebay or PayPal? If not, you should. Yes, "Paypal is a legitimate company". Al Capone was also legitimate... A legitimate THIEF!
1/11/2009 4:01 PM | # re: PayPal screws sellers by holding payments
Michael as you're an employee of the eBay/PayPal organization I appreciate your commenting here on the issue. Ultimately though software should not get in the way of customer service. When given the opportunity to examine the situation/software-decision, nobody was willing to take the moment and examine the transaction, the customers involved, the rules they followed, etc. When we leave customer service discretion up to software, we fail.
1/11/2009 4:03 PM | # re: PayPal screws sellers by holding payments
Great points Gene -- especially that of the 'if disputed' timeframe -- we're directed to ship the item, but if disputed, we're screwed. Even *if* the buyer is honest enough to ship it back, they'll want that paid for as well.
1/12/2009 4:45 AM | # re: PayPal screws sellers by holding payments

I don't remember where I read it but I did read that if you do a partial refund for the lowest amount possible ( $.01 ) that your funds will immediately become available! So I tried it this morning and IT WORKED! The funds I had "On Hold" became available and I immediately transfered those to my checking account associated with PayPal. A penny is a small price to pay to get what's mine, I guess. Now just another 3-4 days (Bank Proceesing)and I should have my cash. This may be an option for you if you dont want to wait 21 days for your cash.

This experience has really soured me on EBay and PayPal. Somewhere, they have gone wrong. Though they don't seem anxiuos to admit it. I'm considering closing both accounts but am unsure of how else to pay for items I purchase online. I don't want my anger to cause me larger problems in the future but hate the idea of supporting a company that takes advantage of their customers like this.

So, it has become obvious to me that you were right. The software IS winning out over the human decision making at PayPal. It's too bad that people and COMMON SENSE get overruled by what the computer thinks. Sure hope the people who designed PayPals software aren't and never will be involved in our National Defense computer software. HAVE YOU SEEN THE TERMINATOR MOVIES? :>)
1/15/2009 11:11 PM | # re: PayPal screws sellers by holding payments
The same thing has just occurred to me while selling an iphone. I no whave over 600 dollars being held by paypal and i have received positive feedback as well as a confirmation of delivery. Im currently on the phone with CS trying to get my funds released.
1/19/2009 12:37 PM | # re: PayPal screws sellers by holding payments
Is paypal paying you (and everyone else) interest? If not, it seems like a pretty simple ruse to be able to float a large share of the (highest value sales) on ebay through their acounts where the money sits for 20+ days and collects interest. If you take $100 times a million transactions a week that would quickly add up to a lot of money sitting there earning interest for paypal. No idea if this is the case, but terms of payment are a primary way many electronics manufacturers make money, so why not paypal.
1/19/2009 2:39 PM | # re: PayPal screws sellers by holding payments
I'm so annoyed. I sold something for 135.95. The item has been shipped and delivered. I classified it in the health category, so it's not a high risk item or anything. My account has 100 percent positive feedback and funds have never been held before. I read that funds will be given before 21 days are over if delivery is confirmed. Delivery has been confirmed but paypal isn't acknowledging it. I haven't heard anything from the buyer at all, which is pretty annoying. No emails and no feedback, good or bad, so I'm starting to think that I'll never hear from them again. I'm frustrated because while they're already using the product, I don't have money that is rightfully mine. The stupid 21 days policy only benefits the buyer and leaves sellers out. The item I sold originally retails at 190 dollars. It was brand new and never removed from the original packaging and I sold it 50 dollars cheaper than normal retail price, because I got it as a gift. Not to mention I shipped the damn thing for free. I feel completely ripped off.
1/22/2009 5:58 AM | # re: PayPal screws sellers by holding payments
does this only happen when your dealing with both ebay and paypal both in one transaction? and is using paypal's shopping cart ok?
it doesnt matter if its "$.01" to me its a scam and they know what their doing. once there was a guy going around taking 1 penny out of everyone's bank account at washington mutual i think. and he became a millionaire off of it. of course he got cought. i always say he couldve gotten away with it if he had a self employed job...lol. but back to the topic...
i personally think ebay is a waist. and anyone with common scence should know that. why would they go through a hastle like this with high priced items when they can make more from them. so why not bullsh!t people out of the cheap one's. but why go through that when you can just make your own website for free!!!! and sell from there using a paypal shopping cart...no ebay...no bullsh!t. its all you. you make the rules!
once you involve ebay you have problems. sure setting up a website will take a few hours AND A FEW COMMENTS OR BULLETINS ON MYSPACE AND FACEBOOK TO LET YOUR FRIENDS KNOW ABOUT WHAT YOUR SELLING ON YOUR WEBSITE. but i'd rather do that then have someone holding money thats mines anyday! rather than not having the item or the money....thats just a set up waiting to happen for their so called "$.01" (1 PENNY!) UGH! KISS @SS EBAY! LOL
1/22/2009 6:38 AM | # re: PayPal screws sellers by holding payments

Hi there if you are like me and have just sold an item on EBAY and been told that PAYPAL are holding the money until you get feedback or 21 days etc ( WHAT A JOKE)..I have found a way that these scammers will release your money . All you have to do is partial refund the buyer 1p and hey presto the money is there in your paypal account so you can withdraw to your bank. I found it hard having to post items out of my own pocket and sometimes got scammed by people saying they never received items . SO IF YOU WANT THE MONEY YOU DESERVE NOW JUST FOLLOW THE ABOVE INSTUCTIONS .

To thank me i would be gratefull if you visited my website www.ps3pro.co.uk
1/23/2009 5:40 PM | # re: PayPal screws sellers by holding payments
I'm having problems with ebay right now also. I have two accounts through them, one that's used for my checking account and one for my savings. I should also comment that I have seperate email accounts for each paypal account. I sold several parts back in August of 08 that totaled about $1500. At the time I was able to remove the funds immediately, shipped the products (all went to the same buyer), no problems at all. I haven't sold anything on ebay for a while now and just recently sold something over an internet forum and had them send the money to my checking paypal account ($2000). Paypal puts a hold on my funds until the item is shipped. I didn't have a problem with this. I shipped the item and provided tracking. The item was delivered and so I called paypal to have the funds released. I was then informed that I had outstanding claims on my "other paypal account, the one I used back in August". I then log onto my account and see that the buyer filed claims AFTER receiving the items and also AFTER he told me he got them and was satisfied, he even wrote an email to me thanking me. Having not sold anything on ebay and never thought to check the paypal account or the email account attached to it. Therefore I had no idea a claim had been made. Since I was unaware of the claim paypal refunded his money and put my account in the negatives for $1500. So the person got the items I shipped him and also got his money refunded through paypal. Now, paypal refuses to release the funds that I just receieved until I pay the $1500 from the other account. I contacted paypal and was on the phone/on hold for 4 hours, YES 4 hours. I told them I could provide tracking info proving he received the items but I was told it was too late to do so. So paypal wants me to use $1500 of the $2000 I just received to pay on the other account, so basically I would be getting screwed out of $1500. However, I came up with an idea. I called the buyer of the product I just sold and explained the situation to him. I refunded him the $2000 and had him resend it to a friend's paypal account, and I was able to get my money. So that's my way of saying fuck you paypal!
1/28/2009 4:45 PM | # re: PayPal screws sellers by holding payments
Tim, Your situation sounds oh so familiar to me....what did I sell that is deemed "risky transaction"? Vintage Cowboy boots! Yeah, PayPal risks getting kicked by one if I ever get them back! I never had money held before and am seriously thinking this has got to be the last sale on eBay because of this policy. Oh ya, forgot to mention on this sale that they are holding the funds on PayPal sent me an email telling me it sold, was paid for and to ship the item and had typos where the buyers address should be! Two sales ago that buyer hasn't left any feedback on sellers since '06 hopefully this guy is not so lazy so I can get my money. I am going to try the 1 cent thingy! Thanks for your article. PS Tell that "Michael" eBay PayPal employee guy to buzz off you don't have 96% approval rating...doh! You have 100% approval rating just like me and my buyer. "Michael" time to get back to work putting in typos where buyers address should be.

1/30/2009 12:45 PM | # re: PayPal screws sellers by holding payments
Yes I agree the GOD figure attitude of PAYPAL and EBAY needs to end. Unlike Tim's mis-adventure mine falls kinda on the GOD issue. Here in Maryland Giant Eagle sells Gift Cards were the consumer recieves Fuel Perks (discount for gas based on amount of money spent in the store)On 1/24/09 I purchased $2,500.00 of EBAY Gift Cards from Giant Eagle, on 1/25/09 I attempted to use those cards and purchase 2 itmes from the same seller on EBAY. Got a notification to update my already verified PAYPAL account, completed the update as instructed and was notified of a suspension of activity for further verification of account. Contacted PAYPAL via phone after long delays and was never told as to why other than to verify the account. I was told 3 - 5 days for this. So I waited, when the account became verified I contacted the seller and told him I was doing it again to watch for it. By this time recieving the items was very important seeing I needed to finish this project for my company. So the seller and I was on the phone and on EBAY at the same time as I entered all the info of the product and payment, put in all the gift card info and even printed a Verification form from EBAY and PAYPAL. Seeing all was good we hung up from each other. Phone rings and PAYPAL is on the line confirming the transaction I gave my info and verbal OK to the transaction. 10 minutes goes by and the seller calls and informs me he will not ship the items because PAYPAL suspended my account and reversed funds from his account to them. I call PAYPAL for an explaination, this is the funny part if there is any humor to be had. The PAYPAL agent TODD4737 could figure out who was the buyer and who was the seller. Aftr informing him as to who I was he informed me that he suspended the account due to possible fraud issues. I asked why he stated because of the use of a gift card. I asked why, he studered, and said I needed to read the agrement to opening an account and PAYPAL can enact their own will at any time. I said that the cards were gift cards from EBAY why is it PAYPAL is in the middle. His comment was read the agreement. He said then that if I could fax the reciepts over to him he would take it to someone higher for a answer. At 9:30 AM 1/30/09 I sent the fax including the recipt from paying cash to the store and the activation codes given to the store from EBAY itself. Effective 2:15 PM 1/30/09 I recieved a e-mail from PAYPAL ACCOUNTS, Dear Marvin XXXXXX we are sorry for any delay or problems this has caused, due to the fact of possible high risk activities we are suspending your account and hold all funds due you or the seller for the period of 180 days. Furthermore any charges or fees in relation to this forwarded by the seller will be placed against these funds and deducted from your account. At the end of 180 days you may contact us for details on how to apply for a refund of any remaining amount. Please accept our deepest appologises for any inconvience this may have caused. Calling PAYPAL immediately I was told by the very first operator that notes on the account restricted her from disclosing any additional information and that she would send a e-mail instructing me have to remedy the suspension. She did alright READ THE AGREEMENT. So I did, funny thing no where does it say anything about Gift Cards. So now I'm out $2,500.00 in cards but I have no product to continue my project and could face lossing it. EBAY PAYPAL, GOD's my ass.
2/1/2009 10:59 AM | # re: PayPal screws sellers by holding payments
hey im new to the paypal thing but i sold some game account for $230.50 about 2 days ago i didnt give him the account till paypal sent me the comfimation email..they said id recive my money within 24 hours still see no money in my account what could of went wrong???
2/20/2009 5:52 PM | # re: PayPal screws sellers by holding payments
For all the people who keep saying Paypal-Ebay are legitimate companies blah blah blah... and to stop moaning about Ebay's fee hikes and Paypal's tyranical hold on sellers funds.................. well how bad does it need to get before people should moan about being taken advantage of?
You are the people who deserve every thing thats coming to you!!!
3/2/2009 1:25 AM | # re: PayPal screws sellers by holding payments
Please read my blog on Paypal. I agree with you....
3/3/2009 4:43 AM | # re: PayPal screws sellers by holding payments
Here's my 2 cents......Paypal has become nothing but a problem.If you do a Google search for "paypal problems" or paypal lawsuits" you will see there are alot of others out there that have been 'screwed' or 'scammed' PayPal lost a HUGE lawsuit years ago and thats when ebay stepped in and purchased it.In my book,paypal hasnt got any better.Here's why....they are acting like a bank but holding your money and not letting you have access to it.If you do a wire transfer from bank to bank,does your bank make you wait 21 days or more to put it into your hands? NO...Do they find you as a risk and rate you with a number? NO..If you accept a check from an ebay buyer,you deposit it and wait for it to clear right? RIGHT,..and you do not ship the item before the check clears......or... you accept a Postal Money Order that you can take directly to the Post Office to cash and they will check it first before they give you the money...my favorite option of payment....Was a seller able to leave a negative rating on a buyer if something went wrong,and other sellers were able to at least see any bad trails of not paying or any other warnings so as to at least decide on their own if they would allow this certain buyer to bid? YES and that feedback system worked.....and now that the Post Office is needing money,ebay is opting them out as a payment form and taking the money for their GREEDY selves with paypal's 3% fee.
I started using ebay in 1998 and I started out with 0 feedback like any new user and just about EVERY PAYMENT I SENT TO A SELLER WAS A POSTAL MONEY ORDER,I sent a few checks in there if the seller accepted them,and you know what? I RECEIVED EVERY ITEM THAT I EVER WON FROM THOSE SELLERS,EVERY SINGLE ITEM!!!! No stinkin paypal to deal with.Ebay is only pushing paypal because it BENIFITS THEM,THEY MAKE $$$$$ FROM ALL OF YOU USING IT.There has been a BIG hole dug and ebay is filling it in on top of everyone so you cant get out.
Come on people,just think about how much money ebay is really making? The state of California to name 1 and the United States Government 2 ,have extremely LARGE money problems on the table and ebay is just flying as high as air will let them.
Stop feeding the LION that is trying to bite you and it will eventually die.
Bobby Green
3/4/2009 1:00 AM | # re: PayPal screws sellers by holding payments
Here's another NEGATIVE issue I just found out today from one of my parts suppliers....
This is an ebay paypal scam or whatever you want to call it.My friend sold 2 old candy machines on ebay to a guy in Ohio.They sold for $1300.00,...the buyer used paypal and the money was transfered.The buyer recieved the candy machines and claimed to my friend that that the machines had some damage to them AFTER he told paypal and paypal REFUNDED THE BUYERS MONEY WITHOUT THE SELLERS KNOWLEDGE until he found the money missing from his account.Paypal told my friend that he needed to get a damaged item report from UPS.A PROBLEM WITH THAT,the buyer did not report any kind of damage to UPS that SUPPOSEDLY occured to the machines,so GOOD OLD PAYPAL could not take any action against the buyer to retrieve the money back.The end result?.......My friend was out the $1300.00 and lost his vintage candy machines!!!!!!!!!!!!!!!!!!! THERE NEEDS TO BE A CLASS ACTION LAWSUIT AGAINST PAYPAL AND EBAY for this FRAUDULENT ACTIVITY that they are contributing to. Ebay BOASTS that paypal is "the only safe way to pay" but has no guarantees for the seller accepting paypal from CROOKS.If any buyers or sellers that use paypal are reading this STOP USING PAYPAL IMEDIATELY and stop contributing to the CROOKED MONEY SUCKING scammer S.O.B.'s!!!
I also did some more Google research and found a seller can SUE A BUYER for not paying for an auction,and in addition SUE A BUYER for leaving false negative feedback and have it removed.If you read ebay's feedback removal area,they tell you it can be removed by a court.It is time to take them up on that and show ebay we as sellers are tired of being pushed into a corner.We need to start flooding the courts with the bad ebay experiences we are having and maybe then we will be heard,and then eventually,ebay or paypal wont have the time to answer every single complaint filed upon them.The court will have no choice into paying attention to what is really going on.I called a lawyers office to talk to them about a paypal issue and guess what? The receptionist told me she hated paypal and also had bad experiences with them! Make ebays scumbag lawyers work for their money and file multiple small claims cases against them.Remember,an auction is a BINDING CONTRACT and you have the legal right sue the non complying party,be it the buyer or seller.
Do a search on YouTube and you will find some interesting TV segments from Judge Judy and Judge Marilyn Milion (not sure of her name spelling)over some ebay issues and you will be surprised at the end results!!! also other interesting videos having to do with ebays DSR system.
Stop feeding the LION that is trying to bite you and it will eventually die.
Good luck to all in 2009,
Bobby Green
3/8/2009 1:54 PM | # re: PayPal screws sellers by holding payments
I use to believe PayPal was the best, but recently, they've proven just how bad they really are. The sellers just plain get screwed!! To sum up the transaction:

1. i sold a laptop
2. sent laptop to buyer
3. buyer complained that corners were smashed
4. buyer could not/would not provide proof (insured through USPS)
5. laptop sent back in a different box it was shipped in
6. hard drive was not the same that was in laptop when sold
7. paypal refunded seller
8. seller escalated to appeal
9. seller appeal dismissed
10. seller is out sale, not able to file claim with USPS, and PayPal does nothing except send you round and round on what they call a website.

This was absolutely the worst experience I have ever had with PayPal.
3/9/2009 3:09 PM | # re: PayPal screws sellers by holding payments
Yes! Screwed over by Paypal is right!! My story..Short and sweet..

1. Sold two Barbie dolls to a eBay buyer in France. 1/11/2009 Total $31.60

2. Sent two Barbies to France First Class International on 1/20/2009 due to inclimate weather (Ice and snow storms, up here in Maine).

3. On.. 02/02/2009 I receive an email from the Buyer in french about her problem. (I may be 1/4 french, as I do genealogy. But I DO NOT understand it and made it very clear.)

4. On.. 02/02/2009 Received a message from Paypal that they were putting a hold on my account, due to this buyer saying "Not as described" for $31.60.

5. On..02/03/2009 I snet an email through Paypal stating I do NOT speack french. What is the problem??

6. After going on Babel Fish to translate, she says she only received one doll.

7. Went back on Paypal and explained, I do not speak french. I sent out two dolls and I have the proof. My dolls eigh 5 - 6 ounces, depending on the length of hair. The package weighed wighed 11 ounces. They asked for faxes and files of proof. I sent in the copy of the customs declaration and the post office receipt on 2/6/2009.

8. On 2/08/2009 they said Paypal was reviewing it. Would contact me by 3/06/2009

9. On 3/06/2009 I sent them an email stating "why it it taking so long??

10. On 3/06/2009, they said they contacted buyer. "Awaiting other parties response".

11. On 3/07/2009, They are back to, "Paypal Reviewing the claim".

Meantime, who is collecting the interest on the $31.60. It is over 21 days and now Paypal is saying, they will get back to me on April 6th?? I am fed up with their games. The thing is, they want you to do international. All packages go through customs. Customs can open up ANY package they want to. I told them (eBay and Paypal) that. Maybe they didn't seal it back up all the way and one doll fell out? I KNOW I sent two dolls and I am getting "punished for the total of both dolls? does this make any sence to anyone out there? As it sure doesn't to me. I am very dissatisfied with their "so called" business professionalism. Sincerely, Karen J. Lord of eBay
3/12/2009 7:28 PM | # re: PayPal screws sellers by holding payments
PayPal is an e-commerce business allowing payments and money transfers to be made through the Internet. PayPal serves as an electronic alternative to traditional paper methods such as checks and money orders.

A PayPal account can be funded with an electronic debit from a bank account or by a credit card. The recipient of a PayPal transfer can either request a check from PayPal, establish their own PayPal deposit account or request a transfer to their bank account. PayPal is an example of a payment intermediary service that facilitates worldwide e-commerce.
3/12/2009 7:56 PM | # re: PayPal screws sellers by holding payments
Grrrrrr this is bull shit
Im having similar problems as stated below!!!!
UPS confirmed deliverey, buyer has not responded to any emails and hasent left no feedback this really sucks ass...

COME ONE is there anything we can do???? WTF

meep meep 1/19/2009 2:39 PM | # re: PayPal screws sellers by holding paymentsI'm so annoyed. I sold something for 135.95. The item has been shipped and delivered. I classified it in the health category, so it's not a high risk item or anything. My account has 100 percent positive feedback and funds have never been held before. I read that funds will be given before 21 days are over if delivery is confirmed. Delivery has been confirmed but paypal isn't acknowledging it. I haven't heard anything from the buyer at all, which is pretty annoying. No emails and no feedback, good or bad, so I'm starting to think that I'll never hear from them again. I'm frustrated because while they're already using the product, I don't have money that is rightfully mine. The stupid 21 days policy only benefits the buyer and leaves sellers out. The item I sold originally retails at 190 dollars. It was brand new and never removed from the original packaging and I sold it 50 dollars cheaper than normal retail price, because I got it as a gift. Not to mention I shipped the damn thing for free. I feel completely ripped off.
3/13/2009 6:19 AM | # re: PayPal screws sellers by holding payments
Here's what everyone should do.....STOP USING PAYPAL!!!!....and on the other end of things,when paypal obviously is ripping off the seller....TAKE THEM TO SMALL CLAIMS COURT!!!! Forget about the BIG lawsuits that involve lawyers.If EVERYONE starts firing,yes FIRING LIKE BULLETS FROM A MACHINE GUN, small claims suits against ebay and paypal they wont be able to keep up with all of the people filing against them,AND THEN MAYBE THEN THEY WILL SEE THE PROBLEM THAT KEEPS RE-ACCURING.The bottom line is to stop using paypal all together.They are owned by ebay and ebay is no better since they are ALLOWING THIS to go on over and over and over without blinking an eye.I just heard today(saw a video online) that ProPay is also offered on ebay and the reason they offer it and not offer "Google check out" is that ProPay costs more than paypal and ebay thinks that is an advantage to THEM so most will choose paypal because its cheaper(BUT STILL TAKES 3%) In this video the guy proceeds to say that Wells Fargo owns ProPay and is ran entirely different that paypal.
I have a business and accept credit cards and there are still chances of fraudulent "charge backs" from people trying to pull a scam but you still have alot more control then a paypal account,BUT...ebay somehow makes your personal merchant account attatched to paypal? I couldnt list my item without putting my email address for a paypal account? SO I do not accept credit cards on ebay unless I talk to the customer on the phone just like I would with my regular business,DONT FALL FOR ANY B.S. about it not being safe to accept a credit card over the phone.I have been doing it that way for over 10 years.Think about it,when you buy something from lets say,Summit Racing,or Speedway Motors or Sears or ANY MAIL ORDER not involving your computer,.... You always give your card info OVER THE PHONE.paypal needs their ass SUED OFF.THEY HAVE NO RIGHT TO HOLD YOUR MONEY AFTER THE PERSON PAYS AND RECIEVES THEIR MERCHANDICE.There is NO REASON to hold money for 21 days!!!.Come on,isnt there a SMART LAWYER READING THIS????? Here is your chance to form a CLASS ACTION LAWSUIT and WIN.There has to be some laws being broken here by ebay as an accesory to the corruptions of paypal? Ebay is FORCING ALL SELLERS TO USE PAYPAL AND MAKING BUYERS BELIVE ITS THE ONLY SAFE WAY TO PAY.
Ebay is getting worse every week and I heard yesterday that sales have dropped 50 percent? But they dont really care because they are making it up on all the people using paypal? Hmmm....ITS OBVIOUS,STOP USING PAYPAL,READ ALL OF THE THREADS LIKE THIS TO HEAR OF PEOPLES MISFORTUNES and respond to ALL OF THE THREADS LIKE WE ARE DOING HERE and it will eventually make a difference.You will see my responces too,I use the same name everywhere..Did you know there is a website called.."SCREW-PAYPAL.COM" ???? HA!!!! YES there is!!! check it out everyone!!!
The sooner we all stick together,the sooner we all get back at the ebay-paypal NAZIS.
For the lady with the Barbies,YOU HAVE PROOF BY HOW MUCH THAT BOX WEIGHED WHEN IT WAS SHIPPED ON YOUR END.What are they thinking? That you put a CHEESE BURGER in there and someone at CUSTOMS WAS HUNGRY and decided to eat it? FILE A SMALL CLAIMS CASE AGAINST PAYPAL and also sue for damages.Check out "YouTube" and search for ebay lawsuits and you will find cases that were on TV's Judge Judy and the other lady judge.Dont think that its only $31.60. I know you arent in the habit of handing out $31.60 to anyone who asks.
Something else to check out is the 'Ebay Pirate" He has videos on YouTube and Metcafe.Very interesting things he has to say.
Stop feeding the LION that is trying to bite you and it will eventually die.
Bobby Green
3/21/2009 8:32 AM | # re: PayPal screws sellers by holding payments
This has happened to me on both ends of the spectrum, as seller and as buyer. NOo one should ship anything until it's paid for. When I get a transaction that's "under review" I just cancel it and re-list the item. It truly is random. I will no longer sell high value items through ebay/paypal due to the risk of them stealing my money. Which apparently they now have every right to do. They are following in the footsteps of AIG.
3/31/2009 9:23 AM | # re: PayPal screws sellers by holding payments
I'm actually on the other end of this conversation. For the last 2 months, every transaction I have made, very few being high risk items. Has been put on a temporary hold. Again and again I do what they ask on the site to resolve the issue along with calling them with my issue. The offer little help and in a nut shell tell me to just deal with it. It seems they have no control over this "system" that puts these holds on their customers accounts, which is rediculous. All the time, I'm worried about the seller. I don't want them waiting for payment, even if it's not my falult. It just makes for one big hassle.
4/7/2009 6:15 PM | # re: PayPal screws sellers by holding payments
Paypal should at least release the funds associated with SHIPPING the item. It is BS that I require the buyer to pay for shipping, but now cannot ship the item, because the funds are on hold. And since I have no funds in my Paypal account (not a frequent seller), I have to transfer my OWN funds, which itself takes 3-5 days. So buyer is screwed (having to wait), I am screwed because (1) I have spent my own money to pay for shipping that is buyer's responsibility, in hopes that Paypal will release the money to me, and (2) I may receive negative feedback for shipping delays that I had no notice on in advance.

Personally--at the moment, done with Ebay and Paypal. Time may change.
4/8/2009 12:34 PM | # re: PayPal screws sellers by holding payments
Paypal has had so many scams it is sick. I joined a class action law suit against them and got 30$ as part of a large settlement along with thousands of others for their criminal practice. Keep away from paypal, I have never paid a dime to ebay in 5 years of usage. They keep screwing around with banning this and than and I just shut it all down and tell them to fuck off for the $. I have sold items by dealing with buyres direct and screw their money. Paypal I do not ship a dam thing if the $ is not in my bank account first. They are a sacam. Anyone how is saying different is a lying ass hole and most likey works for paypal.
4/11/2009 2:07 PM | # re: PayPal screws sellers by holding payments
I think that we should find an attorney that will take on a class action lawsuit against Paypal. First of all there are NO protections for the seller. Second they have our money for 21 days without paying interest. Can you imagine how much money they can generate with the float. Millions!! This crap where you can not leave negative feedback for a deadbeat buyer...but they can say whatever they want. Feedback with ebay should work both ways and as far a paypal goes they should leave the system alone. LETS GET AN ATTORNEY that has the balls to sue them!! I will be #1 plantiff since they have been holding my $220.00 for 3 weeks now!
4/12/2009 11:31 AM | # Paypal + ebay sucks,sucks,sucks,sucks,sucks
I thought I was the only one screwed by paypal and ebay.

I sold a mobile phone a month ago and pyapal put a hold on my payment,, I shipped using royal mail first class,,, buyer claimed that he did not receive the item( no way to tell if this it true or not) he opened a dispute,,, paypal closed in his favour,,, and I ended up out of phone and out of my money,

Last week I sold a laptop and described it very well,,, as usual paypal held the payment and the buyer sent me an email that the item was not as described! fortunately he has not filed any dispute or negative feedback!
and I am praying now for the 21 days period to pass by safely.

And the selling fees,,, it is a joke!!! I sold a fragrance for 70 pounds and they tool 6 pounds!

4/17/2009 6:18 AM | # re: PayPal screws sellers by holding payments
Having looking over the post there is a real simple
solution STOP USING PAY PAL!!!! There are other options
IE: Pro Pay I am not saying they are the best, as I came across
this forum looking for info regarding "The Float" I makes me so angry
that all of these SCAM Financial company's always looking to make a $ off of our
Money.I don't have enough time today to tell of almost unbelievable storeys
of Pay Pal Blunders, (that if you or I tried) we would be tossed in Jail.
But in the days of all of the wonders of wall street!! this dose not
surprise,Good luck to all of you in getting your $ Back Thanks for all
of the experiences posted, maybe it will help others seeing the truth!!
4/18/2009 11:34 PM | # re: PayPal screws sellers by holding payments
[email protected] spam the shit out of it! maybe get the chans in on it too, for great justice.
4/21/2009 9:16 PM | # re: PayPal screws sellers by holding payments
Screw Paypal and Ebay. I have shut down my bank account and will not pay ebay charges. Paypal now holds my money and wants me to ship and wait to see if some tard will make a complaint and I have no options. Now ebay has shut down the seller from being able to give neg. feed back, and we have to wait for our money. Screw eBay. I quit useing it as a buyer or a seller. I am running up my bill on ebay and will screw them for the $. I have over 500$ on hold with paypal and will not ship a god dam thing until funds are released and I get them in my personal bank account. I advise anyone with a brain to not ship until they get funding. If you go along with this crap they will keep screwing you more and more.
5/1/2009 7:21 AM | # re: PayPal screws sellers by holding payments
Paypal is a dirty whore.
5/6/2009 3:28 PM | # re: PayPal screws sellers by holding payments
Art, I agree, but the only damages you would be entitled to is interest.
I would like to see an investigation of some kind done, although it's probly in the TOU for paypal, socked away in all that language.
5/12/2009 4:11 PM | # re: PayPal screws sellers by holding payments
I used eBay to sell a $300 item to a guy in China.

I shipped the item and he said that he received the box, but that it did not contain the item. He also received a letter confirming tampering from the Chinese post office.

He purchased insurance, which is mandatory for the items I ship, so all he had to do was go to the post office with the letter, file a claim, and he'd have his $300 in a couple of weeks. But, no!!! The ass filed a claim with PayPal.

After months of arguing, PayPal sided with this thief and I was out $300. PayPal said that it didn't matter if he had insurance and don't get involved. WHAT! That's the whole point of insurance.

It's my contention that the guy was simply lying. Now, all he has to do is take the letter to the post office and make an additional $300 from them.

So, here's how to use PayPal to rip someone off:
- Buy something you really like on eBay.
- When the package arrives, take out the item and give it to a friend to hide in his house.
- File a claim with PayPal and they'll back you. You get your money back AND you'll be able to keep the item.

No kidding, it's that easy! I am no longer using eBay and I have hired a programmer from the website RentACoder.com to write an invoicing application for me. I also opened my own VISA/MC merchant account.
5/16/2009 6:01 AM | # re: PayPal screws sellers by holding payments
Hello all i have to laugh at the above comment. He is just so right. I got ripped off by someone and they even admitted they had they item and paypal refused to give me my money back . LEAVE EBAY NOW BEFORE ITS TO LATE.

Thanks from http://gmrm.co.uk
5/27/2009 2:29 AM | # re: PayPal screws sellers by holding payments
I've been selling and developing tools for high-volume sellers for 10+ years now. This holding policy is the best thing that's happened to the system in a long time. I wrote my own article on the policy and why I agree with it. I've seen this new policy save thousands of dollars for my sellers and their buyers, not to mention keep the buyers and sellers happy so they'll continue using eBay.


5/27/2009 7:55 PM | # re: PayPal screws sellers by holding payments
Ditto. Same thing happend to me with Paypal/Ebay. Once payment is received. I'm certainly not going to be using Paypal. And may not use Ebay. What ever happened to good customer service... This new policy paypal implemented is like asking Sears to send you an item, and ask Sears to wait on payment until I receive it. Then at my discreation, leave feedback for Sears or else no payment is received. Until final confirmation item was shipped and delivered. Still pending and hoping to get paid. I occasional sell on ebay...and my policy is that I don't ship item until payment has been received and in my account. Otherwise, the seller is going to get hosed at some point. I'm sure Paypal is earning interest off this money while it's sitting pending payment status.

5/30/2009 2:38 PM | # re: PayPal screws sellers by holding payments
Paypal has some serious work to do as far as improving customer service. I recently started doing some business on ebay and decided to link one of my bank accounts because it would be easier to make big item payments and would take the hassle out of having to get money orders from the bank and express mailing them. Many sellers ONLY accept Paypal anyways.
What a freaking mistake that was. I bought an item for $490.00 and WTF but the payment said it was pending even though I had plenty of money in the bank. I had already made plenty of other purchases one for $225.00 and the payment immediately went through and I didn't receive a message that it was pending for another week later. I called the next evening and spoke with a lady at Paypal and she indicated that they were waiting on my payment to clear. The next day I went back and checked my bank account. I was livid there was a cleared payment for 490 on 05/29 and the $225.00 payment cleared on 05/27. I was told by the lady that before Paypal would pay the $490 they had to wait on the $225 payment to clear. Well when I checked the next day online, the payment had cleared from my bank days before I spoke to Paypal the first payment. Well long story short I called back and got another Paypal rep and she gave a different story. I AM FED UP WITH PAYPAL. They said they were waiting on the Fed Reserve to pay them because it was an electronic funds payment. I told them that I didnt give a crap that the money already left my bank account and the seller is sitting waiting on the payment to clear even though the money was already taken out of my bank account. As a buyer i feel screwed. Thanks Paypal for crappy customer service and screwing both the buyer and the seller. I wish enough people would band together and boycott Paypal and send them a strong message to shape up or ship out... no pun intended. Ebayers can always send money orders directly from the bank and NOT deal with Paypal.
6/2/2009 8:00 PM | # re: PayPal screws sellers by holding payments
According to this article at CNN, from early last year, perhaps the revenge would be in legally making PayPal pay interest on the money held to PayPal account holders. "PayPal's Pires said accountholders should be aware that they have the power to collect interest for their own use on delayed funds. It's as simple as enrolling in the company's PayPal Money Market Fund, Pires said." [money.cnn.com/.../paypal_float.fsb/] This Money Market Fund information used to be on the main page of your account, along the left side. It's now somewhat hidden down at the bottom of the page. And if you don't see it there, use the Products and Services tab at the top of your account. It's worth a shot, trying to recoup some of your money.
6/2/2009 8:09 PM | # re: PayPal screws sellers by holding payments
Here's another thing ... I sold my product Wednesday last week and shipped it as promised on Friday (2 days). Like others here, PayPal held my payment (I didn't know anything about this policy until I checked Wednesday night and saw the buyer had paid).

Long story short, I was annoyed, but shipped, then logged into my eBay account to input the tracking number. Then I logged into PayPal, which was still saying "ship now!", and put in the tracking number. Lastly, once I saw the package had been delivered (using the USPS tracking web site), I logged into eBay, wrote a note to the seller saying I hoped he was happy, saw he had received his package, and asked him to kindly leave positive feedback. Tonight, I checked my PayPal account and saw they had released my funds.

Maybe this series of steps has something to do with getting your PayPal funds released sooner. I'm not sure about that, but it is worth a try.
6/20/2009 11:05 PM | # re: PayPal screws sellers by holding payments
anybody try out pro pay ? Im gonna give it a try, bye bye paypal crooks!!!
6/22/2009 8:20 AM | # re: PayPal screws sellers by holding payments
Well I just ran into this issue with a part I was selling. I have perfect feedback and all that and my money was held? Personally I just got off the phone with Paypal and told them to stick it. I refunded the transaction to the buyer immediately and I am closing my account. Screw them.

Fortunately I am a computer genius and I was able to locate the buyer OUTSIDE of Ebay/Paypal and we will finish the transaction there. Paypal just lost my business and I will be telling ALL my clients about this and I am sure they are going to lose 80% of my client base as well. There are other options.
6/27/2009 3:44 PM | # re: PayPal screws sellers by holding payments
It's amazing now freakin' smug companies get when they get B-I-G!
PayPal is a racket.
eBay is also a racket.
eBay owns PayPal.
NO WHERE in commerce do you get the goods without paying first.
You can't even get an ice cream cone at the drive-up window of a fast food joint, without handing over the cash first.
Ever notice that, PayPal?
You may be big now, but keep up this crap, and you will fall.
Can you spell General Motors? Chrysler?
7/3/2009 6:22 PM | # re: PayPal screws sellers by holding payments
I was majorly screwed over by paypal, I sold a laptop for $800 and shipped it out, it arrived a couple days later then expected and the buyer reported this to paypal so they locked my funds, which is understandable, but when the laptop showed up and the buyer dropped the un-received item claim the funds remained locked despite everything showing up in the "all clear" on paypals end. after a month of the funds remaining locked ebays seller fees didn't go through because paypal wouldn't let the money go, so now paypal sais they can't release the money because of "suspicious activity linking my paypal and ebay accounts" it's been almost a year now and still I can't get anywhere with them, but my account still sais it has funds in it but it's still in lockdown.
7/9/2009 1:25 PM | # re: PayPal screws sellers by holding payments
I am in agreement with these complaints. I wish I could sue. I mean out of an item and no money GIVE ME A BREAK ~! I will never sell on ebay again
7/19/2009 12:55 PM | # re: PayPal screws sellers by holding payments
Same boat here. It's quite a catch-22- put yourself at risk of losing the item and the money if you send it, put yourself at risk of negative feedback if you refund the money and don't.

What to do? It's times like this I wish I was Russian mafia, as they always seem to come out ahead on ebay.
7/23/2009 7:44 AM | # re: PayPal screws sellers by holding payments
I was a power seller on ebay and got my listings shoved to the rear of pages, stupid of ebay with over 100,000 fb, so me and a bunch of ebay sellers/buyers went together and we started a website to give ebay a big slap... we will not list our own items until the site somewhat gets busy, we will have names to sell like eiStuff-Emp-David this will let everyone know it is a employee of eistuff.com.

we even managed to get a couple ex ebay employees ;-) the things we have learned from them is just starting to be put to use... so we started a FREE site eiStuff.com

we were fine with ebay until we as sellers got the slap in the face, i only had 12 negs, out of 100k feedback... pooey

Screw ebay... we were on ebay since the beginning.... what a business blunder.....
7/27/2009 1:15 PM | # re: PayPal screws sellers by holding payments
Do NOT use ebay or paypal at all. Fact they put a lock on your funds and use any excuse to do so. I say EBAY and PAYPAL should be closed down. DO NOT USE either i warn you they have screwed me over too and there doesn't seem to be much that can be done about it.
7/31/2009 12:39 AM | # re: PayPal screws sellers by holding payments
Think about the flip side, guys -- I am a buyer who bought from a 0-feedback seller who stiffed me by not including all the items he promised in the auction. When I had to nerve to ask for either a refund or a credit for a fraction of the sale price to offset the missing pieces, he launched a personal attack on me. So, I filed a claim, and I got paid because the money had been held. If it had not, he could have cleaned out his paypal and bank accounts and have been long gone. I know this is not the way most sellers do business, but paypal was able to cover my a$$ due to this policy, which I am now thankful for!
8/3/2009 3:27 AM | # re: PayPal screws sellers by holding payments
This experience causes me to pause...I appreciate as a buyer being protected, but I can see no reason for this. Someone who has been with the company for years, with 100% feedback? Something is wrong with this system...it does NOT make me want to work with ebay/paypal.
8/3/2009 10:56 AM | # re: PayPal screws sellers by holding payments
So how long did it take for you to FINALLY get your money? It feels that e-bay/pay-pal has created the ulitmate environment for scam artists. I am now waiting for"released" payment for my items. I am now fearful of selling on e-bay, the buyer can recieve products, wait to see if they really like it or not, or even break it, and then file a complaint and demand a refund? Are they requied to return the items? Who holds them responsible? Where is the seller protection? What about items that are sold as non-refundable? Do the buyers even know that their funds are being held from the seller until they leave positive feedback?

I can tell you exactly what is wrong here. E-bay/Pay-Pal has forgetten where they came from.

It's all about the bottom line, and NOT about customers or even customer service anymore. This always seems to be the case when companies start to outsoruce the most critical service they can provide to the lowest bidder, customer service becomes an issue of quantity and not QUALITY. What better way to send the message of "We don't really want to deal with you".

I know that they have reported a signifigance increase in revenue since last fiscal year, but it would be most interesting to see how thier membership turn-around has changed.............
8/12/2009 7:39 PM | # re: PayPal screws sellers by holding payments
Paypal sucks. I am about to write a letter to all major ebay bondholders warning them that Paypal (ebay owns Paypal) may be overstating their books by showing cash on hand that does not even belong to them but to potentially thousnads of sellers who have shipped items and currently have their money held for unknown reasons. Can you guys imagine how much interest Paypal is making daily on sellers' money being held????
8/23/2009 7:45 PM | # re: PayPal screws sellers by holding payments
Wow I know what you mean I just sold an old sidekick LX sso I can get the new one now I have to wait a freaking month thats bull crap.Well actually 11 days but whatever Im still pissed.
8/27/2009 10:03 AM | # re: PayPal screws sellers by holding payments
I have a situation now with ebay and pa pal. I sold an Item on ebay and I have 100% positive feedback and have been a member since 2007. This is suppose to be the requirements to not have your payments with held. My money is still being with held my customer has received there product sent me an email with positive feedback instead of leaving it in the appropriate place. My money is still being with held. I have a tracking number through USPS that is registered in ebay stating the customer received the product three days ago. My money is still being with held. What is ebay and pay pal doing with my money That it takes this long of a process to get it released I meet all the requirements that it should have been released atleast 2 days ago. I will never sell on there again.
8/27/2009 5:52 PM | # re: PayPal screws sellers by holding payments
This sound sooo familar, cuz its happening to me RIGHT now, i use craiglist, to sell my item and i had a digital camera for sell for 350 bucks, well as soon as i post it up, i got an email the next morning, a guy was saying he wanted to buy it and only uses paypal, and i said oh great i use paypal and he wanted to pay 470 dollars, i was thinkin ok, he wanted me to ship the item out to his daughter's in africa, im like whatever dude i dont care, so i sent the dude Money request for 470, then i see that he sent it, but its still "PENDING" its already been 3 days so im like ok, well i get an email from paypal, saying this buyer is *approve* and once you give paypal an email of the tracking number of the item you shipped we will fund your money, so i was like ok (now forgive me this was my first time using this) spent about 50 dollars to ship the item then done deal, yay! but couple hour later, a guy from the post office called me on my cell was asking are u wanting me to send this out, i said yea please do, then he got to thinkin did u sold an item and i was like uhh yea i sold it on craiglist, and he said dude im an ebay seller and ive seen scam so many time its happens like 99% out of 100% and he asking me if i had my money and i told him that its still pending but the only way to get my money if i send them the tracking numbers then i would get my money, and he sight and said yea dude, that a scam cuz paypal will automatically credit your money, and i get that email all the time and thats when i know its a scam, so i was lucky to have that guy call me and told me that cuz i told him to send the item back to my house and of course im pissed now im waiting on this so called "buyer" to email me back cuz i dont see why whats the hold up of my money that the seller sent to me and it said i have to wait 24? wtf! i have no idea whats goin on, so im just sitting here waititng to see what happens
9/1/2009 9:06 PM | # re: PayPal screws sellers by holding payments
EBAY and PAYPAL are at it again!!!!!!!!!!! As of August 28th EBAY is improving it's SCREW THE SELLER POLICY(ebay buyer protection)!!! EBAY can now go into you PAYPAL account and return the buyer his money back out of your PAYPAL account and leave your PAYPAL ACCOUNT with a NEGATIVE BALANCE just like PAYPAL can!!!! EBAY owns PAYL now, don't they???? This seems to me this is a monopoly!!! They now control all ways that you the SELLER can receive payments. We, the SELLERS, can no longer get money orders, cashier's checks or personal checks for our items UNLESS WE SEND THE ITEMS TO THE BUYER FIRST!!! Then we can trust the BUYER to pay us!!! SOMETHING IS WRONG WITH THIS PICTURE!! I guess we as the SELLER should trust all BUYERS since EBAY gives them ALL a 100% FEEDBACK because none of the BUYERS can get any NEGATIVE FEEDBACK!! Just us lowly SELLERS get NEGATIVE FEEDBACK!! The sellers apparently have nothing at all to do with making these BILLION DOLLARS corps lots of money. Seems to me without the sellers EBAY and PAYPAL DON'T GET ANYTHING!!! MAYBE WE, AS THE SELLERS, SHOULD ALL BOYCOTT BOTH EBAY AND PAYPAL FOR 1 WEEK. MAYBE THAT WOULD STOP THE INSANITY!! Or maybe we should all just relax because the have everything well under control. After all, I did receive this personal note from EBAY after I got screwed by them. It says, and I quote:"The eBay Feedback Forum is a member-to-member tool that gives people a place to speak freely without worrying about being censored." By the way, they removed my response to the buyer's negative feedback!! Guess I didn't put it in the right words!! BUT THAT'S NOT CENSORSHIP.
9/3/2009 9:10 PM | # re: PayPal screws sellers by holding payments
Hi, I came across this at my first search for answers about this Ebay/Paypal problem. My husband sold a macbook that was NOT working, stated in the description that it was broken, what was wrong with it, what it included, etc...and the person who receieved it now wants their money back. So what happened? They contacted paypal and Paypal has put the 400 dollars on hold, (out of our account, and we are needing money!) and even if it ends up going through eventually it won't be available for at least a month and they don't even have to include us in their decision! The buyer has the PRODUCT AND PAYPAL HAS THE MONEY??? It's awful. This has happened to us 3 times in the last MONTH! We are livid and don't know what to do. How can any business succeed this way? My husband is a good decent hard working person and the stress of this is killing him. It's just not worth it but we have no choice right now since I am fighting a serious illness and we have to do what we can. We are thinking about finding a lawyer who may consider a class action lawsuit, we don't know what else to do. This just can't keep going like this, EBay will lose all the decent hard working honest sellers and apparently we are going about it all wrong. Apparently the only way to make get money out of this is to be a buyer and run a scam of being the HIGH BIDDER, GEtting the Item, then complaining to Paypal, and voila, you get the product and the money! What's that sound like? It sounds like they are letting buyers run theft rings and they don't give a crap about the ebay sellers and stores anymore! I didn't think I could be shocked anymore but this is unbelievable!
9/15/2009 6:46 PM | # re: PayPal screws sellers by holding payments
Ebay & PayPal Screwed me too I sold 2 book for $50.00 + 12.00 shipping x 2 both payments are on hold I have been an Ebay member since 2002 Shipped the books but no money THANKS PAYPAL!!!!!!
9/26/2009 9:34 PM | # re: PayPal screws sellers by holding payments
PayPal and Ebay=Cosa Nostra...PERIOD! If you think people should just shut up and pay the man or get their nose bloodied, then you will agree with PayPal's fraud control attempts. Trouble is, nobody controls PayPal/Ebay's fraudulent business model.

If you sell a high risk item, and fall into one of their failing categories, (not hard to do), then they keep your buyer's money in THEIR INTEREST EARNING ACCOUNT, and you get BUPKISS! That's right. I sold an item for 1 dollar less than 900 dollars. PayPal placed a hold on payment for 21 days until the item shipped AND a positive feedback was received. You'd have to be pretty stupid or just plain naive to think this is a business partnership that would work on any level. This is what you SHOULD DO when PayPal places a HOLD ON PAYMENT: simply chose to refund the entire payment. Your choices are easy. I am not going to spend my money to ship someone a valuable item and then wait up to 3 weeks for PayPal to release the payment. Read between the lines here people. Why not just buy something on Ebay, use PayPal, send it back for whatever reason, and never worry about the poor schmuck who never will receive payment. This is the epitome of distrust and lack of good faith bargaining. Disavow yourself of using PayPal and attempt to sell on Craigslist.org. That worked for me in this case. And it will drive the PayPal idiots to rethink their wonderful fraud policy. HIt them where it counts. Keep the goods, don't sell out America!
10/3/2009 12:46 AM | # re: PayPal screws sellers by holding payments
I got screwed two! Sellers get the shaft on ebay anymore…period. I have used ebay since 2001 and never had a problem. I am not anything close to a power seller but I use it every now and then for buying mostly and some selling. Recently I sold two items, a month ago, and have not received one penny. It’s like the buyer knows the policy of two weeks (one week to pay, second week in resolution center) to send money after the auction is closed and they use it big time.

The first buyer took 6 days before sending money to paypal which is slow but not all that bad. Everything went okay until I noticed my money was held by paypal. I had to pay for shipping out of pocket and the UPS tracking on paypal was not showing any tracking information for the item shipped because I used the ups store not regular ups. The buyer disappeared and has not left me feedback. Now ebay has billed me for the sale of the item which I have to pay for out of pocket. So the buyer has and is enjoying the item he won and paid for and I have two bills I had to pay for and still waiting for my money on paypal to be released. How is this fair? I feel I am being penalized for selling on ebay!

The second buyer said they did not have the money for the item they won on the 14th day. I ended this one through ebay’s resolution center and got my Final value fee back but I don’t think that buyer ever received an unpaid item strike like ebay claims they give to non-paying buyers.

All hail the buyer!!!!
10/6/2009 5:19 PM | # re: PayPal screws sellers by holding payments
Yeah, ship now and wait for PayPal to release your money? Never! Just don't ship it and tell them to refund the buyer. Those buyer's will get pissed and eBay will suffer. That's what I just did after receiving the "funds on hold" BS from EB/PP.
10/19/2009 10:27 PM | # re: PayPal screws sellers by holding payments
Here is an email that I just sent PayPal:
Dear PayPal,
Your company is holding $285 of my money and requiring me to go ahead and send out items that are not paid for yet. Can I ask you a question? Do you go into a store and take something and notify the owner of the shop that you won’t be paying for the item until 21 days later?? The answer is... NO!
While I understand that this in effort to make PayPal and eBay a safe trading place. I have mailed out ALL of my items on time and always offered a refund if the customer is unhappy with the purchase for ANY reason. I understand this because I myself have been scammed by 2 buyers that claimed they never received items even though items showed being a confirmed delivery. I not only lost the item, but the money that the buyer paid me for the item, I was out the cost for the item initially… and the fees that I paid to list the item up on ebay! It is not fair what you are doing!! I am not responsible for someone being a THIEF! I have mailed all of my items out and some are showing delivered, with feedback and you are still holding my funds. Please update and release my funds, as you stated you would when you received confirmation of delivery and feedback. Thank you!
If this activity does not stop then I will be choosing another payment option on eBay for ALL of my auction listings and you will lose my business FOREVER. I am also considering closing my eBay account and not using eBay either because you are an eBay company. I have been a happy eBay seller up until you started holding my payments and requiring that I mail out the items before being paid for them.
You should note that once a company loses my trust, I will NEVER do business with them again. I am slowly losing trust in your inability to protect sellers from fraudulent activity. YOU ARE ONLY protecting buyers… WHAT ABOUT SELLERS?? WE ARE THE ONES PAYING YOUR FEES... NOT THE BUYERS! WITHOUT ANY SELLERS SELLING THEIR GOODS ON EBAY AND ACCEPTING PAYMENTS THROUGH YOUR MERCHANT SERVICES WITH PAYPAL… YOU WILL BE OUT OF BUSINESS! It won’t matter how many buyers are buying…. Without us, you are not in business!! It is also unlawful for you to hold my money and not pay me MY interest with the money that you are holding from me. We all know that this is the reason that you are holding money for 21 days. It is STEALING!! I demand you do something to win back my business... this kind of behavior is despicable!
10/21/2009 6:00 AM | # re: PayPal screws sellers by holding payments
I'm done too. eBay AND paypal can both kiss my a$$. I mailed a perfectly wrapped $1500 Louis Richard Rose Skeleton watch, insured with delivery confirmation to a buyer. It was brand new, a college graduation gift that wasn't my taste, and worked perfectly...cert of authentiticy, the works. USPS (or, more likely, the buyer) mishandled it, and then filed a claim AGAINST ME! What for? "Significantly not as described in listing." Claimed I sent a broken item. BS!!! I have over 400 positive feedbacks since 1999 with NO negs EVER! Paypal bastards took back the money, had the buyer return it to me WITHOUT filing a claim against the USPS insurance, so now I'm out the money AND a $1500 watch. Screw em, I'm done. I'll never use paypal for anything. EBAY AND PAYPAL ARE ALL ABOUT BUYERS. Actually, when you thik aboutr it, eBay is a perfect breeding place for scams against sellers. Hell, I could make WAY more money doing that than selling my odds and ends and estate sale finds. Hmmmmmmm???? Idiots...
10/21/2009 7:41 AM | # re: PayPal screws sellers by holding payments
My response to Paypal this morning....

Hi Irene,

Thank you for your response, and in it is my dilemma. Basically it states PayPal have a strategy in place allowing it for a period of time to consider me a fraudster! I have issue with this.
From a consumer point of view I consider it a very untactful business model. During the time PayPal considers me a risk, denying me access to my PayPal funds, PayPal has essentially secured larger deposits in it's bank accounts forcing the accrual of larger interest amounts than it otherwise could generate.
This may be a very small monetary amount for a single account but as PayPal is a global entity with millions of users this freezing mechanism turns into a lucrative revenue stream for PayPal. This is done at my expense, attributed to PayPal determining I am a risk, tarnishing my identity for a short duration.

I have used both PayPal and ebay for years, not a huge amount of transactions mind you but I still believe myself to a long term user of both services. I consider PayPal's policy to freeze funds in my account to be a 'trust breaking' action and it certainly changes my own opinion of the organization.
If PayPal intermittently no longer trust its users and the transactions they are involved in while at the same time PayPal makes money via this policy of mistrust why should I continue to trust PayPal?

10/23/2009 6:04 AM | # re: PayPal screws sellers by holding payments
Since 1st October this year when we fell into this trap, about 95% of our eBay sales transactions have been held by Paypal. We've recovered quite a bit of it but today they are still holding about GBP 2,500 (about 40 sales) of our money for new goods sold on but-it-now. We have proof of shipment and tracking info for all of it, and proof of delivery for some of it. When we receive positive feedback the funds are supposed to be released but all this month we have been having to phone Paypal and get them to manually release funds in these cases. Part of the problem seems to be that neither eBay Powerseller support nor Paypal 'supervisors' can give specific criteria for the hold/release process and each are telling us to call the other. If we continue to list on eBay we will go bust by the end of this month - we are simply running out of money. eBay/Paypal is telling us that shipping without being paid is an acceptable business practice. An accountant would have a very different view of the wisdom of effectively giving at least 21 days credit to everyone we sell to on eBay, regardless of who they are or what country they live in.
10/24/2009 11:35 AM | # re: PayPal screws sellers by holding payments
I HATE PayPal. They are currently holding $500 hostage and demanding all sorts of information and pieces of paper and asking for my SSN, then telling me it's wrong. I am spitting mad.
10/26/2009 12:13 PM | # re: PayPal screws sellers by holding payments
They do suck.I sold a Mac Mini which is in great shape but because it has no warranty I sold it as is.The buyer paid within 24 hours and to my dismay PayPal put a hold on the funds for 21 days.I was going to back out of the sale because I only sold the item because I neede3d the money now-but I felt it would be very unfair to the buyer who did everything the right way.Paypal has put me in a spot where I am already low enough on money that I had to see my second computer -and now had to take a payday loan to ship the item -without even getting the money. By the time I get the money from the sale I will have had to pay back this loan with interest -all the while paypal is making money off me not only in the fees it already took but also in the interest it will make from my money.I sold the item to avoid a high interest loan and then had to take one anyway to cover the cost of shipping a item -it kills me and makes me wish I was crazy enough to do the same for them.I think it sucks that we have come to a point in history where large corps can just plain steal from people right in the open and no government entity will even try to help.I am going to file with the California attorney general even though it will probably not do a damn thing.
10/26/2009 2:04 PM | # re: PayPal screws sellers by holding payments
I'm never using PayPal again. They are not my Pal, they suck. Will be happy when a bigger competitor takes them down.
11/8/2009 10:54 AM | # re: PayPal screws sellers by holding payments
I just started selling with ebay and i will never use paypal. because of the payment hold. I really dont understand why they did this. Yes, they solved some problems with fraud sellers but they just created a host of new problems. Now the scammers aren't the sellers, but the buyers. I had a couple of instances where a buyer would buy something from me and a couple days later the buyer would send me a fake email saying that the item is ok to ship and that the 21 day hold will be in effect until i shipp the item. Now if i would have shipped the item, i would have basically been giving a high priced item away for free.

I recommend using moneybookers as a payment method through ebay because they put the money directly into your bank account. If you have a feedback of 50 or under it could take 10 days for the funds to transfer. if your feedback of 50-100 it will only take five days, 101-150 3 days and 151 or more only 2 days to transfer the funds. you can also get your own merchant account and link it with ebay and receive funds that way. I think in a couple years though that moneybookers will be the #1 way to receive payment through ebay.
11/9/2009 11:31 PM | # re: PayPal screws sellers by holding payments
I will never use Paypal again! Been a member for years and years and they still decide to hold my payments! have 100% positive feedback on EBay. I will move to use money orders and cashier checks STAY AWAY FROM PAYPAL!
11/10/2009 4:24 AM | # re: PayPal screws sellers by holding payments
To those people who think paypal are great and this routine is just fine and protects them, You are very naive.
You may think that you operate in a manner that these things will never happen to you. After all your honest, legitimate and paypal only bans people who pose a risk. Thin again.

Thats what I thought until it happened to me. I sold items on ebay like the first post which belong to myself already. I was fully verified and held a premium account. One day I logged in and found my account under review.

I sent all the information to paypal. They required invoices for the items I had sold. I explained to an advisor on the phone that I already owned these item for some while and did not have receipts/invoices/proof of purchase for these. He told me to email paypal and tell them.

I did this and paypal closed my account. Not only did they close my account but they are holding my funds (£256) for 6 months and there is nothing I can do about it.

They do not fall under the financial regulations like banks do. There is no appeal process. Paypal are Judge, Jury and executioner.

So to those of you paypal fans beware, it may just happen to you
11/12/2009 5:44 PM | # re: PayPal screws sellers by holding payments
long story short, 99% similiar situation here.

after i got the email informing me about the hold, i immediately logged on to paypal and called them over the phone. the answer from the rep was, "you should ship the item now..." then i expressed my concerns about scam, he replied ebay instructed paypal the transaction was categorized as risky so they put a hold on the fund. i asked how could i get the money now? he simply read the "three criteria" for getting my fund release.... (i could tell he was reading from the same screen i was looking at...WTF)

right after that, i online chat with ebay. basically the rep was responding the same way, just one thing different. "you will get your fund releaseed AS SOON AS you input the tracking number in the system... so you shouldn't be worrying about the 21 days wait and should ship the item out now..." i told the rep that i didn't have money to ship it out if they didn't release the fund. her reply was, "well...in that case you may want to borrow money from your friend, you should get it back very soon..."

i asked both companies how did they protect the seller in this situation. none of them gave me a direct answer. oh god, i am sure ebay and paypal are backing up the sellers.

now the buyer is getting really pissed because he has already paid through paypal, and i can ship the item out because i don't have the money to pay for shipping.

i wonder if i could ask USPS to "bill me later" for the postage since the money is still on hold with paypal.

i am a loyal ebay member for 10 years with 100% feedback, but i am about to give up my account and reputation if they forced me to send out item without payment in MY account!!!
11/14/2009 1:43 PM | # re: PayPal screws sellers by holding payments
I have also just sold a phone and my funds are frozen! I have contacted a supervisor with paypal, and she told me it is EBAY who is wanting this new policy in place. I have been forced to ship my phone with no money in my account. ( if it is on hold it is NOT there to me ) now I have to wait at the mercy of the buyer to leave feedback??? what if they dont??? than what?
11/16/2009 4:49 PM | # re: PayPal screws sellers by holding payments
I am getting fed up with pay pal. I sold a huge lot of my son's Geo Trax 100 pieces plus 3 trains with remotes all working on ebay. I carefully packed and shipped them out to the buyer priority mail(large box), and the very day she received them, went to pay pal and filed a significantly not as described claim. She stated that first of all she only bought all the Geo Trax for the 3 trains and remotes I had listed. She claims that she only received 2 of the trains with remotes, and that both of them didn't work after changing batteries. Well to say the least I was upset by this because I tested and packed everything myself, and there were infact 3 trains (all working) and 3 remotes with several other large Geo track building pieces, tracks, and bridges. They were bubble wrapped and carefully boxed up. Pay pal has put a hold on the entire amount she paid me including shipping of $100.00. She wants a full refund, but I do not want to give her the full amount because she will ship me back 2 broken trains, when I sent her 3 working trains. I don't understand how she can claim to have only bought my lot for the trains only and now they all 3 are either missing or broken. Best part is she never email me to complain, went straight to pay pal to file, and still doesn't respond to her own claim she filed. Pay pal will now hold my money for 20 days, she has my Geo Trax and pay pal has my money. She can ship me back a crayon in a box and as long as pay pal gets a delivery confirmation on a package no matter whats in it, she gets a full refund. I am done with selling on ebay and using pay pal. I have 100% feedback as a seller and get screwed.
11/19/2009 12:04 PM | # re: PayPal screws sellers by holding payments
Yea paypal and ebay have the mega scam going on here they really gone off their rockers this time all ready lost 1/2 the stock value and continue adding scammers to screw buyers over just recently I have a buyer buy a product for 277 then he did a charge back on his credit card of course paypal could not do a dam thing about it they said they were investigating (BS) they were helping the guy commit credit card fraud and protecting his information. On top of that he stole the product from me paypal took the money from me and I got screwed. That is how seller protection works. They will not respond to my attorneys letters or phone calls. They are criminals of the worst kind!
11/23/2009 6:58 PM | # re: PayPal screws sellers by holding payments
I'm never selling on Ebay again. I sold 3 items recently only to find out what you posted about. Unfuckingbeleiveable. I'm shocked that Paypal would do this. Fucking nazis.
11/23/2009 7:02 PM | # re: PayPal screws sellers by holding payments
The buyers paid for the shipping, but how can I ship the items out if I can't withdrawal the money, or print a shipping label? I have to borrow money from my father in order to ship the 3 items, and now I'm at the buyers will to leave me positive feedback.

You're penalized by selling on Ebay. Buyers are protected and able to pull scams. Sellers are at the mercy of the buyer and the Nazi's of all companies, Paypal.
11/27/2009 10:10 PM | # re: PayPal screws sellers by holding payments
Yup, yup, yup. Seller here with 100% positive feedback. Loyal eBay seller and Paypal user for years. Never had a problem. Then this past week, I decide to sell two Blackberries because I'm strapped for cash (meaning, I need cash fast!). Completely unaware of this completely ridiculous new policy, I put them up on eBay. Score! I sold both of them fast. Then I go to claim my cash and I see that Paypal is holding the funds until I get positive feedback from the buyers. Of course my first reaction is "WTF is this crap?!" I emailed them, angry as hell, because I felt like they were treating me like a bad seller even though I've been a terrific seller with no complaints for years. They email me back with an unhelpful response that was basically just copy-and-pasted from their FAQ page telling me what needed to happen first before I could access the funds. I can't believe this is how they're treating their loyal customers after years of faithful service. Absolutely atrocious. I hate Craigslist (just seems shady to me) but it is starting to look like a walk in the park compared to how eBay/Paypal are operating these days.
11/29/2009 4:50 PM | # re: PayPal screws sellers by holding payments
Advice: 'Do the OPPOSITE of what big corporations want you to do'.
1. Pay with a credit card. You have federal government protections in place if you're defrauded.
2. IMMEDIATELY transfer the money OUT of your PayPal account when it's been received. Then ship the item 72 hours after you started the PayPal transfer---PUT THIS IN YOUR LISTINGS.

Corporations DO NOT operate in the best interest of their customers; they operate in the best interest of their bottom line and their STOCKHOLDERS. We do not live in a nice world people----get off the 'fool train' and wake up.

Why do you think that credit d\card companies want you to sign up for 'paperless' notifications? Because then you receive only 50% of the notifications that your bill is due than if you you are being notified by snail-mail AND email---you're 50% less likely to be 'reminded' your payment is due so you're more likely to be LATE. Using paperless systems companies save money on paper AND generate more late fees. A double-dip bonus for them on the profit side.

Bonus tips:
A. There are companies out there that do operate in the best interest of their clients. They are called NON-PROFIT. Don't feed the vampires.
B. Train yourself to read from small-print /small-font to large-print/large-font when reading contracts, advertisements etc. You will have to read MUCH LESS and waste less of your time before tossing it in the trash.
11/29/2009 5:02 PM | # re: PayPal screws sellers by holding payments
PS: I forgot to add that you don't ship your item until the funds show in your bank account from the PayPal transfer.....72 hours or not. Notify the buyer if PayPal has not credited the funds to you and you will ship when it clears. You should put ALL of this in your listings. Make PayPal out to be the monster up-front and when everything goes south your seller will be primed to blame PP and not you.
12/7/2009 3:10 PM | # re: PayPal screws sellers by holding payments
Also, with Paypal's holding money rule, they are earning interest on LARGE amounts of money because they are holding it from Ebay sellers across the board. WHAT A FRIGGIN RIP OFF!!! So now, I have to come out of my pocket to ship stuff I sell on Ebay, the buyer gets his product and I may or may not get paid because Paypal has to verify this. It is crap all around. ESPECIALLY when I charge shipping fees to the buyer!!!! I am LIVID with paypals new rule. Paypal and Ebay both suck and are crap sites. I wish there were other sites similar so that I wouldn't be bound to using one. There are a lot of freaks on Craigslist.
12/15/2009 10:13 PM | # re: PayPal screws sellers by holding payments
Sadly I was hit by this policy today. After selling nearly 50 items in the last 3 months alone and having 100% feedback out of nowhere comes a holding on one of my received payments. What makes it worst is that I have sold 7 of this exact same item recently and have had no problems and received great feedback, it just seems so random and unnecessary. This new policy sucks and will ruin payapal for good if they stick with it.
12/16/2009 12:54 PM | # re: PayPal screws sellers by holding payments
I just tried the partial payment idea. I refunded a partial payment of $.25 and my funds are STILL on hold. I read the post again and it said to refund $.01 NOT $.25. So I logged out & back in again and refunded the buyer a penny and it still isn't working. Maybe paypal caught on. Why not meet us loyal sellers half way and give us at least half our funds? I have a history of 16 transactions, some buying and some selling, all positive. I don't deserve this!

Word of caution, helpful hint, whatever: If you're using a Visa or MC debit card your purchases are not protected the way the media leads you to beleive! Only the credit card version will give you the protection you deserve. Your bank will tell you how limited you're protected with their debit cards.
12/18/2009 3:17 PM | # re: PayPal screws sellers by holding payments
I'm new to Paypal and Ebay. But I did run into a problem with a seller. I contacted the seller to make sure if I won and paid right away that my items would arrive by Christmas (as they are gifts). Well anyway the seller told me know that the items would be sent no less then 90 days after payment. I asked
why. He said paypal holds his money and he won't ship until he gets his money.
Let's see ebay gets fees for listing, then paypal gets fees when money is recieved,then holds money and gets interest on it. So ebay is not double dipping they are triple dipping. Isn't there a law against this. Now who gets the interest on your money they do. They think they are Gods. I have closed my ebay account and am in the process of closing paypal to. I have been told by a friend that there now is a giant law suit started against them. I feel bad for sellers as alot of them this is there only income. BBB has over seven thousand complaints and climbing.Take action go to your local news station let them know.This is so wrong on so many levels.They make over three mil aday just with ebay fees.Have no clue for paypal but I know it is up there.Here is a number for paypal 1-888-221-1161 everybody call. Good luck to everyone.
12/18/2009 6:18 PM | # re: PayPal screws sellers by holding payments
I have to add.There are other auction places on line. I have started with a new one called Seeauctions, but there are a lot out there. I like seeauctions as they give the first year free no fees. After a year they only charge 45 a year and can list as much as you want with no fees. Look around and you will find one you like.
Just remember they are small on listings as everyone is on ebay but if we all list there even just a couple of items we can build it up and give ebay a run for their money.Ebay DOES NOT OWN EVERYONE.
12/20/2009 11:18 AM | # re: PayPal screws sellers by holding payments
paypal is bs i sold an iphone posted it via platinum express and one week later buyer opens a dispute so paypal held my money. i had the receipt and tracking number and a letter from australian post confirming it was delivered to the correct address and signed for. i scanned all of this and uploaded into for the case for paypal to review. with all this information and proof that i cleary sent it and that the person signed for it from that house... paypal still gave back them their money! so i lost my precious phone, couldnt afford to pay rent and was left po! how easy is it for buyers to scam sellers. i had more then enough proof and in the end was left nothing because of paypal!
1/4/2010 2:13 PM | # re: PayPal screws sellers by holding payments
I had this with paypal in 2008 sold my new sony phone , Got £180 for it and when i went to transfer the money i could not!money was pending.The customer got their phone next working day. The customer was not happy with the phone. took the customer 18 days say they did not like it! they sent it back and memory card was missing and plastic seal on sceen removed. means the buyer can have a play with the item and say no thanks dont like it and send it back. But its ok for the buyer they got their money back? and i am left with second hand phone worth £60.00 and nective feed back! for sake of paypals 21 days money back gurannatee
Its the seller who gets done over and not the buyer .. What is the point on ebay saying 100% brand new and working no refunds. when paypal will just go and have you over instead?
More like intrest for paypal holding other peoples funds

1/13/2010 10:49 PM | # re: PayPal screws sellers by holding payments
Would you all - those who read this, and who have posted - PLEASE take a few minutes of your time to write a real-paper-letter to Ebay AND PayPal, asking that they revise their "policy" to at least allow shipping of an item sold on Ebay via PayPal.

I don't like the idea of them 'holding' my money either, but being an honest person, I would be 'somewhat' less irritated if they would at least allow me to go in there and print a label and ship an item without having to go stand in line at a post office for 30 minutes to 2-hours. That's how long it takes to get to a window at my local post office, and I just do NOT have that kind of time on my hands. That was the whole purpose of using Ebay AND PayPal - Convenience!

The way they are doing business now is NOT convenient at all. And did anyone else notice that they remove their "fees" from the "held" amount? That's not even remotely 'fair'. And yes, I realize that they concocted that scheme in order to make money off of 'our' monies which are being 'held'. No, this is not the least bit 'fair', however, they are not regulated by the government, but I think it is time to change that, don't you? If enough of us were to write our congressmen, maybe - just MAYBE, there will be at least ONE who will raise enough of a 'stink' to cause them to conduct business in a less "nazi-like" manner. That is, IF there is at least one Congressman or Senator that Ebay/PayPal cannot buy-off. But I don't know about that either. Because as we all know - money definitely talks...
1/14/2010 11:08 PM | # re: PayPal screws sellers by holding payments
This is a total joke and it's obvious why PayPal is doing this. They've always had a guarantee for buyers, but with this new process they're freeing themselves of all risk and liability for that guarantee. If this had happened a decade ago people would have just laughed and PayPal never would have caught on... it's a laughably atrocious policy. Unfortunately eBay has now become a practical monopoly and PayPal has become so tightly ingrained in it that they can get away with anything. It's not a scam, it's just another example of a growing company hog-tying people to a product and then throwing customer service out the window so they can rake in more profit. You can say all you want about going somewhere else, but there's nowhere else to go. PayPal knows this.
1/18/2010 10:01 PM | # re: PayPal screws sellers by holding payments
This same thing happened to me last week. I've been a member of eBay for 8 years and the same with Paypal. I have 100 percent positive feedback and my DSRs are all above 4.7. I sold three pair of jeans and out of $128, they held $105. I called Paypal and asked why they were holding my money. They regurgitated the funds availability policy and I told them I had read it twice and understood the policy. I said I'm okay with the policy, but I'd like to know what specifically I've done to generate the hold. Nobody could tell me anything. They transfered me to eBay and a girl, whose name I should have got, told me - after putting me on hold four times - that my payment hold would be off in 24 hours. It has been 72 hours and it's still on. I'm going to raise a shitstorm tomorrow at Paypal.
1/19/2010 10:10 AM | # re: PayPal screws sellers by holding payments
They did the same to me, and I am a verified PayPal member for 7 years, I have 98.4% positive feedback (that is ONE negative from a person who did not live up to the specified payment date) . Not only do they hold the funds (including shipping fees) for up to 21 days...THEY EARN INTEREST ON THAT MONEY!!!! AND PAY YOU NOTHING!!! I am also livid, and talking with their snotty so called customer service people only made matters worse. EBay has turned into a joke...oh, by the way--PayPal does NOT make up funds when an item is not recieved, they only retrieve funds that are available in the sellers account...if that amounts to $5.00 on a $500.00 purchase...well then you are just out of luck..I KNOW BECAUSE THAT WAS THE AMOUNT REFUNDED TO ME on a purchase that never arrived. I do not see how this can even be legal!
1/25/2010 4:02 PM | # re: PayPal screws sellers by holding payments
They got me also! 9 years on Ebay and Paypal. I have 100% feedback. Guess it doesn't matter. I should have cancelled the sale and taken negative feedback, but I was a dummy and mailed it. Praying I have an honest buyer.
1/27/2010 12:38 PM | # NO SELLER PROTECTION
On two occasions they held the pay, the first as soon as I wrote the client and she claimed she had no hold and then complained to eBay, it was only then that they released it and eBay saw no problem. Then they did it again, on one approximately 1600 transaction of my liquidations ALMS project to SOMALIA and they not only called me asking me why am I suddenly selling these amounts and they recorded by asking me to spell where the money was going. Also asked me if I am buying off the street?? which now they also send me a AMOUNT CLEARED when I shipped the antique. Later the client sent me an email that she has all that is fine and now has no claims to see that they still hold the amounts and PAYPAL sends me an email for an "Guest Exit" keys. No answering the content of my email on why my merchandise was shipped in good faith of lies that the "amount is cleared" that is how I trusted to send the item. Later today as it stands I have no payment and my antique is sent the client happy and the money???? well still on hold by Paypal.
I am pending this dispute and they cannot be courteous to send a resolution rather an exit. I feel sorry for the future youth and the bankers who claim ALL.

Happy lives and may god help us all.
1/30/2010 6:59 PM | # re: PayPal screws sellers by holding payments
I've been using paypal as my transactions processor for 3 years or so, and have been pretty active the entire time, since I sell a lot of stuff on multiple sites.

Anyways, During January 2010, i sold 150 items for under $20 on ebay... not one single issue and apx 130 of the 150 had already left positive feedback. not a single negative feedback, chargeback, or problem whatsoever.

Everyone's happy. ... Except me.

I wake up Friday morning (January 29, 2010), planning to transfer the funds to my bank account, since all sales for the month had been completed... Low and behold, my Paypal account is frozen.

Paypal is asked for inventory descriptions, vendor invoices, and receipts.

I sent Paypal my vendor invoice (sales agreement), inventory listed of all the details.

Nope.... After providing what they wanted, now they want more, and stuff there is no way I can provide, like written rights for being a reseller of the products by the manufacturer and even copies of my vendors contracts and sale agreements with their supplier (illegal as sin).

What? I don't need rights to resell what i purchased wholesale from a distributor and Paypal sure does NOT have the right to require me to get a copy of my vendors contracts with their supplier.

Needless to say, it's now a paypal horror story on the tune of $2,455.63. It took them 1 whole day to say they will hold my money for 180 days....

Great way to start off 2010.... If you are a merchant and use paypal, this WILL be you soon. AVOID. Paypal is a scam, and is operating a criminal organization.

Me, most likely my online business is going to be annihilated, unless i can get back up to par fast. The entire amount in my paypal is what pays for my vendor balances. If I can't get that paid, i am through. No job, no money, etc. I have signed up for moneybookers as a merchant, but am still awaiting a response for a few days now.
2/8/2010 11:35 AM | # re: PayPal screws sellers by holding payments
I have an account on PayPal and using it from last 6 months. Last month only (last week of the month) I withdrawn around $700 from my account and after spending 12 days I have not received it. Even contacted THRICE to customer support and they said amount will be sent soon, there is some problem with their end. In the mean while I have raised a ticked and received a reply within 24 hours and this time they are saying something else...amount is already released from our side, kindly contact to your bank account, this can be delay due to holiday or festival seasons.

Very frustrated. Not only me but couple of mine friends too are facing similar problem. I will surely look for other option but BIG NO to PAYAPL.
2/10/2010 12:53 PM | # re: PayPal screws sellers by holding payments
They are going under. Ebay and paypal are both going down! There is insurance for buyers, if they dont want it, its their own damn fault. I called paypal, they said if I had a problem with them holding our money it was tough. Also if you want to close your paypal account while money is in hold process they donate it to charity!Call and ask if you think I am lying. It takes 3 people for a class action law suite. Who wants to be a millionaire. Bad move ebay! You reap what you sow you greedy bastards!
2/13/2010 1:20 AM | # re: PayPal screws sellers by holding payments
I sold an xbox to a buyer for $300. Two days after receiving, he initiated a dispute. Ebay/paypal immediately put the 300 into hold status. Buyer claims that item didn't match description. It was an xbox, so i am not sure how that is even possible. Now PP asks me to refund them while I wait for the box to be returned.
I am still waiting to get my box back. I have a weird feeling that the buyer is doing a gut-swap on the inernals of the xbox on me. Nothing I can do as a seller but to bend over and take it w/o lube.
2/20/2010 11:00 PM | # re: PayPal screws sellers by holding payments
I sell a $250 website script daily. For the last 3 months ive made quite a bit of cash. Now today for no reason at all after 1 guy attempted to frad purchase this item using 4 different accounts, paypal close my account citing highly suspicious activity. Luckily for me, i took most my money out, but now i went from raking it in daily to not being able to. There is not a 6 month period that goes by that paypal dont mess with me over something, and i rarly get refund request, and when i do, i always refund right away. They were making good from me in fees, i guess they dont need it or something. I have yet to know anyone person that has made more than 1 thousand dollars and not had paypal screw with them.

They need an optional service to where you can say i only accept payment from liable verified users. the buyer who gets his account hijacked or paypal shoudl be resposible for this. The govermant backs paypal 100% thats why there is no other out there. The Russian credit card mafia has a new mask, its called paypal
2/21/2010 9:17 AM | # re: PayPal screws sellers by holding payments
Ebay is getting too big and big companies screw the little guy!!!!
Check out ebid.com it's a lot like ebay except it's a hell of alot cheaper.
All listings are free with free extra pics and a whole lot more. Move to ebid.com
Or atleast go check it out.
2/22/2010 12:43 PM | # re: PayPal screws sellers by holding payments
I tried the partial refund, but it only took a penny of the balance the rest is still pending? How do you guys do it
2/25/2010 2:51 AM | # re: PayPal screws sellers by holding payments
Not even going to write my story as it is so like all the others.
2/26/2010 1:11 AM | # re: PayPal screws sellers by holding payments
i did not know of this policy until my money was put on hold today. i'm with all of you no more paypal for me. this is crazy i guess i should take a video tape of me putting the items in a box and have it tape the whole time i take it to ups huh?
2/27/2010 1:00 AM | # paypal is now on my list
I recently made a sale on ebay, without checking to see why there was a hold on my PP (coming here has made it so clear), and now i'm waiting for $43 while my buyer already has the product this morning.

...$43... what has this world come to?
2/28/2010 11:28 PM | # bad idea to sell
Lost my job, had to sell some of my electronics. 100% positive feedback in the range of 30-40, account open ~8 years.

Two auctions went for a total of approx. $900 in a "high risk category". This was to be some relief for a maxed out credit card that had defaulted to 30% apr. Instead, the required non-refundable shipping was included in the money held by PayPal. Shipping is now a $100 bill incurred on my bank account (items went out, but barely). I'm not sure where I'll be in 21 days, but I do hope the buyers don't use PayPal to screw me over more than PayPal has already screwed me.
2/28/2010 11:42 PM | # oh, yeah
Forgot to mention, the buyer of the 1st auction didn't even have funds immediately because she was waiting for PayPal to refund her money from a similar item that "didn't work out."

A smarter person than me might have cancelled both auctions, taken the negative feedback and sold them in person, locally. Unfortunately that wouldn't justify the time I spent listing the items and the decent prices they fetched on eBay.
3/1/2010 7:05 AM | # re: PayPal screws sellers by holding payments

How did Paypal get my social security number? I never applied for anything under ebay-paypal for credit card whatsoever.. it asked me to verify more infos in order to lift the 500 dollar limit on a account.

That scared me. I am leaving paypal -ebay because they got my SSN-
3/2/2010 3:34 AM | # re: PayPal screws sellers by holding payments
If you buy something just record the moment when you get the package, that way you have no way to lie, and uhm yes I got scammed for 700 dollars, later found the same guy, and I scammed him for 1200, he played with me, so did I. Its funny, because Im only fifteen.
3/8/2010 10:00 AM | # re: PayPal screws sellers by holding payments
PayPal is not a merchant service or a credit card company. PayPal is an eBay company and everyone, even scammers can apply for a PayPal account. That's why I don't do business with eBay and PayPal. For my own business and to ensure that I'm running a legal business as a retailer, I apply for a real online merchant account like Authorize.net for one good reason; Only those who holds a business bank and business license and/or reseller's certificate are approved for real online merchant account which requires alot of these informations that has to be sent to them before they can approve it. Furthermore, keep in mind that when you sell on ebay, you're not selling anything for your business or for yourself. You're selling on eBay for eBay because you are paying them to sell something for them. I also feel sorry for PayPal's 21 days hold policy because it's against our policy working here. And that is, we cannot ship anything without confirming the item was paid in full by customer before we create an invoice and before the payment is received by us through the business bank. We create an invoice to confirm we charged the buyer before we ship to them, so therefore the money must be in the bank. I don't care what PayPal's BS Policy is. I don't work for PayPal telling me to ship the item first, then they will pay me for doing it. When the buyer pays for the product, who gets the money first? Me, or PayPal? You guess.
3/15/2010 2:43 PM | # re: PayPal screws sellers by holding payments
Hi, I know its a year later since this posting, but if you go to pay pal feed back form,TODAY the exact same complaints are going on today, I can tell you this, NOTHING EVER WILL BE DONE, UNLESS MANY PEOPLE UNITE AND EITHER PROTEST SO IT GET'S MEDIA COVERAGE OR BOYCOTT PAYPAL. One year from now everyone will still be complaining and nothing will be done, Organize start a group,THERE IS STRENGTH IN NUMBERS
3/15/2010 11:26 PM | # re: PayPal screws sellers by holding payments
I fucked paypal real good, sold a macbook and they put a hold on my 1400 euros for about 2 months. i finally got it in the end. I was real mad so i sold 2 macbook pros that i did not have for 1800 euros each (3600 euros total). I never sent them out and withdrew the money. !!!!!!! A BIG FUCK YOU TO PAYPAL. Thats what you haveto do. I had like 300+feedback. Just before you close your account that has good rating, fuck ebay and paypal with a nice little move like that.

3/16/2010 4:39 AM | # re: PayPal screws sellers by holding payments
Hell you think that's bad. I sold a iPhone clone on ebay, had got it from craigslist and did not inspect properly before handing over $400 cash. This was around Christmas last year, so I decided to list it on ebay, starting price $325 and $600 Buy it Now with free express shipping. The description was accurate for a dual sim iphone clone, but it said "iphone" in it. The buyer did buy it now in less than ten minutes for $600, and I shipped the next morning.

My funds were on hold for 27 days, fine whatever, hold policy, I felt I had nothing to worry about since my listing was accurate. Well for those that don't know ebays buyer protection is 45 days. On the 46th day she complains that its a fake, and I explain that my listing was accurate, she did not ask any questions, and used a buy it now in less than ten minutes, in addition waited nearly 2 months to complain when the item was received in 3 days.

Well long story short, paypal opened a dispute 2 weeks later, withdrew the funds from my bank account, its now the middle of March and I was just informed paypal sided with her because the word "iphone" is a registered trademark of apple corp and they have verified the product is not made by apple. Paypal either had her destroy the item and send them a fax stating she did, or she shipped them the item and they destroyed it.

Paypal won't answer me about my funds I lost on this, the shipping money, the ebay fees in addition to the money I originally paid for the item. All I get from them is "the inauthentic item was destroyed". Yet I see iphone clones sold all over ebay, but paypal decides to destroy my product and give a stupid buyer her money back because she didn't bother to handle things in a timely manner or even ask questions about a deal too good to be true on ebay. True unlocked apple iphones go for over $1000 on ebay, I had made no statements that this was an apple product, actually gave a clear description that it was a dual sim model and included actual pictures of the item.

I've vowed to never use paypal to sell an item again, paypal is still a necessary evil for purchasing items.
3/27/2010 2:14 AM | # re: PayPal screws sellers by holding payments
I just went ahead and refunded the sale, it's not worth me waiting 21 days and shipping out the product hoping this hold will lift eventually... I told the buyer to send the payment again maybe paypal wont screw me over this time..... Paypal sucks...
4/2/2010 8:56 PM | # re: PayPal screws sellers by holding payments
You think a hold is bad? Ive lost over 2000 dollars of my hard earned money selling on EBay since policy changes. Every buyer dispute opened Ive lost regardless of endlessly giving teh tracking numbers, taking pictures of shipment slips all to prove teh item has been sent and received by buyer. I lose shipping money I spend to ship teh item, I lose the item, and I lose the payment, I also end up paying teh ridiculous Ebay fee it costs to sell the item. Thats right folks, all teh buyer has to do is buy something pay for it, wait for it to get shipped out, then open a buyer dispute through paypal and voila, he gets the item and his payment refunded. Its not magic, its just a very unfair system where buyers can easily scam sellers. Ive wrote several complaints to both Ebay and paypal, proved to them teh items have been received and still no response. The best part is, you cant see which buyers do this regularly because sellers cant leave negative feedback! ALL SELLERS SHOULD BE VERY CAREFUL AND NOT LIST ANYTHING EXPENSIVE ON EBAY, YOU WILL GET SCAMMED!
4/6/2010 1:39 AM | # re: PayPal screws sellers by holding payments
Has anyone had a good experience with paypal lately. I have a similiar story they are holding 2100 of my money I tried the .01 penny and they didnot release funds. Tell me what I can due. I have put shipping conformation on everything does this help and insurance.
4/8/2010 10:37 AM | # This happened on me recently
I sold my stuff for $700 and Paypal hold my fund. I am extremely pissed so I decide to undo this whole transaction. I issue a full refund and cancel the deal. There is no way that paypal can hold my money as a hostage to please the buyer.

I will NEVER sell anything on eBay anymore .
4/22/2010 10:16 PM | # re: PayPal screws sellers by holding payments
This started happening to me last month. I held the shipment for 21 days on one item. If the buyer leaves negative feedback then I can respond as to why. Interesting to see if eBay edits it out. My main question to all of this is that nobody seems to have looked into the legality of all this. I am sure that eBay/PayPal has but I actually do not think their attorneys are smart enough to look past the immediate benefit to ebay offering buyer protection which is I am sure where all of this came from. Quite frankly I do not think this is legal and would be interested to see if all of you would be interested in getting involved with a class action lawsuit. Their holding funds in escrow are bogus since no interest on this holding is offered to the seller should they opt to wait the 21 days like I did. I have been investigating the paper trail of policy changes that PayPal has released and this policy was mentioned but not spelled out in a legally acceptable matter nor issued in a printed manner as would be required to "hold" funds. You can't just shoot someone an email and cover your tracks. It doesn't hold up in court. IF you applied for PayPal AFTER the policy change...your screwed. Another issue...eBay will not let you use Goggle Checkout and they ask for a FAXED copy of your merchant bank account information if you want to use an immedate payment option other than PayPal. Well...I tried this and was told that my merchant bank was unacceptable. Funny...I use the same bank as Microsoft. So the question is raised about unfair business practices on their part. So...I am currently looking for a law firm that would like to take on PayPal and eBay. It would be interesting at the least to see their reaction.
5/4/2010 9:37 PM | # re: PayPal screws sellers by holding payments
Happened to me exactly the same...I am now waiting on my 111.00 and had to pay 25.00 shipping out of my pocket to get the item to the buyer on time. Well I guess I may be paid back in 19 days....Hopefully....I am now searching for other means to accept and ditch paypal....I need to sell online...like ebay...but hate the relationship with paypal and paypal in general.

Anyone suggest what they did on accepting payments?? on ebay instead of paypal?
5/6/2010 10:00 AM | # re: PayPal screws sellers by holding payments
Not Happy at all with Paypal. When will there be competition for ebay and paypal. I would LOVE that and open with them ASAP. I too pulled my stuff off ebay and went with Kijiji and Craigslist.
I hope they go belly up because without sellers you have no buyers. When you have OVER ONE THOUSAND positive feedbacks then the seller must be doing something right and to screw your sellers like that then you should be out of business.
5/6/2010 10:23 AM | # re: PayPal screws sellers by holding payments
I too have had many problems with Paypal and found boxes of stuff in the Attic and wanted to sell them on ebay but forget it. I have over 1200 Positive feedbacks and WILL NOT stand for this stupidity. Does anyone have suggestions where I can sell my items (80s Rookie Hockey cards, 70s comics, and 80s toys)besides a convention
5/9/2010 9:18 PM | # re: PayPal screws sellers by holding payments
Doesn't anybody know that ebay purchased Paypal awhile back? Thats why all his is happening
5/15/2010 7:31 AM | # re: PayPal screws sellers by holding payments
i hate paypal so muuuch!!!! i once was a happy ebayer with my own shop making shedloads money out of poor suckers on ebay . ... . then ebay changed a few policies to start screwing sellers over and paypal has now jumped on board with ''money in pending balance'' which means they hold onto your money for 21+ days until they feel that there godly like presence has been justified and they can realease MY money into MY account. god i hate these f******** i hope the creator of paypal wakes up one morning in his whorehouse walks ouside and calmy gets hit by a bus . . . and doesnt die but just gets malformed in someway and has to spend a lifetime using paypal to buy stuff off ebay . . .
5/19/2010 11:24 AM | # re: PayPal screws sellers by holding payments
Ebay's plan is to get rid off ALL small time sellers no matter how long you've been a member on there and they don't care if you've got 100% feedback. They are only interested in keeping these high quantity sellers like crappy Argos-clearence bargains, Debenhams etc. THAT'S why they brang this crappy DSR feature where buyers can leave sellers stars, and since only high volume sellers can keep up with the minimum score value required to not have their payments held they are catering for them ONLY.

If you only plan on selling using paypal, then I would recommend you to stop selling on ebay altogether. Paypal still make money from all these scams (listing fee, final sale value fee and paypal fees are obviously not given back). A buyer can easily get their money back through a dispute while the seller loses.

5/24/2010 4:12 PM | # re: PayPal screws sellers by holding payments
I agree with all of the disgust and outrage expressed here, and I've hated PayPal for a long time. I've had expensive items stolen from me and rarely ever win an appeal. PayPal is currently holding every payment for no apparent reason, so now I can't pay my eBay invoice with those funds as planned; instead it will come from my alternate payment method, which is a debit card (meaning the money comes right out of my bank account) so then I won't have that money to dropship the items. This is after a decade on eBay, with a successful store, and healthy silver powerseller status.

To Anti-PayPal: I'd like to eliminate PayPal! But in the USA, eBay REQUIRES a seller to offer PayPal as a payment method, and PROHIBITS accepting check or money order payments. We used to receive a lot of payments by money order, with no problem at all. Amazing, a buyer wants to pay with money order and a seller wants to accept, but eBay doesn't have control over that and can't earn any fees or interest, so they forbid it (claiming it is to 'protect' the seller)! If we try to list saying we will accept a money order, eBay will not allow the listing to even post (and if somehow it goes under the radar, eBay will end the listing and send a policy violation notice!) Crazy for eBay, what is essentially a virtual landlord, to have that kind of control over someone else's business!

I've actually hated eBay for years as well, but haven't found a better profit outlet for what we sell. Amazon is a better experience, but our profit margin is so low that it can't replace our eBay store. Even though our eBay profit margin has fallen to horribly low levels over the years due to eBay policies and the influx of cheap international sellers. When we opened our eBay store, we had a 30-40% net profit after all fees and expenses; now it is a mere 10-20% net. There is no room for PayPal screw-overs with that kind of margin! The same items on Amazon, though, have to be priced so low to compete that we only make about 5% net. So Amazon isn't perfect, but they are fair: they will hold your funds if you have too many buyer complaints or too many times that you ship slower than 3 days from order. But that is it, if you are a proper seller, Amazon will pay you!

I think the only solution to the eBay problem is to get our external check out and our own merchant account. I'm sure eBay will eventually outlaw that process as well but for now it looks like the only way to control our business' cashflow. That is what we are going to do. Hopefully having our own checkout service that accepts VISA/MC will reduce payments through PayPal as much as possible.
5/25/2010 8:15 AM | # re: PayPal screws sellers by holding payments
They are at it again. Same old story. Buyer gets item. (exactly as described) Buyer complains and does not return item. (with their credit card company) Paypal returns all funds without any return of the item. There are so many ways to screw the sellers with this system I don't know how anyone could ever run an actual business though ebay or Paypal. I had an account with a feedback rating of 99% with over 4000 buyers. Finally I just gave up!

here is a good one. Buyer recieves Apple laptop and loves it so much they sent us a registered letter stating how much they liked it. Then they contest the charge and use the signed registered letter reciept to prove they "shipped it back" No laptop and no money.
Paypal is great for a buyer but sellers beware, they do not protect you at all! In fact they throw you under the bus as fast as they can.
5/25/2010 3:53 PM | # re: PayPal screws sellers by holding payments
Came across this story/discussion via a Google search so at least people are able to read your story and join in the choir. In what other era and in what other nation could a company literally treat their best customers like crap and still be a major force in online auctions and online payments?

It couldn't. It would never happen. Because people used to quit using services when they were dissatisfied with them or if they got jerked around.
It's appalling how corporations treat their 'customers' these days from the top to the bottom. But for every customer who leaves, many more will line up to take your place and get the exact same disrespectful treatment.

Paypal acts less like a 'brokerage' and more like a God. They tell you what you can and cannot do with your money while it's in their possession (Yes, it's your money even if it's being held by them). They tell you when you can have it and when you can't. And THEY decide what's best for you.
Paypal thinks they're the government, basically.
It's the illusion of convenience that keeps people coming back but how convenient is something when it disrupts your day to day transactions of how you earn a living or how they manage YOUR money?

Ridiculous. Paypal doesn't care what you think or what I think or what the majority of their customers think; they're going to do whatever they want, whenever they want.
The bottom line is that you can find other alternative services to handle your transactions OUTSIDE of Ebay so I'd always recommend those and just forget Ebay altogether. They only serve those who sell basically like Walmart: Huge lots of things made in China sold new.

Everyone else gets the short end of the stick anyway you look at it.
5/26/2010 10:30 AM | # re: PayPal screws sellers by holding payments
[GREAT article. Spot on. Just wanted to point out that you should change your "their" to "they're" in the last sentence of this paragraph...]

It looks like I’m not alone either based on a conversation at Get Satisfaction. I was not afforded any opportunity to escalate any further beyond Marie 6168 despite my best attempts. All I could get was an email address I was told to be the executive offices – [email protected] I hope their reading this.
5/27/2010 12:29 PM | # re: PayPal screws sellers by holding payments
Paypal will forsake honest sellers by paying ebay sucks - paypal sucks
time for paypal class action law suit!

dishonest buyers with the seller's held funds.
ebay sellers do all the hard work, take all the liability, wait days-weeks for sellers Money &"good" feedback(if any) and and Ebay takes exorbitant fees, charges, subscriptions and runs laughing all the way to the bank.

Sounds fair to me? And I believe in CHANGE...and the Easter Bunny.

its all good, Just call PayPal customer service in Bangladesh and talk to 'Kevin' he'll tell you how it works.
5/27/2010 4:06 PM | # re: PayPal screws sellers by holding payments
PayPal is a viciously ruthless company and it is a scam.
They have screwed us three times. I have a 100% feedback rating and have been selling for several years on eBay. Today, a person won the bid on a computer and PayPal informed us that after the computer is received, if the buyer is satisfied and gives us feedback which is positive, the funds will be transferred. This sucks! Who can afford to wait three weeks to get paid? My feedback is 100%! I will now give buyers specific instructions not to use eBay.
If a seller wants to specify that a buyer can use a money order and not PayPal, eBay will disallow the ad. That is because they are one and the same monopoly!
PayPal does not pay interest on all of the held funds which they process, leading to a tremendous cash cow for them. Dealing with them is a catch-22 and a scam. They are a financial institution which gets away with anything they want to!
5/27/2010 9:54 PM | # re: PayPal screws sellers by holding payments
Yeah, I just got zapped by the "payment on hold" by Paypal. I've been with ebay for 12 years with 100% positive feedback & paypal since it started. I don't sell all the time & just sold a couple of DSLR cameras I had over the past few weeks. This bumped me to " high risk status". So now I'm on payment on hold as of a few days ago. A payment for an ebay auction just came in & is in on hold limbo. SUCKS!!!! I called both ebay & paypal & complained, diid no good. "you need to ship & confirm & get feedback" was there responce. I think I might just be through with the both of them.
6/1/2010 6:54 AM | # BBB complaint
Evry single person here should file a BBB complaint against Paypal. The more they receieve the more pressure that will be put on these theives.
I am dealing with Paypal right now....I have been a Paypal user for almost 7 years and now all of the sudden they have started holding every payment that comes into my account until the customer is satisisfied! Really??! What if they don't leave feedback?
I sent paypal an email stating that I was upset and I wanted to know why my funds were being held after 7 years of business. Their response was cookie cutter and that I needed to get a lawyer and subpoena if I want to know WHY they are holding my funds.
Well little do they know, I just might do that!
6/3/2010 12:51 PM | # re: PayPal screws sellers by holding payments
Paypal have ripped me off several times. Life's too short to be a victim of their monkeying around. A usual scam of theirs, especially since they became a registered BANK - is they withold a lot of payments over £50 - I guess they use the time to invest the money - make the company look richer than it is - and clear it a few days later - they also have a lot of fun with your compalint calls and emails which only serves to keep them in work. A written hard-copy letter is the only way to deal with them, using registered delivery, cc'd to a lawyer. They want you to call/email and complain, it gives them work to do. Paypal does seem to work better elsewhere - away from Ebay, bt there are other services better than Paypal like Worldpay and Nochex too, as well as using Craigslist- beware of Gumtree though, owned by ebay - not great.
6/3/2010 1:01 PM | # re: PayPal screws sellers by holding payments
Paypal have ripped me off several times. Life's too short to be a victim of their monkeying around. A usual scam of theirs, especially since they became a registered BANK - is they withold a lot of payments over £50 - I guess they use the time to invest the money - make the company look richer than it is - and clear it a few days later - they also have a lot of fun with your compalint calls and emails which only serves to keep them in work. A written hard-copy letter is the only way to deal with them, using registered delivery, cc'd to a lawyer. They want you to call/email and complain, it gives them work to do. Paypal does seem to work better elsewhere - away from Ebay, bt there are other services better than Paypal like Worldpay and Nochex too, as well as using Craigslist- beware of Gumtree though, owned by ebay- maybe Ebay is the problem and not Paypal - not great. I'd have to be paid to use either Paypal or Ebay again, I've lost hundreds and can't afford to.

6/3/2010 9:38 PM | # re: PayPal screws sellers by holding payments
I just sold an item on eBay...unaware of PayPal's new policy I have been paid but I have no money....Well, fuck eBay and PayPal because I'm cancelling the sale, refunding his money and I WILL NOT EVER, EVER USE PAYPAL AGAIN FOR ANYTHING!! WTF is going on? Who the fuck to do these people think they are? It's my choice to use their 'service' and my choice how I get my money....but these Nazi bastards think they can tell me how to sell something I own, how to ship it, how to get my money....and then they don't give me MY money. FUCK YOU EBAY AND PAYPAL! I'm closing both of my accounts....I have a damned merchant account and card with PayPal and buyer credit and you think I can't have my fucking money....

I've been over both of you for a while now but this is the last straw...I'm done....CRAIGSLIST.COM IS FREE PEOPLE!!! It's about time we showed these fuckers that we CHOOSE to use their 'service' and now.....I'm done....

6/3/2010 9:48 PM | # re: PayPal screws sellers by holding payments
FYI: Tried the .01 refund just to see if it would work....because I'm nosy....It doesn't...I guess Michael informed his Ebay/PayPal buddies and they fixed that glitch right up for us! Eat shit! I'm so tired of your GOD complex....you will fail....this is what happens to bullshit companies like yours....legitimate you are not! Theives....oh that you are!!
6/5/2010 2:06 PM | # re: PayPal screws sellers by holding payments
I just asked my buyer to leave me a positive feedback for the auction. She did, and now I get my 77$. If this happens to you and your dealing with a credible buyer, just ask them to leave you a poistive feedback for the auction and payPal cant hold your earned cash.
6/11/2010 2:23 PM | # re: PayPal screws sellers by holding payments
Does the Hold payment thing only work on the ebay stuff? Or does it happen to even out side of ebay stuff? Can someone please give me an answer to that question.
6/15/2010 4:40 AM | # re: PayPal screws sellers by holding payments
I was selling selling on there alot last 4 months..and b4 was a seller on clist. Well i tried ebay n the fees stink and so do all the fees from paypal but i was making money so kept it up until yesterday.When one person out of HUNDREDS complained and now ebay/paypal held payment after payment. I sold 70 items in one week and it was all misc.starting at 99 cent auctions. But one complaint and holding ALL my payments. I figured out quick it was not worth me sending my stuff so they could lie or scam me and i am out my item and my time and money.I cancelled all my other auctions bid on and also called paypal and told them to refund everyone who's money was held because I am NOT sending out hundred dollars in shipping on stuff i sold for pennies if not using the buyers money. Since they protect the buyer only and not the seller going back to craigslist. Never had a problem or a fee on there.. Comparing both..Craigslist is better
6/15/2010 8:11 AM | # re: PayPal screws sellers by holding payments
Oh btw .. i don't even know how its legal for them to hold shipping costs.. isn't that the purpose of getting them. TO SHIP the item and you don't pay for it. people treat you how you let them and most people are cattle and just roll with it so it won't change.
6/18/2010 7:42 PM | # re: PayPal screws sellers by holding payments
OK so I am unemployed and decided to start selling off some things (as I've been unable to find a job since being laid off at the end of December 2009). I listed several high dollar items (Bose Surround and electronic keyboard). The Bose item fetched $415 with a $49.99 shipping fee (I used another listing to get the shipping costs but ended up taking it in the shorts in the process of packing/shipping). The next item was sold for $155. All those funds, plus shipping are now being held by PayPal. I tried the .01cent refund for one of the transactions and the trick does not work (as stated by someone above.) Both these transactions happened just this week. The buyers paid immediately and I shipped once they'd paid. One of the items has arrived and was signed for.

I'm hoping and praying (and I'm not necessarily religious) that I'm not one of those who gets screwed out of the money. My animals need vaccinations and I need to pay my house payment. This would totally hurt me. I did what one poster suggested and made email contact via Ebay (the buyer is a big seller on Ebay) thanking them for the purchase/prompt payment and asked that they leave positive feedback. I most certainly hope this works but with all the comments above and on other sites has me very scared that I just shipped off some freebies to complete strangers. I absolutely cannot afford to just blow money like this if I don't get paid in the end. ESPECIALLY with the freakin' fees and %'s of final prices. So ridiculous!

This is what I wanted to post on Facebook but it was too long. Had to share:

It's interesting. I could very well get hosed in the most violent of ways by Ebay/PayPal. They hold onto funds for 21 days all while forcing you to ship a product (and give no access to funds paid to your account). So a customer can receive a shipment, make a claim, get a full refund and keep your product and there isn't a darned thing you can do about it. So you get charged all sorts of fees, pay to ship it (always more expensive than you think), essentially GIVE a valuable item to a complete stranger and have absoloutly no recourse. Awesome eh?
6/18/2010 8:25 PM | # re: PayPal screws sellers by holding payments
Btw, I've just deleted the 3 listings I had on Ebay (all with 1 or 2 days left). I'm not falling for it again. PayPal is currently holding on to over $600 and I apparently owe Ebay $90 (shocked me to be honest until I figured out that it's their skim off the top and take 8% deal.) I can understand that they need to have a profitable business but it appears to have gotten pretty ridiculous. Thanks to all who posted their stories! You've hopefully saved me some heartache.
6/23/2010 8:58 PM | # re: PayPal screws sellers by holding payments
y'all want to have your cake and eat it too.
choose one.

A) predictable, reliable transactions for a fee
B) unpredictable, unreliable transactions for free

go sell some shit on the street
6/24/2010 1:34 AM | # re: PayPal screws sellers by holding payments
FAT BEN MADE POOP!!!!!!!!!!!!!!!!!!!!!!!!!!!
6/25/2010 12:22 PM | # re: PayPal screws sellers by holding payments
I'm an eBay seller looking for a way to get this payment hold permanently lifted from my account. Up until 2 weeks ago I had never had any problems with PayPal holding my funds then I went on vacation and my sales dropped significantly. I returned from vacation to find they were now holding payments on every single item I sell and it's killing me! I can't use the money from the items I sell to buy new inventory or anything else and this is detrimental to my business. Does anyone know if PayPal will eventually stop holding my payments? Has anyone had a payment hold lifted? If so can you tell me how?
7/3/2010 7:31 PM | # re: PayPal screws sellers by holding payments

THAT IS ILLEGAL!!!!!!!!!!!
7/9/2010 2:00 PM | # re: PayPal screws sellers by holding payments
wasnt paypal started by ebay ?
7/11/2010 6:31 PM | # re: PayPal screws sellers by holding payments
Ebay is only still afloat from its initial momentum and one day it will fall out of the sky like a bag of shit.

If you insist on using ebay accept local pickup only and payment by cash. You might lose alot of customers who can't bid on an item because of location but mention in your listing why you don't ship and maybe a potential repeat buyer might trust you enough to send a cheque.
7/16/2010 3:46 PM | # re: PayPal screws sellers by holding payments
I recently sold my ex husbands breitling watch, it was a genuine item but was missing the box, it sold for quite a bit below the value but doing the right thing I honoured the sale, sent the item special delivery, got reply from the buyer saying many thanks for the item, I started spending from my paypal account, then one day the account was frozen and I was in negative balance due to me spending, I contacted paypal to be told the buyer had claimed that the item was a fake, I sent in the copy of the receipt for the item and a copy of the serial number for this as well that I had kept, to eventually be told that the buyer had had a check done and it was confirmed that it was fake, but paypal would not let me see this letter or even get it checked myself, they then sent me an email stating that they had instructed the buyer to destroy the watch and that they would be refunding him his money, well tough as he only got half back, but he would not produce proof that he had destroyed the item, my solicitor wrote to them and was told to get a court order to see the letter, obviously this was going to cost me many thousands far more than the watch was worth, so to this day I use ebay but pay by credit card at the bank I sell via the other auction site and have never had any problems, never again will I use paypal, oh and payback to ebay came when we moved and sold all our goods through them with all payments made direct to our credit card terminal or into my bank, I then refused to pay my fees to ebay, as they are part of paypal, some £900 worth, I opened another account with maiden name and new email, and as yet they have never written to me, but then being abroad now might have something to do with that, one up to me, got my moneys worth in the end
7/18/2010 6:23 AM | # re: PayPal screws sellers by holding payments
Fking Scammers !! That is wat paypal is.

Paypal makes FAKE claims to the seller that buyer doesnt get the item or the item was destroyed & they block the account keeping all the money

8/2/2010 8:39 PM | # re: PayPal screws sellers by holding payments
This is the first I heard about this. I am selling a painting on e-bay through a friend and will tell him not to ship without available funds. Better yet I will request a money order or certified funds overnighted.
8/9/2010 1:06 PM | # re: PayPal screws sellers by holding payments
Hey Josh,
Do you work for E-bay and Paypal? What ever happened to customer loyalty? I have been a e-bay user since 2001 and Paypal since 2005 and they have screwed me over to and I will never use them again. Shame on you e-bay and paypal
8/10/2010 6:47 PM | # re: PayPal screws sellers by holding payments
Last year this happened to me and the buyer TAUNTED me by email saying how they had my item and didn't pay for it properly. I told Paypal and they told me that it wasn't their problem. I had to go all the way to the Financial Ombudsman to get my money back. They said it was a 'good will' gesture to righ their wrongs. They keep the money to gain interest, it's nothing to do with safety because they always side with the buyer.

I sell on eBay sometimes as Craigslist is crap in the UK, but I wait until the 21 days are over before I ship anything. Also if you were to read the eBay terms and conditions regarding shipping it says the items wll be shipped once the PAYMENT HAS CLEARED. If it's pending it hasn't cleared and therefore by their rules you don't have to ship anything, if my customers are upset over it I refer them to Paypal.
8/11/2010 12:16 PM | # re: PayPal screws sellers by holding payments

The problem with that is, whether you are technically right or not, ebay buyers will leave you negative feedback (or maybe you are just lucky and they won't). That is interesting though, because until I heard your story- even though this stupid hold thing makes me mad, I still have always felt safe shipping because paypal specifically lists what you are covered/not covered for, so I've always assumed if the buyer receives the item and there is some sort of problem later, they will still give me my money. If that's not the case, then there would be some serious problems...

One thing I always do though, is to ship with tracking/sig confirmation, and immediately when the tracking number shows delivered, I email or call and get them to release the funds, before the buyer has any time to play and games. It's worked 100% of the time so far- money has been released immediately. Also, for those of us where this is only ebay related- once you have 100+ feedback, they don't do the hold any more anyway (unless you've had claims against you in the past).

Let's be honest with ourselves- people saying there are better alternatives, to use craigslist, and that the ebay "ship is sinking"... no..not really. Ebay has the largest user base by far of any auction site worldwide, and makes it dead simple to sell your stuff at a potentially higher price, and paypal makes receving the payment for it simple and quick as well. They are services that increase potential revenue and productivity- that's why they get to charge fees etc. You CAN go somewhere else, you just lose potential buyers and things aren't as easy. I may not like all of ebay/paypal's policies, but facts are facts. If I lived in japan and only wanted to ship there...maybe yahoo auction would rival it...but that's about it, haha.
8/11/2010 12:25 PM | # re: PayPal screws sellers by holding payments
"Ebay and paypal are both a big JOKE! I had this same problem. All their doing is introducing a whole new type of fraud onto ebay. Buyers can recieve the item, get their money back. Sellers get ripped off and ebay and paypal take a cut. Gee Thanks! "

Also- it's not that simple by any means. When paypal is holding your money, it's not like the buyer can just click a button and say "nevermind, i dont' want to make that payment anymore". The money has ALREADY been taken out of their account- they've been charged, it's not theirs anymore. They would have to file some sort of complaint and bring proof, just like you would have to if you want to make a complaint. Like I said above, all you have to do is prove that the item got delivered to the address they gave, and the money is instantly yours- there's nothing they can do. So even if they give a fake address or take the item, break it, and try to claim it was broken- the money is already in your account.

At that point it would become an issue of one side proving the other was at fault- and either side can try to scam the other as far as that goes...but the payment hold would have NO bearing on helping either side win or lose that... the other party now has the goods, and you have the money.
8/11/2010 2:27 PM | # re: PayPal screws sellers by holding payments
wake up peeps.. just because you haven't been screwed yet,doesn't mean you won't.. my account was frozen for a "random" check.. needed verification of my identity,or some shit..something that I have already done (twice) now.. all because I requested a debit card.. I call the support,and the guy on was not listening to me @ all.. he was all "you need to do this,and this",and I'm like "listen! I already have..twice! wtf?" after few minutes..I told them it was bullshit,and they'd never get another fee from me.. enjoy the $60 frozen.. they got 10 times that in fees from me every month.. never again.. JUST BAD BUSINESS!

please don't think anything was fishy either.. my ebay account has 100% positive feedback well over 200 sales..never a dispute,or any issues..locked account. twice now.. sucks.. done! no more PP.
8/18/2010 2:21 PM | # re: PayPal screws sellers by holding payments
wtf josh s , im sure uve never sold anything on ebay! Fuck ebay and fuck paypal, they are money hungry nazis!
8/27/2010 8:56 AM | # re: PayPal screws sellers by holding payments
I tried the refunding .01 cent thing and it does not work. They release the funds, send the penny back and replace the hold.
8/27/2010 10:51 AM | # re: PayPal screws sellers by holding payments
The partial refund tactic no longer works. I tried it. The partial and full refund options do not appear in any of the transactions whose funds are being held for review. How about if all of us individually contact the state attorney generals' offices of California and your home state with a complaint? I'm pretty sure that this practice is illegal. The problem with PayPal, from what I understand, is that it is NOT a bank. Banking rules and regs don't actually apply to them. If anybody is an expert on this issue and NOT an employee of PayPal or Ebay I'm sure we would like to hear from them. My suggestion to everyone: keep selling on eBay. Offer an electronic payment option that is NOT PayPal. EBay and PayPal will get the message then.
8/29/2010 6:34 PM | # re: PayPal screws sellers by holding payments
Get real, guys. Paypal is not looking to protect the buyer, nor are they looking to protect the seller. They are looking out for themselves. In these types of transactions, Paypal only stands to lose money. So that is what they are going to protect. They really don't care about the item in the transaction, high-risk or not. Let's say a buyer pays for an item with an instant payment and there is no hold. The seller transfers the money to their bank account and ships the item. Item is received and positive feedback is left... all seems to be well. Until about a week later when that instant transfer is returned for whatever reason (NSF, closed account, stop-payment, etc), now Paypal is suddenly out the money - not the buyer nor the seller. Same situation for CC chargebacks, fraudulent payments, etc.

We also know how paypal seems to side with the buyer nine time out of ten - so if a claim is filed and you have already transfered the money... once again Paypal is out the money.

It may appear that Paypal/Ebay are trying to protect the buyer - but they aren't. They are trying to protect their own profits, and going over board to capitalize on that profit. If their purpose was to protect the buyer, the money would be on hold for a reasonable amount of time, with the shipping costs released immediately. Three weeks is absurd, and I've read several cases where the hold did not come off automatically and stuck around for another week. An appropriate amount of time would be 3-5 days. The ONLY reason it is longer is in case a chargeback is filed, it turns out to be fraud or an instant payment is returned and none of the alternative payment methods work (I believe they try the bank account more than once, then try to the back up card for several days before giving up).

The truth is that in cases of legitimate non-receipt and damage during shipment - the buyer would contact USPS or UPS - not the seller. It is covered during shipment by the carrier, and if damage is actually done or the package is lost in transit - these companies will cover their butts and the cost. However, since most people know that often even WITH TRACKING, paypal will side with the buyer, many people make these claims dishonestly, know full-well that paypal will side with them, and going UPS or USPS will get them no money and likely into legal trouble.

Paypal isn't giving any more power to the buyer than they already had in the past - they're just transferring the burden from paypal to the seller. They couldn't care less if the buyer is out money or the seller is out an item - they only care about collecting their fee and making sure they don't lose out in a scam or reversal situation.
9/1/2010 2:12 AM | # re: PayPal screws sellers by holding payments
paypal and ebay are interlinked- neither one gives a fuck! i cant get any profit because of being double charged by technically the same main company- posting fees, sold fees, transaction fee, holding fees, transfering fees- I end up owing them! im going back to selling my used drawers on craiglist- ebay can eat shit!!!
9/1/2010 2:58 PM | # re: PayPal screws sellers by holding payments
I realize not everyone can do this because it depends on what kind of items you sell, but I left Ebay and PayPal completely and have never looked back. I use my own site, Amazon, etc. and my own merchant account. After PayPal screwed me the first time, I wanted to leave but was afraid I would never be able to make any money again. I stayed with them, only for them to screw me a second time. I took the plunge and left. It feels great! If only everyone else would do the same, then the Ebay/PayPal machine would be begging us to come back.
9/25/2010 2:36 AM | # re: PayPal screws sellers by holding payments
i have just had the same problem i have sold my two childrens phones on ebay the funds are in my paypal account but the same message as come up that they are holding my funds for 21 days which i do not agree with if i had known this i would have not sold them on ebay i have never had this problem before and i dont think it is fare as the people that have bought them have been told in the right up on the phones that one of them is not working and they are buying it not working now whats to say that they now decide wen they receive it that they are not happy with it even tho my ebay states no refunds or returns and they are buying it knowing it is not working and stated what is wrong with it aswell
9/28/2010 4:43 PM | # re: PayPal screws sellers by holding payments
Paypal sucks, your story just happened to me and I don't have any negative feedback at all on ebay, I am completely confused. I am done selling on ebay for awhile and plan to cancel my paypal account. If you can't give explanations, well then you can't have my business.
10/1/2010 12:38 PM | # re: PayPal screws sellers by holding payments
this is ridiculous... and uncalled for. i love how when you go to the webpage that explains WHY your funds are being held, it totally contradicts what its saying. "we are holding it for YOUR protection... to make sure the buyer has the money." okay wtf... thats what credit card authorization is. and then, basically changes its mind back and forth saying that theyre making sure im the one being legit? hahaha i dont see hoooow this makes sense. no more pay pal use after this for me. thanks for holding my money for some bs reason that makes no sense at all, but yes i will make sure to send this item anyway and hope that im not out goods in 3 weeks.
10/6/2010 9:16 PM | # re: PayPal screws sellers by holding payments
Well, I just made a purchase from a seller on eBay. My problem with all this, I am an honest shopper. Case in point, this one. I made my bid and less than five minutes after I was declared the winner I sent payment. At this point, I have fulfilled my buying obligation. However, buyers withhold leaving feedback. I know it has been said that sellers cannot leave negative feedback, but if I earned positive feedback why isn't it put up at that time. The item I bid on was a DVD software and package listed as "like new out of the wrapping" but in reality it had been on a surface where it looked like a soda had been spilled on it making it sticky. The inner case was even stuck inside. It took several minutes of cleaning to get it acceptable, something the seller should have done before listing it as like new out of the wrapper. Now, to get his funds released quicker, he wants me to leave feedback but has not left feedback I already earned. Just for info, when a seller posts feedback I earned, even before I received the product, I make time to do the same upon receipt of them item as listed.
10/7/2010 9:13 AM | # re: PayPal screws sellers by holding payments
Ebay has been holding $10,000-yes $10k for over a year. I am a S Corp in Ca and have been in business over 8 years. They claim they couldn't prove my identity-even after I sent invoices, my CADL, utility bills. They are cooking their books! I am told that Paypal, Amazon- all these giants are not regulated by FDIC. I even called the District Attorney in Santa Clara County and they told me "Do you know ho much Tax money Ebay brings into our county"-which of course means he was too corrupt to do anything about the small business owner or any citizen about it!!!!!!!!Now ebay has said tehy deposited the money this past February. Guess what no money in our account! They told me they send it to the Sate of Ca unclaimed property division. Guess what the sate doesn't have it! Ebay wont respond to emails as to any kind of transaction number, of course. they keep the money! PROTEST_ TWITTER ALL THESE EMAILS AND PUT ALL THES EMAIS ON FACEBOOK AND ASK YOUR FRIENDS TO BOYCOTT THESE CORRUPT BUSINESSES!!!!I already have tshirts and have painted my store windows and tell all the college students I work with not to shop with these companies.
10/17/2010 11:48 AM | # re: PayPal screws sellers by holding payments
Imagine its all just a money grab so that Paypal/ Ebay can make additional interest on the funds.

I wont front shipping costs or wait to be paid.

Craigslist is the new ebay
10/18/2010 10:30 PM | # re: PayPal screws sellers by holding payments
Paypal has been holding over $500 of MY money for several months now. All items were shipped and received and positive feedback was given by all buyers. Still, I can not get any answers from paypal regarding their reasoning behind basically stealing my money. YES, they are a fraud and should be shut down!
10/27/2010 12:25 PM | # re: PayPal screws sellers by holding payments
well actually everyone needs to start complaining to paypal or ebay it's ridiculous for them to hold your money regardless if your a new seller or not the reason people are selling is to make money not have it sit for 21 days. i've been an ebay and paypal account holder for 5 years and they are still holding over $300 that i've sold my rating is at 100% and i have never had any issues as a seller yet they are still holding my money. i'm thinking of canceling my paypal and ebay account until they change their stupid policy!
11/12/2010 9:32 PM | # re: PayPal screws sellers by holding payments
Everyone taking the time to read these articles, please take note! I am sure that they are thousands (probably 10's of thousands) of these horror stories. PayPal has now successfully bankrupted one business for me and have now came VERY close to doing it again. The first time they held $24,000.00+ (over 30 customers monies). This was promptly after they had already placed a limit of $10,000.00 minimum holding funds for potential problems that may arise in the future (they make sure that problems will arise!!). Long story short, they requested a ton of information, IE. where did you purchase, who is your attorney, who do you ship with etc.), which we provided within 24 hours. PayPal then said that they would let us know the status once the information was reviewed and in the interim we should ship as many items as possible.... Keep in mind that we were a 4 MAN business who needed these funds to ship and continue operating. After 3 grueling weeks we finally got a PP Representative on the phone who "broke the bad news". They decided after 7 years and hundreds of thousands in transactions that they would have to close our account and no longer allow us to use them as a payment method on eBay. During this heart-wrenching news we began getting NEGATIVE Feedbacks from eBay customer because we basically ran out of "our own money" to ship the big ticket items? This eventually set us back and out with no outlet to sale and no method to receive payments..... Well we finally took care of the customers and SCRAPED BY for over 6 months and were able to get started again! What next? You guessed it! Same old Mess only this time we intentionally left ALL of the money in our PayPal account until the order had been shipped out and received in good condition. That's right, this back-fired! They held over $28,000.00 and finally released all but???? That's right $10,000.00!!!! I would love to see what those "suits" sitting up headquarters are raking in off of all the INTEREST from OUR MONEY?? This is criminal and hopefully SOONER than LATER the Government will step in and control these arrogant SOB's so the "little man" can still have a shot. Thanks for reading my vent, good night!
11/13/2010 2:44 PM | # re: PayPal screws sellers by holding payments
I'm another number for them, done everything right! No money, so know I'm worse than the very beginning, I sell things to pay rent, now what , no items, no money for rent! This is not working for me. You are right I will start selling in Craigslist, it might be less money but then I will have my money as should be,plus no mailing!. I'm frustrated!
11/20/2010 9:43 AM | # re: PayPal screws sellers by holding payments
LOL, people have not figured it out yet. Paypal will get you at every turn so be smart. If they hold your funds for 21 days, not a problem, give the person a refund, go onto Ebay cancel the transaction and relist the item. Make sure you emaill the buyer to let them know the funds are being held, if they really want the item they will pay you in a different manor , if not they don't care. Relist item, and if paypal hold the funds redo it all over again until they stop holding the funds. You don't have to ship anything unless its paid for, thats just plain common sense. I started selling on Ebay in 2004 one issue after anohter with Paypal. in 2005 opened a new account sold 1000s of items made $40,000 and as soon as things were running smooth Paypal freezes the account, ask for invoices, ID, ss# etc etc. I supplied them with everything they wanted and they told me they did not want to do business with me and froze my $2000 for 6 monnths. Apparently they think I'm related or associated with someone that did something wrong, but they will never tell what or who. I had no refunds, 99.9% feedback, Power Seller the works, never had a problem with customers. Well I got them back. Opened 15 Paypal accounts, 10 Ebay accounts and started selling again. When they held funds or restricted my accont I got my money immediately and kelp selling. I'm still selling today, never link my Paypal with my ebay. constantly move funds between the 14 remaining Paypal accounts to make sure I don't get screwed. Here's a secret. Paypal links your paypal accounts by IP address, Mailing Address and Passwords. Make sure you change your IP frequently (easy to do) make sure you use differnt address on each account and make sure you use different passwords. I've never burned a customer and only sell small legitimate items and have hundreds of repeat customers. I'm a honest seller and always do the right thing for customers. Ebay and Paypal don't care how honest you are, how great your products or how much money you bring in.
11/22/2010 11:05 AM | # re: PayPal screws sellers by holding payments
I feel your pain. The same thing just happened to me after I had not used the site for years. I was in shock to learn of this new feature. I sold a bunch of posters and some of the transaction funds were available right away, while others were being held. Now they claim that they hold funds in case there is a problem with the transaction and you have to issue a refund. BUT the crazy part about that is that YOU CAN'T EVEN USE HELD FUNDS TO ISSUE A REFUND! Yes, I tried to issue a refund for one of the posters that had some scratches, but they wouldn't let me dip into the held funds to issue that refund. So basically, PAYPAL ARE LIARS!

Those funds aren't available for transfer or a refund...they aren't available for anything other than what PayPay chooses to do with that money at that time. They obviously are doing something shady with that money that they aren't telling us. I've heard that they are using those held funds to earn interest. Someone needs to investigate these a*holes and bring them down!

Btw, this is why our country is f*ed up. Corporate greed has trumped consumer and worker rights for decades. Now we are all slaves to them. Thanks, corporate America.
11/23/2010 8:35 AM | # re: PayPal screws sellers by holding payments
Notice, paypal takes their fee right away. eBay sent me the invoice, they are going to withdraw their fee any time now, I payed for the shipping... everybody got their money, but my money are still on hold :(

I have 20 feedbacks, my score is 100%, the item i sold is dance costume, its not a high risk item. this is ridiculous, I wish we could do something.
by the way .01 refund thing doesn't work
11/27/2010 9:00 PM | # re: PayPal screws sellers by holding payments
Same old story it seems. A new seller gets screwed by Paypal. 3 ebay sales and cannot ship to my poor customers as Paypal has held their money. Looking at the list of posts here it seems to be in Paypals INTEREST!!
12/11/2010 4:55 PM | # re: PayPal screws sellers by holding payments
Heres something for you! About a month ago I opened an Ally bank account "only to use for Paypal". Twice now someone has used my "secure" credit card info to buy train tickets in Paris! I know someone from PP did this! What a joke! Money was returned by mastercard.
Payment holds is nothing new for PP! They are "usually" released after 3 days of confirmed delivery! I always call in on the third day for big ticket items! They always take the holds right off! For some reason their system does not remove them automaticly. You should not take it personal! Its the business! Everyone has to go through it! New sellers get hit the worst! If you have more then one account, like me (7 so far), you can have the holds removed from your new accounts! A piece of advise, dont spend your entire life building up one account when you can have 10! It only takes one idiot to ruin it! I use one to buy and one to sell! Once I buy 100 things on a new account, I will then use that one to sell on and start a new buy account! This way, you can have something to fall back on! The feedback system is a big joke! WORTHLESS all the way around! Another option I highly recommend!!!!!! USE MONEYBOOKERS! They dont hold any funds and they are a few cents cheaper! There are several other companies that you can use! I like giving people payment options! Some people hate Pee-Pee just as much as I do! I had a chargeback once with PP and they left me out to dry! They took the loss not me( I had already removed my bank info prior)! Thats another good point! Remove your bank info from PP when you are not using it! They cant charge your bank if it is no longer linked! I wish someone would start an auction site "FOR THE PEOPLE"!
1/2/2011 10:30 AM | # re: PayPal screws sellers by holding payments
Something should be done about these two companies seriously. I had a company that sold on Ebay UK and everything was fine until 2008/9. I think that is when the bias was placed on protecting buyers and not giving a f**K about sellers.
They held over £4,000 UK sterling of our money for 180 days. We sold daily and only transferred money to our bank fornitghly as we paid suppliers from our Paypal account too.

Now to give you a simple explination of what that done to us, firstly, we couldn't use this business Paypal account anymore to pay for the shipment of goods prior to it being 'locked'. Hence receiving bad feeback. Not being able to pay suppliers excalated our problems 10 fold! This was OUR money for goods we had mostly shipped out!

WTF!!! Our business ended up in liquidation. The Paypal/Ebay experience was a significant contributing factor why we eventually lost control.

So, conclusion time, if you sell regularly on Ebay and use Paypal - withdraw funds immediately!
1/2/2011 11:08 AM | # re: PayPal screws sellers by holding payments
Just a quick follow on to my message. I am so frustrated and annoyed with the experience that I am setting a website up soon. Why? Well, if we get at least 500 members experiences, in detail, I am extremely good friends with a local Lord who saw what it done to me. He has assured me that if 500+ complaints are raised from UK, yes, UK only (sorry), he will bring it up at a '3-line' meeting.

So, please email complaints to me at charleyblue at mail dot com and I will keep you updated. Please be specific with your complaints please. I am determined to get them to answer to a higher authority than I am.
1/3/2011 4:31 PM | # re: PayPal screws sellers by holding payments
These suckers have been holding my payments forever. The good thing is if NAG THE HELL out of the buyer, there's a chance that it can be released prior to the 21 days. But how many people really think oh, let me drop doing the dishes to leave ebay feedback! Not too many I assure you :\ So I wind up holding onto thin air, having spent my own cash in shipping and for what?

It also sucks that if you buy virtual wares from anyone and you don't receive it, but I guess I get that.

Either way paypal and ebay just totally ruin the good taste in my mouth. I sell an item for 13.00, cost 2.00 to ship, and then ebay takes 2.25 from me? I bought the item for 6. How much profit did I make? 2.75

I'm not using ebay anymore :\ or paypal for that matter because THEY ALSO take about .50 to a DOLLAR.
1/5/2011 8:14 AM | # re: PayPal screws sellers by holding payments
I usually don't write to blogs, but I thought I would this time, as I am seeing posts as recent as yesterday.

I have fell victim to funds being held by paypal, after selling an item on eBay. I don't sell much, at all, so I want to be clear about that. Last month I sold a Blackberry Curve 8350i for $152. The payment was held. 2 days later, the buyer left positive feedback, and paypal released my funds IMMEDIATELY after positive feedback was posted. No problems.

Just 2 days ago, I sold a Motorola Clutch i465 for $100 even. I logged in to ebay to print a label, expecting to have to pay for the label, and then paypal release the few dollars to compensate for the cost of the label (this is common practice for paypal). Instead, all of my funds were available. They didn't hold anything. Mind you it was listed in Cell Phones and Smartphones category. I only have 10 detailed feedbacks as a seller, and it was for $100.

Not sure what the rhyme or reason is behind their policies, but they certainly aren't consistent.

Im not complaining, or saying that paypal doesn't screw up, because I'll be honest, I think paypal and ebay are RIP OFFS. They are making a killing....I just wanted to share my recent experience.
1/14/2011 12:00 PM | # re: PayPal screws sellers by holding payments
Paypal is holding $766 of mine hostage, for what I do
not know.

The main problem is they are monopolizing this arena.

They have class action lawsuits for doing this very
thing and here we still are. Why should they stop
controlling millions of people's lives? Who will
stop them?

We need a good option and there is not many.
1/18/2011 3:02 PM | # re: PayPal screws sellers by holding payments
I just read nearly every single post. I am irate with these business practices. I sold a Canon SLR camera for $900 a month ago and since it was my first sale in a couple years, I wasn't too upset with the payment hold. However, the buyer wasn't a frequent ebayer. She did not leave me feedback even after the item was delivered. I ended up waiting 24 days until I called PayPal and they released the funds. I thought that was the last time I'd have to deal with that. I thought wrong.

Last week I sold a saxophone I used when I was in junior high band. I described the item perfectly and my buyer used the "Buy it Now" option for $350. I also charged $25 for shipping. The payment was immediate. I then went to print a shipping label on PayPal and had the exact same problem as the original poster. I couldn't use the money that I CHARGED the buyer for shipping. I called PayPal and explained my situation. The guy read me exactly what was on my screen. I told him I understand the policy. I said I don't have the money to pay for shipping, and a tracking number is one of the requirements to get the money released. So I was stuck. He didn't do anything to help me whatsoever. I asked if he could just release the hold or even just the shipping cost amount, and he said he tried to do a "Courtesy Release" but it wouldn't work.

So, I ended up having to pay my bank $17 to overdraft with my checking account to pay for a shipping label on the UPS website. This is ridiculous.

I'm a college student. Right now, selling is my only income. I planned to use that money for a planned trip to Dallas. Looks like it might not be happening.

PayPal has two of my bank account numbers, my social security number, and all of my personal information. I have trusted them. They can't trust me. This is bogus.
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1/28/2011 4:16 PM | # re: PayPal screws sellers by holding payments
I have been told that a group of people are going to head office to view there opions in Ireland with only the tatics of starting a paypal "Northern Rock" deal they have my money and will not give it back or so my my banker dad say's.Or are other banks just fed up with paypal taking all the cream. I have the details for the rally and they have a couple of buses booked if and anybody would like a crackin ood day!!!!!!!!!
2/17/2011 1:25 PM | # re: PayPal screws sellers by holding payments
They are holding my funs as we speak as well. I had to shell $100 out of my pocket (which really hurt) to pay to ship my item. Now I'm waiting for "my" money to be released and I'm out $100 cash until then. It's bullsh#t. Millions of dollars rolling through paypal everyday. They put holds on half of that for a few weeks and how much INTEREST has been made while it sits in an account??????? there's your reason people.
3/18/2011 12:25 PM | # re: PayPal screws sellers by holding payments
My 85.80 is being held for 15 days now I already gave the item to the buyer. I have to eat this just wrong.
3/29/2011 6:20 AM | # re: PayPal screws sellers by holding payments
Hi all

After reading this post because I was thinking about selling using paypal.
So I decided to contact paypal by phone today and wow did I get my eyes opened the first guy I was talking to could not care less about any of the questions and to me he would foward me to customer service.

This in it's self turned out to be a nightmare as I was bounced around and every time I talked to someone they just did not care and all they wanted to do was get me out of there life.

Well so be it if the customer service team cant be assed talking to you what chance do you have of getting a issue resolved.

I use paypal and ebay for my private and have sold over 3000.00 pounds of goods in the last 2 months and every penny of it has been held buy there 21 day policy.

But in the end I got all my money but tbh I feel lucky because some ppl did leave feedback and some did not. You get a feeling when you deal with someone if they are legit or not and I feel for sure that at least 2 of my items where bought by scammers. one item is still in post because it needs signed for and another cant be delivered, I contacted both buyers to see what is going on. and one was asking me to reship to a different address and the other I got no reply.

If the system was operating in a better way I would have contacted paypal and ebay about my feeling but because I know it would be know who was going to end up taking the hit I did not bother and waited till the 30 days had passed before I could relax.This alone scarred me and thinking about how i would feel all the time worrying about thousands of pounds in paypal every month would prob leave me a basket case.

So do I think that all the things ebay and paypal put in place work? NO.
All they do is restrict free trade and leave a negative impact on anyone who uses them.

I will not be using paypal for my business meaning that it will slow down my sales at the start but at least I will know that when I get money it is mine.
3/29/2011 6:30 AM | # re: PayPal screws sellers by holding payments
Also I read above about sellers not being able to leave negative feedback what I do is put my reply in positive feed back letting ppl know just what the buyer is and in a few cases that has let to the buyer closing there account.
As most ppl now always read feed back before dealing with a person.
4/9/2011 2:37 PM | # re: PayPal screws sellers by holding payments
i sold something on classified ads and the buyer said that i need to send 100 dollars to her son to PAY for the shipment. this is stupid because if i send 100 bucks then paypal wil release the funds. this is bull
4/13/2011 6:46 AM | # re: PayPal screws sellers by holding payments


5/13/2011 7:26 AM | # re: PayPal screws sellers by holding payments
I recently sold quite a few of my loved items as I'm out of a job.. 'great' I thought, being pleased to have some money for a couple of weeks. I've got the payment hold now too, despite every transaction going smoothly and every parcel recorded and tracked.. just because some stupid buyers don't leave feedback. It's pathetic.
7/25/2011 2:49 PM | # re: PayPal screws sellers by holding payments
are you kidding me with all you for paypal holding money.what a load of BS.i guess thats what makes this world go round-even the idiots.they have obviously found a loop hole to come up with a scam to hold moneys as lond as possibe from many x 1,000s of account holders.that way money stays as long as possible into a said account acruing interest.its not about one transaction,the more money they can hijack for a said period of time the more interest they stand to make.so over a year continuous hijacking means a constant amount of money in there account.yes they eventually give you the money but after they have hijacked other accounts to continue the balance.dont listen to all that other crap with software and blah blah blah.is that some paypal employee trying to throw you off the main reason???
7/27/2011 12:10 PM | # re: PayPal screws sellers by holding payments
I been selling for years and this just happened to me today. I'm shocked to find out that paypal has been doing this for at least 2 years. Paypal rep tells me its because I got a negative feedback last month. But all the items I sold since there was no problem till now. I sold some shoes for $80...not even $100 and I get my payment held. But the week before that I sold a pair for $185 without my payment being held. What kind of stupidity is this? And on top of that I got negative feedback because I told a buyer to stop harassing me in my email over somethin I had no control over. His item was shipped with confirmation and delivered. But he said I was rude and gave me a negative. What's the world coming to. I mean if they're going to do this they can at least refrain from holding the shilling cost. Some sellers are flat broke trying to make some money and these guys want to protect the buyers. But we the sellers are the ones who actually pay paypal fees. Buyers don't pay fees to send payments...but they get all the protection while the ones who pay get screwed. Not to mention they are throwing 3 days on tops of a process that already takes over a week. 7 day auction plus 3 days allowed for the buyer to pay. Plus perhaps 1 day delay if the post office is closed already. Then add 3+ days for it to be shipped and delivered...if its delivered on time (person mite not even be home). Then add the 3 day waiting period paypal asks for after its been delivered. If all this was the case which is common and typical from my experience the process takes 17+ days before you see a penny and you no longer even have the item you sold. No justice from paypal or eBay for that matter. It's not about protecting the customer...its about them losing money!!!
7/30/2011 11:33 PM | # re: PayPal screws sellers by holding payments
I just received my first experience with "we're holding your money for 21 days." I have never seen anything so rediculous in my life. First of all, I have 100% positive feedback and the only time I had a buyer give negative feedback, it was from a foreign country and I clearly stated I didn't ship internationally. Yet, he gave me negatives and Ebay didn't remove that. After years, it went away completely somehow. So, why now is my money being held? Why does PayPal insert a big brother mentality. I'd rather have a personal check now because I don't ship until it clears the bank and that's less than 21 days. After I finish with the items I have listed, I'm going to find another way to sell them. There are swapfests and what's hard about taking a check and holding it. PayPal doesn't need to be policing buyers and sellers when both are certified with good records. Paypal just made up conditions like "consumer electronics" as a trigger and excuse to hold money. I think this is the most annoying thing I've ever had happen. There must be another way and I can assure you that I'll find it. The sad thing is, they just annoyed and alienated a perfectly good customer for NO reason but that their software says do it. Where's the logic in that (pun intended). I won't get abusive here but I really feel like it. I'm sadly disappointed. Good bye Ebay. Good by PayPal. Hello QRZ.com, hello Craigslist, hello a dozen other forums with swapmeets. I'll take personal checks, cashier's checks, and certified drafts. I will not be accepting PayPal. That will also go for my clients who conduct retail sales on via Amazon, UPubit, and Smashwords. We had offered Paypal to all our customers for well over a year now. I just don't understand why PayPal is blind to who they're upsetting with there arbitrary rules. They, at least, could have called me to discuss it and they would have found out that they are on the wrong side of this one.

Bill Glenn
7/31/2011 4:04 PM | # re: PayPal screws sellers by holding payments
Today I listed an item for sale. Because of the 21-day holds on money by Paypal, I decided to ask for personal checks or money orders instead since banks can clear buyer's check faster than Paypal's 21 day hold. ZAP !! Ebay stopped my listing saying I could not use those payment options!

My thoughts are these. I just listed the item and changed my deliver estimate from 1 business day to 20 business days. In the listing, I mentioned to buyers that I have no choice. Just as with any vendor, I will ship the item when I receive payment. Not a moment before. IT'S ALWAYS BEEN THIS WAY. I have simply got to find another forum to sell my stuff. They have no right to inject themselves into the role of police. I have 100% feedback and have NEVER had a problem. WHAT IN THE WORLD IS GOING ON? Are they so big now that the sheer number of problems they have with bad actors are driving their policy to penalize the whole world? I simply cannot believe the annoyance this has created. EBAY use to be fun and a good way to sell stuff. Fortunately, in the world of entrepaneurals, someone will take advantage of Paypal's onerous arbitrary policies and start up something better. No company is so big that it can't be out done by someone with a good business sense geared to customer service. I'm so mad I could bite nails.
8/7/2011 4:35 PM | # re: PayPal screws sellers by holding payments
Hello, I just had my first notice of this 21 day policy last night, and I am simply dismayed!! What struck me especially was that my "important message from paypal" was sent just as someone had bid on my auction of a "Russian art catalog" ...I somehow doubt this is just a coincidence!! I have a 100% positive feedback rating, with stellar feedback and detailed seller ratings. I have also been an e-bay member since 2000 and have 2 credit cards attached to my premier paypal account! I have never given them a reason to initiate this policy, and now I resent feeling the need to beg for prompt feedback from my customers in order to receive their funds. I view feedback as an option for the customer to provide if they feel like it or have the time, and I do NOT want to harangue them... this is NOT good customer service. I want to provide a hassle free experience! & I entirely agree that paypal is making a lot of money in interest with these escrow account....shame on them!!
8/13/2011 6:48 AM | # re: PayPal screws sellers by holding payments
I'm a manufacturer who's been with PayPal and eBay for 7.75 years and have 100% positive feedback and 5.0 seller rating. I have had no returns or disputes of any kind. All my customers are extremely happy with their product. My product sold for a mere $30 and is hand crafted from wood and metal. However, PayPal has figured that I'm a high risk seller and I 'MAY' decide to go bad. This is super ridiculous and I refuse to partake in their strong-arm tactics to commit grand larceny to many loyal patrons who are being screwed by the giants of online auctions. I am switching to Merchant Warehouse for my online payment processing provider. To hell with the 'mob rules' mentality of PayPal and eBay. When I get bullied, I fight back. I sure would like to get a class action lawsuit against them for unlawfully seizing funds that add up to millions of dollars of interest that should be their customers money, not theirs. They are actually stealing the interest I should be earning on my hard earned money. Since they feel they have a right to collect the interest on the money they seize, where will it stop. If we don't do something about it, they will eventually hold your money indefinitely or until they feel they have increased their bottom line to the max.
8/18/2011 2:07 AM | # re: PayPal screws sellers by holding payments
I have been using paypal for years with no problems...until now. I sold an outboard motor, stating that it has not been run in over a year. Buyer pays, receives the motor says the handle is bent and it doesnt run and files a claim " NOT AS DESCRIBED, DAMAGED" paypal locks my 390 dollars, even when I advised the buyer that I paid for insurance on the motor and he should have made a claim with the shipping company for the damage, he did not. And now I am out my motor and 400 bucks. Ther is NO PROTECTION for sellers from payapl.
8/19/2011 1:32 PM | # re: PayPal screws sellers by holding payments
To some all this up, Im done to PAYPAL SUCKS!!!!!!!!!!!!!!!!!!!!!
8/23/2011 1:23 PM | # re: PayPal screws sellers by holding payments
What makes me mad is, i send out packages and sometimes things do get broke, then the buyer puts in a claim, " not as described" so im at fault if it was broke in shipping, i have had people tell me the boxes they receive from postal looks like they went thru a hurricane, i pack in peanuts , bubble, and plaster all over the box fragile, i even put ins on items, and help people as much as i can and they still neg and pay pal and ebay let's them do this to the seller, i was on the ground floor when this started and the changes are terrible!! this holding monies sucks, im not selling like i use to and i know of so many people who have stopped sellling, all the fun is gone
8/23/2011 4:32 PM | # re: PayPal screws sellers by holding payments
I actually learned another loop hole to the 21 day hold. When selling an item put a 30 day handling time on it. It will still take 21 days to get your money released from Paypal but at least your not required to send the item out for at least 30 days. Most people dont read the handle time info but thats their problem. They have to abide by your auction guidelines once they purchase the item and if that means they have to wait 30 days until it ships then they do. You can always give an excuse to Paypal if need be. Say it is coming from a vendor in another country or you work 6 days a week during postal hours and wont have a day available possibly for 30 days, lol. What can they say?? Not a damn thing and they HAVE to give you your money after 21 days.
8/25/2011 4:32 AM | # re: PayPal screws sellers by holding payments
Paypal is EBAY owned. It's Ebays way of double dipping and taking your money. Fact is, they don't care about the seller or the buyer they just don't want it to cost them a headache, but it's ridiculous because as long as there is proof of shipment, they have no right to hold peoples money they may need for to . I hate eBay And paypal is a part of them.
8/27/2011 6:31 AM | # re: PayPal screws sellers by holding payments
I had not used ebay for a while, though had 100% seller feedback. I did not know or was updated in anyway about the payment holds. I listed thousands of collectables, in which I had some money to post some, and then I would rely on the paypal money hitting my bank also to post others etc.

What happened was I just sold a bunch of items and it's all on hold. We are talking items I sold for about £1-£2 each, hardly high value, or any risk of fraud. I have been a member of ebay since 2002 with zero negative feedback.

This company is getting worse and worse, wish there was an alternative, nowhere else do products sell as they have all the buyers. Joke of a company.
9/8/2011 11:20 AM | # re: PayPal screws sellers by holding payments
Wow! I am surprised by so many unfavorable comments. I have made many, many transactions through eBay and PayPal, as both seller and buyer, and not one time has there been anything resembling a problem. My items have covered a wide range, including some that might raise eyebrows as much as the word "Russian" in yours might have. For example, Cuban money, chemicals that could be used for questionable purposes beyond their normal uses, and politically charged merchandise.

I am sorry to hear so many of you have had problems, but to me both eBay and PayPal have been great. Whenever I have needed to contact customer service, the people to whom I talked were polite and professional, providing information or resolving any challenges during the conversation! Once I even found a Website glitch that eBay had not encountered before, and they worked through that with me, too, and followed up later to see how things were going.

Have I just been lucky? Or is there another force at work out there?
9/12/2011 12:47 AM | # re: PayPal screws sellers by holding payments
I have had the exact thing happen...TO ALL OF MY SALES!! I have been an honorable seller on ebay for a couple of years now and all of a sudden, my money from sales have been held hostage, INCLUDING THE MONEY THE BUYER PAID ME TO SHIP THE ITEM TO THEM!! I have requested a reason for this sudden change of heart from more than 20 different customer service reps only to find out that my items are either high risk(He-man is He-man), my category changed(toys are toys), my reputation is questionable(4.8 & 98.6 feedback from 550+ sales), the cost of the items vary too much(again, WHAT??) OR I am not shipping fast enough. This is BS!! I believe they are definately drawing interest of of my money while I am at risk of losing my electricity. All because the money I earned to pay my bills is not really mine until they decide I deserve it. I have rationalized that they have my best interest in mind... the buyers best interest in mind... I should ship faster... the list goes on and on. Then it occured to me that there isn't an answer to this that will make sense unless it involves money and a theif. That thief isn't me, I have jumped through their hoops, doubted myself, reasoned with every possibility but I have come to realize that I am not to blame. I have done my job and they are trying to make me feel badly by explaining all of the possible issues I might have. Why won't they atleast give me a straight answer? It can't be all of those things! Hell, it seems like 95% of the sellers could fit in a hole that big. I have had one negative feedback which was unjust. I tried to find justice within their system for the careless feedback. But the ebay system is truly non-exsistant where sellers are concerned. I haven't even gotten a reply. Come to think of it, it wasn't until I attemped to redeem my 100% feedback that the funds started being held. Hmm...I think that I am even more confused now. I am glad that the conclusion I came to(paypal holding funds to draw interest) isn't as desperate as it first felt. Sometimes people want to believe that if they have a problem, the world is to blame. I felt like I was blaming. Which may be the case but I am not alone in wondering where the money is being while I wait. This may all seem incoherent as I am fuming and it feels good to blow the steam a bit. Too many months I have sat confused. Then it occured to me that their may be other in a similar situation. And, thankfully there are.

Oh yeah, another thing... I have had a hold put on ALL of my sales 4 times now. This hold will appear and then disappear randomly. This has been going on over the last few months wthout any rhyme or reason. They release the hold for a period, then I get cocky and list 100+ items. They charge the listing fees for all the new listings, send me an invoice then place another hold. WTF???? I feel scammed and naive. And broke.. with my stuff sold and shipped(so pawning is out of the question) and my make believe money just beyond reach. Electricity and food are overated anyways. As long as my buyer is happy, I guess that should be enough.
9/13/2011 7:14 AM | # re: PayPal screws sellers by holding payments
I was Fudged that way as well. I sold a processor a few weeks earlier and the transaction went through, item delivered payment received everyone happy. Then I get an email that they are placing a hold on future transaction funds for 21 days because my account is flagged as high risk? WTF i say as well. Granted I only sell a few things (8 total so far) but I have 100% customer satisfaction/feedback no issues what-so-ever. So I figure the selling process is a joke, what about the check box that clearly states "NO RETURNS OFFERED ON THIS ITEM" don't bother selecting that cause Ebay just screwed you on that one. Forcing you to ship an item and not get the money for it, really. Then they call it a 'policy'. Well I contacted customer support on that right away and told them what my policy is, item gets shipped when I have the money, thats the way it is for any other garage sale. Nut-shell I got tired of paying fees for everything, the sale the listing the shipping ... yada yada yada. I use craigs list now as well or just donate case closed.
9/15/2011 6:35 PM | # re: PayPal screws sellers by holding payments
i had this randomly happen to me, i have 100 percent positive feedback on 60+ transactions, and just randomly my funds were held this month, and stupid me (as im a buyer and seller on ebay), went and won auctions for a few items i would have been able to afford, but little did i know, the funds i thought i had, i didnt, and instead i have to wait 21 days for them. luckily the 2 items i won were from nice sellers who dont seem too upset and said they were okay with waiting for my funds to clear.... but had this been different people with different personalities, boom, there goes my 100 percent feedback, this is such a stupid practice. like, why? what is the point of it? it's not helping anyone in my case at least, the seller that sold the items i won, cant receive their money now, and i cant buy my items, because my money is being kept from me for 21 days....
9/16/2011 4:07 PM | # re: PayPal screws sellers by holding payments
As strictly a PayPal buyer, this frustrates me. I am the most honest person in the world. I have purchased 150+ items, sometimes shipping is delayed, sometimes the item is exactly as described, and once I didn't receive the item. BUT, I always contact the seller first, let them know my situation and give them a fair time frame to come up with a solution that works for both of us. For example, I purchased a guitar for US 669.00. It was quoted in the ad as an American made fender stratocaster. When I received it I looked at the serial number and realized it was a Mexican made, which are significantly less valuable. I contacted the seller, explaining to him just that. I told him if I had not received a response in 5 days, I would be opening up a claim and requesting that the purchase price be refunded. The next day I received an email, the buyer claimed there had been a mistake and that he would happily ship out a new one and if I paid for the shipping of the new one, I could keep the Mexican made. ($45 shipping for roughly $200 guitar.) I obliged and in roughly 3 weeks I had 2 guitars! Had I just gone through paypal, I would have been out the guitar I really wanted and out a second guitar for a fraction of the retail value! You sellers take a high risk to ensure a buyer like me gets what he deserves for his money. In short, THANK YOU, to all you sellers who are under appreciated and ripped off by low life scum. I think you all need to take a stand, I as a buyer will stand and fight with you! I give my money to paypal simply to give it to you, not to keep for themselves!
9/23/2011 10:41 PM | # re: PayPal screws sellers by holding payments
eBay just put a hold on my latest sale through it's BITCH Paypal. I sold the item to pay eBay the fees that I owe them. Then they put a hold on my account. I have been a member over 8 years with 100% rating. 75 transactions and NO returns. They will not get 1 cent from me until they release my money. I and am DONE!
10/6/2011 11:31 PM | # re: PayPal screws sellers by holding payments
Paypal doth sucketh.

I am so angry right now I can hardly type. I found this page after searching "paypal shipping all fucked up again" in Google.

To make a long story short, Paypal has fucked up their shipping system yet again. It's been on the fritz since August 2010 and now they are trying to merge it with the ebay shipping portal, and the result is a complete disaster.

Gone is the ability to "ship another" package to the same recipient. Gone is the ability to print International Labels (actually, that's been fucked up for a year).

Apparently, the techs at Paypal and Pitney Bowes never heard: "If it aint broke, don't fix it." Because all they do is fuck around with their Java code and make things worse. My prediction is that Paypal is going to die a slow death, similar to Myspace, who just couldn't leave well enough alone.

Hey, I'm all for making improvements, but get your shit working before you unleash a giant shit storm on the world.

I have given up. I am building a shopping cart and moving to WORLD PAY.

Fuck Paypal. Fuck everyone who works for Paypal.

Shit. I'd post my site in this comment sign-in area, but until I get my damned cart working I still have to accept Paypal. Rotten bastards.

Thanks for having this page so I could bitch.

One more thing. Never trust a company whose initials are the same as a slang word for urine.
10/7/2011 4:46 PM | # re: PayPal screws sellers by holding payments
Glad to know I am not the only one experiencing this... they've put a hold on my measly $11 I made off of selling a DVD.... hopefully I'll get it. I wish there was another option.

I am a frequent seller on etsy, occasional seller on ebay. Ebay member since 2005, 100% feedback.

10/9/2011 12:23 AM | # re: PayPal screws sellers by holding payments
I got screwed by ebay when someone bought a $180 dollar item that was huge/heavy and cost me $45 to ship. The buyer accused me of selling the wrong item and ebay believed it. The buyer then sent ut back to me broken and I am stuck with the loss of $225. I have almost 10 yeays of 100% feedback and the buyer has 6 months of 1 feedback. This is a total joke on the sellers. I wish ebay had seller protection to prevent all the scammers. I guess I should have known when the buyer didn't get me paid until 1 week after and I was shipping this to the "brothers ghetto".

Does someone have another checkout besides paypal that they use/recommend?
10/12/2011 7:33 AM | # re: PayPal screws sellers by holding payments
Transferred all my funds out of Paypal. Closed the account. Canceled all currents auctions listed with EBay. Changed bank accounts and cancelled CCs.
Good luck EBay trying to get my 50K worth of seller fees.
Thats what you get for screwing so many people. When we all start doing that you'll get the message.
10/14/2011 10:58 AM | # re: PayPal screws sellers by holding payments
I got screwed by PayPal too. I have a perfect record for about two years on PayPal, but now I sell a $70 cell phone and they won't even allow me enough funds to print the damn postage to ship the phone! Then they tell me that I have to wait until the buyer gets the phone before they will release the money. I'm thinking of just demanding payment by Money Order and forget PayHell all together!
10/22/2011 7:16 AM | # re: PayPal screws sellers by holding payments
This is just another way for Ebay and Paypal (Ebay owns Paypal) to make more money. Can you imagine the amount of money flowing through Paypal. If they put 1/2 of it on hold for 20 days at 3 percent they earn more money. There is no mystery here. You could have been a member since day one with 100% positive feedback and they still will do this to you. They are banking on negative feedback from the buyer that way they can hold on to the money longer;-) Smart move Ebay/Paypal. I wonder what they are thinking up next?
10/22/2011 11:08 AM | # re: PayPal screws sellers by holding payments
Hi guys.
On one hand all these holds are very annoying, but on other hand..

I got Microsoft office 2010 for 99$, that is pretty cheap.
It was 0 rating guy seller, and it was not too safe to buy from him, but price was great and I paid it. And my suspicions came true - no communication, no item, no money.
But, after I put negative feedback I got all my money immediately to bank account. No fees. Whole sum.
So, these guys are working hard to protect such greedy creatures like me, and I am ready to pay for that.

I see digital collectibles and all my payments get stuck. But I am not going crazy each time. I just wait. Today or in two-three weeks - whats the difference?

Thank you.
10/26/2011 7:24 AM | # re: PayPal screws sellers by holding payments
OMG! I hate PayPal. I sold an iPhone 4 with insurance and the buyer claimed the goods "were not as described", so PayPal refunded them $693.00AUD and told them they did not have to return the product to me! Now PayPal expects me to Pay them $693.00 for their refund! They buyer is in the win win as not only do they get a full refund no questions asked, no follow ups, no dispute resolutions, they also get to keep a very expensive iPhone 4! PayPal Sucks Big Time!
10/30/2011 5:06 PM | # re: PayPal screws sellers by holding payments
People, ebay and paypal don't give a toss about it's normal users who sell only a few items per month. They don't even care how many years you've been a member for and whether all your feedback is 100%. Ebay is no longer that same company is used to be.

They now only focus on the retail brands / companies that are using ebay to sell items through.

Only use ebay to buy and not to sell since you are never protected as a seller or only sell if you intend on using cash on collection as the only payment method. Even if you have proof of postage this will not help you in a dispute, that's why you shouldn't send any items out.

And it's not just ebay, so many companies out there and the government are treating their people like dirt in all areas; this applies to all countries. It make you wonder as to where we can go to to seek help from in this crummy world.
11/7/2011 9:05 AM | # re: PayPal screws sellers by holding payments
Have been selling through Ebay and receiving payments through Paypal for years; all of a sudden they are holding my money for a month, What's up? I tried selling with check payment only and received cash in the bank within 15 days, twice as fast as Paypal. I'm not happy with Paypal at all.
11/8/2011 1:17 PM | # re: PayPal screws sellers by holding payments
Well I am just another victim of this BS, ebay and paypal both suck as a company, couple months ago I listed a couple things on ebay and guess what? when they sold I got no money and I went thru all this crapp we all know about by now. This is bullshit, you are giving stuff that BELONGS to you away and paypal is holding your money, I consider this is pretty illegal, is like someone taking your car and holding it for 2 weeks to make sure you deserve it, WTF right? Not to mention this idiots are making tons of money by having OUR money sitting around generating interest. I am not the one to give legal advice but maybe one of you can, I want to know what is in our power to do against this suckers. I will start by deleting both of my accounts with ebay and paypal. This is wrong. Here and anywhere else in the world, a buyer receives the items after paying and the seller receives the money after delivering the goods, where, how and why paypal decided they can hold our money and make it theyr's for X amount of days?

I think that is called stealing. Anyway, someone suggested to issue a refund even for a penny to the buyer and the funds will me available immediately, I just tried that and no, it doesn't work so don't waste your time ;)
11/10/2011 7:10 PM | # re: PayPal screws sellers by holding payments
Not only they delay money-which gives then opportunity to use it while handling,without paying us the interest(we are talking serious money here from millions of buyers ).That is why they invented all this strange(to us) regulations and still are adding more and more knowing that frivolous feedbacks are common.This is not much of a supprise.Let me give you a more intersting one:did you ever compare how much stuff you actually sold on E-bay in comparison to their statistic statements?I have.Do not forget-they pay(or suppose to) their taxes from their percentage.My E-bay statistic accounted to apprx 60% of what I have sold in a year...There is 150,000,000 E-bay members.Talking about how much taxes are saved by this false statements by E-bay corp.....BIG MONEY STOLEN FROM us an USA altogether.Every minute, day after day.MILLIONS and MILLIONS.Some auditor (chances are-not only one) are getting fat brown envelopes, while this scheme is going on.The payment delay-is one of MANY tricks used by E-bay and it's subsidiary- Paypal.
11/16/2011 7:57 AM | # re: PayPal screws sellers by holding payments
Sorry dude... but in the 1st place, it's NOT your money until the buyer has received the purchased item. This is to protect the buyer from transferring funds to someone who doesn't intend on sending an item (or the item is not as advertised). PayPal/Ebay is protecting the buyer here on this one and (even though I am a seller/buyer) I agree with the security.
It's the same as when sellers used to withhold feedback on buyers (after receiving all funds) in loo of a positive review. If the seller got a negative review then they would trash the person who paid (upfront) and then got a less than advertised item.
If you need the money that quick... quit whining and take your chances on Craigslist. Good customer support will get you prompt feedback, and the sooner that you ship it the sooner that you'll get your feedback (and the money will be transferred).
I have a rule that once the buyer has sent their money, they have done all that they can do and should get their (positive) feedback before the item is even shipped.
BTW... I once impressed a buyer so much with my own customer support that he gave me stellar POSITIVE FB the same day that I shipped the item (before he had received it). That's what Ebay/PayPal is trying to promote here!!!
11/16/2011 2:57 PM | # re: PayPal screws sellers by holding payments
This is out of control Ebay is a bully!!!!!!. They want you to baay them listing fees when they themselve have your money in limbo. This can not be legal and i belive the only reson they get away this behavior is because people are at a lose for what to do. It is clear that ebay does not value thier cutomers at all. They do not hold to YOUR money to prevent a buyer from being cheated , they do't care about their buyers or sellers, they only care about the money. As long as they have your money what do they need with you. I think we all need to band together and show ebay that with out cutomers they have no money. Lets make cyber monday a day without Ebay !!! Don't buy Don't sell Don't log on.
11/23/2011 5:33 AM | # re: PayPal screws sellers by holding payments
I have had similar issues with this most recently. I am in graduate school and decided to sell my mac and xbox on eBay for some quick cash to get home to see my family for Thanksgiving. For both items, a hold was placed on my Paypal account. Meanwhile, the winning bidder of my xbox lived in a country overseas. That meant that I had to PAY $81.96 of MY money to ship something to another country. I called Paypal to discuss this travesty. I was told that they would be more than happy to release the money ONCE the buyer went on eBay and left positive feedback. The buyer said he would do so once he saw that the item left the US. So basically, I gave up on that. Then there is the issue of my computer. I purchased a new mac in September. I bought software for this mac. I sold this mac on eBay to get cash for a trip home for Thanksgiving. Well, I did my darndest to beat the Paypal system. I shipped the item overnight. This was another $30 with insurance. The item was delivered the next day. I followed up with the seller requesting he please leave positive feedback for the purchase. He told me he got it and it looks great, but he hasn't had a chance to sit down with his mac guy yet. So, he got a $1500 computer plus $300 in software for about $900, and I am supposed to just sit idly by while he decides it is convenient for him to leave feedback. Let's also throw in that I had the original receipt detailing warranty information and verifying that this isn't stolen. Heck, my NAME is on the receipt. So, here we are. I have spent about $111.96 in shipping, and I have actually received NO money whatsoever. But, I LOVE logging into paypal everyday to see the $1100 that is just pending until the Paypal gods decide I am worthy of my money. And yet, my "customers" have had their items for days. I am not trying to be some super eBayer. I just wanted some extra money. And somehow, I got screwed.
11/23/2011 5:52 AM | # re: PayPal screws sellers by holding payments
Paypal is screwing us over because ebay has been losing money lately, they hold over a million people's accounts and collect the interest on that money daily think about all the money they are getting from holding funds !! this is simply a scam ! I am considering starting a class action lawsuit against them there is no reason at all to hold my account I have done nothing wrong !! I have 756 positives, 110% rating and they are doing it to me to, I am not desperate for the money but I will not allow them to make more money off of me as a good seller and customer for over 10 years now, I see a lawyer this afternoon and I am going to be asking about this scam!
11/27/2011 3:04 PM | # re: PayPal screws sellers by holding payments
I recently started an eBay account, and sold 2 items. Paypal then told me my payments were held, to which I figured fair enough....

I then received an e-mail a few days later saying my payment holds had been released due to positive feedback from the buyers.

3 days later, there is still no money in my account from these transactions, so I e-mail Paypal asking where it is to receive a clearly copied and pasted answering the same as what their shitty automated 'helper (hinderer)' said.

Does anyone ACTUALLY WORK at Paypal? Or are they all just robots with no actual thought, or tendencies to answer specific questions relating to specific events?

12/11/2011 12:16 AM | # re: PayPal screws sellers by holding payments
I too have been hit with this nonsense. I had 4 items for sale, and I recently sold 3 items. Unfortunately, I think I'm screwed on one of the items. The item is for a video game accessory that is sealed in retail packaging. I listed the item as no returns, but the buyer is claiming the the item doesn't work. I have a feeling that a claim will be submitted, and I'll lose. What I think was going on is the buyer is trying to keep the item I sold, and send back an old one that's broken. I offered the buyer a refund minus shipping and ebay fees only if he returned everything in it's original condition. This was one of the 3 items that paypal was holding the funds on. The stupid thing on my part was this buyer had zero feebacks. I figured that I had zero feedbacks when I started, and gave him a chance. I guess I would have been better off offering a 3 day return on my items. Never again.

I'm getting worried about the other 2 items I sold, and I cancelled the 4th item. Hopefully I will get my funds for the other 2 items, and I will just take a loss on one. Once this clears, I will end my relationship with ebay and paypal. This sucks because I was hoping to get some extra cash for the holidays, and it turned out to be too much work and stress for the little bit I'm getting.

Prior to all this, I was a member with 100% positive feedbacks for over 100 feebacks. Granted, most of these feedbacks were as a buyer, but it should still go towards proving that I was an honest ebay member. I also never had this problem in the past, even when I sold more expensive items, ranging from designer shoes to a dslr camera.

I hope more people realize that ebay/paypal are crooks. They're getting rich by screwing people left and right.
12/12/2011 6:25 PM | # re: PayPal screws sellers by holding payments
Paypal and Ebay are screwing the people. I am a disabled person and use the services of PayPal and Ebay once in awhile. I am a verified customer,100 percent feed back in buying and selling, customer of 3-years, now Ebay and Paypal decide to hold my funds. While they are hold our funds they drawing x, amount of interest on all our monnies. What is the point of varified and having your bank tied into your account and still have your money held. And as the one Gentlemen said don't worry its fair, he probably puts diamond rings into the Salvation pop at Christmas, and doesn't need the money like we do. Whats the point of selling if your not going to get your money. I did it to help pay some bills. Kind of hard to do that when paypal has your money. Just like all bussiness there money hungry. So was Netflix, now they have lost millions. But the point is Paypal and Ebay are screwing the people. There business pratice is defrauding people for there money. maybe we could all get together and bring a law suite against them. I ahve talked to them until I am blue in the face. And they really don't care what we thank. That even makes it worse. They will in the future maybe start loosing busines alittle at a time until they are forced to treat people right.
12/13/2011 12:43 PM | # re: PayPal screws sellers by holding payments
After this happened to me last week, I cancelled all sales and sold the items privately to the same buyers (ebay can kiss my ass as far as getting any commission). I had 10 items up for auction and ended all of those, sent a complaint to ebay and pay pal, and will no longer use their selling service..I may buy though and screw them for some pay pal insurance though..thinking about it. Anyway, it's pretty obvious that they're protecting pay pal (themselves) from insurance claims and collecting 3 weeks worth of interest on our money (think about how much that adds up to with the millions upon millions of dollars).
12/19/2011 3:43 PM | # re: PayPal screws sellers by holding payments
I Would Never Suggest anyone to use Paypal, this is one company that has become the Worst. They hold on to your Money, Customer Service is Rude also the Supervisors are Rude. I am seeking another company to deal with, PayPal use to be a great company, Now that Ebay has bought PayPal out this company is the WORST, they have a Lawsuit against them for the illegal practice they have of holding People money. Does anyone know of another company to work with, need to avoid PayPal. Paypal Reviews tells it all about this PayPal & Ebay issues. Never Never would suggesst this company. PayPal is the Worst.
12/19/2011 3:47 PM | # re: PayPal screws sellers by holding payments
Paypal Takes their money off the top and then put Our money on hold and tells me I have to Pay for the Shipping out of my own money, That is alot of money I have to put up front. PAY PAL IS THE WORST, SINCE EBAY BOUGHT PAYPAL, THIS COMPANY HAS TURNED TO BE THE WORST. PAYPAL REVIEWS VERY BAD. SEEKING ANOTHER COMPANY, WILL BE LEAVING PAYPAL ALONE AND EBAY...WORST COMPANY
12/23/2011 12:41 AM | # re: PayPal screws sellers by holding payments
Listen to this :

I sell an iPhone 4 on eBay for 340
EBay keeps 10% (34dlrs)
Paypal keep 10dlrs for the transaction..
that's 50 dlrs in just fees !

I receive my payment I send the item..
Print the shipping label straight from eBay !
The buyer receives tracking number ..
Item says delivered on Dec 12, I get an email
a couple days later "I didn't get the item"
So I advice the buyer to ask around his house to see
if someone received it or to check his or her mail box
.. so I get a message back saying "I didn't sign to confirm
delivery" but there is a tracking number verifying that
it was SHIPPED!!!
I call PayPal they told me not to worry aslong as
I have a tracking number ..
Today I wake up and my account is at negative
330 dlrs !!!!!!
I call and you know what they say !!!
Yes it does say that is was delivered but since it's more
than 50 dlrs you have to provide signature to confirm !

I flip the fuck out ! It's Christmas time I'm trying to get some
money to buy presents for my family n now I can't
cus I owe them 340 dlrs..

so here was my question to them:
(which is what 90% of sellers do to save some money)


I lost 340 dlrs plus 50 dlrs in fees and an iPhone 4 !!
That's some bullshit of u ask me !
1/10/2012 1:22 AM | # re: PayPal screws sellers by holding payments
PayPal has and always be a fraud company. But case in point Visa & Mastercard are just as bad as PayPal. Visa and Mastercard will screw over sellers in chargeback disputes giving the buyer both the money and the product back. If a buyer keeps charging back and disputing the item, the seller will loose out. They rather kiss the buyers ass and dont care about anything. Visa / Mastercard only allows you to have 1 chargeback dispute per 50 to 100 transactions. Which is total BS. Buyers will purposely abuse the chargeback scenario and blackmail and threaten sellers with chargebacks just to get their ways. Never place yourself in a situation where your out both the product and the money. Only ship once the funds are in your bnk account.
1/21/2012 11:14 PM | # re: PayPal screws sellers by holding payments
well i love how ppl get screwed and shared their story and someone is always trying to cover for pay pal i have used this in the past and also got screwed out of my money it was the 2cd time and last time i ever used paypal to sell ANYTHING on ebay i have also sold items that people received and paypal froze my account and since it was attached to my checking account i had to pay my bank over $1000 back and never got either my merchandise nor my money back pay pal is a rip off
1/22/2012 12:01 AM | # re: PayPal screws sellers by holding payments
You can by pass this RANDOM inspection. When you create your eBay seller account and add your paypal email (to get paid). Make another paypal account and when you list your items use the second email address. I was slapped with this message and by passed it by using my second paypal account. This works because the message is for the paypal account attached to the ebay account and not the e-mail you use for paypal.
2/1/2012 9:18 PM | # re: PayPal screws sellers by holding payments
I question the legality of Paypal holding funds at all. They merely serve as a mediary between buyer and seller, not a broker. And by holding funds, in essence they put the seller in the position of becoming a 'short-term lender' since they 'lend' the seller's money to themselves in order to use as they want for 21 days. I'vwe been looking for a lawyer who would be willing to sue Paypal on this issue and if I can find one it will happen as soon as possible.
2/3/2012 2:06 PM | # re: PayPal screws sellers by holding payments
What can be done by consumers to stop the tyranny, just short of not using the system? People complain about facebook also, but log back in everyday. They get paid for you "liking" something. You are the advertiser. I still use Paypal, E-bay, and Facebook knowing that they are making money on me, but how do we intervene? Can't hack the system, You'll go to prison, With no satisfaction. Boycott? Get real. Use a competitor? What competitor? E-bay owning Pay-Pal, Couldn't that be interpreted as Monopolizing? We live in a tech savvy age. Why aren't there more sites for selling such as a company that handles the merchandise and money all for one fee? And then the company has no dispute over whom is defrauding whom. All records in one place...etc. The next question is when is someone(person or company) going to make a new E-bay, Pay-Pal,and Facebook site? It is all ridiculous, I wish that I had the money to make a difference, but I don't. Good Luck to ALL!!!
2/5/2012 7:04 AM | # re: PayPal screws sellers by holding payments
i sold items on ebay, i am claimming state benifits as i am unfit for work (by my doctor)so like many other i find it hard to pay bills etc, i every month go around my house finding unwanted items to sell this month i sold several items which amounted to over £150.00 which is alot of money to me. i had the paypal messege came through to my email saying funds have been recieved , i logged into my paypal account only to find they where being held in a pending account, i was livid, and pi**ed off as this money was to pay my bills so i contacted paypal by phone and they said as soon as i send the item and provide the tracking number the payment will be released within 3 days .
i sold the item on the 20/01/2012 it is now the 05/02/2011 and still no payment i contacted paypal again to ask and the operator what the hold up was she said it was because to give the buyer a chance for any disputes and if the payment had been released already it made hard work to get money back.
"well hello is this an auction" at my local auction house we have the option "like ebay to see what we are buying if arranged with seller"but at auction house you walk around and view if you want to then the auction then (sold) none of this if its scratched maked send it back, same at property auction you dont buy a house at auction and if its not what you want etc etc etc theres no paypal there no "file a disputes" what is this rubbish !!!
my items where sent to the buyer and he willingly gave money for this item so what rights does paypal have to hold my money the buyer is happy with the goods so whats going on paypal is not a solicitors/lawyers or anything .i just think im going to put on all ebay transactions no paypal postal order/ balance transfer straight into my bank yeah then paypal will start losing customers + interest so come on guys lets stick together its time to screw mr.paypal for a change !!!!!
watch out paypal because somebody out there will offer a better service
2/27/2012 3:21 AM | # re: PayPal screws sellers by holding payments
I got an email from paypal last night saying that they were going to start holding my money for up to 21 days. I do not have a payment currently being held. So I called and explained that I had 100% positive feedback over 4-5 years and was told that they review this status every 35 days so if I was a good boy maybe they might change it in the future. I told her that if she could not change it on the spot, I would do my best not to sell on ebay anymore. I was pissed off. I usually try CL first anyway, but living in rural Maine, it is not easy to sell anything. I have had people drive three hours to buy a canoe once (never would have put this on ebay anyway)
3/4/2012 11:34 AM | # re: PayPal screws sellers by holding payments
I sell about 4-5 grand a month on Ebay (in sales-not profit haha) and this just scares me sooo much! I know it will happen to me someday and even something as small as $20 is enough to make or break me...I have a child to feed after all!! The list of Ebay/Paypal injustices is endless but just like everybody else I have no choice but to submit to this necessary evil. :(

You know what burns me the most though? I sell internationally-about 1/2 of my sales-and I can't stand that people are able to open cases weeks before their estimated delivery dates. That is like begging for fraud! One lady opened a case simply because she was a very impatient person-she waited a week for her item when international shipments can take upto 30 days-if she wanted it quick she should've paid for faster shipping! Of course ebay found in her favor since I didn't have delivery confirmation. (My items cost on average $50 & delivery confirmation would cost about $35...no one would ever buy from me if I charged those kind of prices for shipping!!) Long story but I just have a feeling she got that item. Anyhow, I feel that if Ebay had made her wait until the estimated delivery date before allowing her to open a "non reciept" case, she would have gotten her item and that would be that. But once she opened the case why ever would she close it herself if there was a chance Ebay would find in her favor and she could get the item for free? After all it's not like she has to feel bad it was Ebay who took my money, right? At least I'm sure that's what she told herself!!! BTW, this has happened to me soooo many times that's why I sound bitter!!
3/12/2012 5:22 PM | # re: PayPal screws sellers by holding payments
I just use Payondelivery.com and sell on Facebook and Craigslist, you can keep ebay
3/21/2012 6:19 PM | # re: PayPal screws sellers by holding payments
I'm pretty sure that paypal is holding the money to gain interest- likely illegal and game for a lawsuit ;-)
3/26/2012 6:39 PM | # re: PayPal screws sellers by holding payments
My husband and I both buy and sell on eBay, (members since 1999) and we both have 100% feedback. Up until last year, we each had our own bank account and PayPal account, respectively. Since then, we have one bank account. That's number one issue I have with PayPal. We're not allowed to have two separate PayPal accounts linked to the same bank account. Issue number two...a week ago, my husband sold an item, it was paid thru paypal immediately and the buyer received item 2 days ago. PayPal still has yet to release the funds to our account. Conversely, I sold an item two days ago and the funds paid through PayPal went through immediately. What the h*ll is wrong with this picture? Makes zero sense. We are both beyond p*ssed.b
4/12/2012 9:48 AM | # re: PayPal screws sellers by holding payments
I have a seller rating of 138462 with a 99.8 feedback. I am an eBay top rated seller and I still fall into having payments held for a couple of days, but I'm ok with it, because I knew of these changes beforehand and keep up on the terms and conditions on both eBay and PayPal- it's listed in plain view!

Tell me what kind of protection should a seller have? If a buyer sends a paypal payment, it's still in your account- kind of like making a bank deposit and sometimes a bank will hold a deposit for up to a week (I guess that means banks screw a seller too), especially if it's a large amount. It's very rare that PayPal will hold a payment to me, but when they do, it's generally when the item is scanned as delivered whenever I'll receive the credit release.

This is a buyers market and the buyer should receive more protection, because they are the ones out money should they invest in a scam- not the seller. If the buyer sends you payment through PayPal, regardless of if it's actually credited or pending, you are contractually obligated to ship the product. If you don't have the money to ship the product, you have no business selling on eBay and make it difficult for legitimate sellers who make a modest living and adhere to the terms and conditions of both services.

If anything, I believe casual sellers SHOULD be held under a more strict set of guidelines instead of us sellers who time and time again prove to give the customer what they bid on, because these are the sellers who brought about the reason for the change.
4/12/2012 12:20 PM | # re: PayPal screws sellers by holding payments
If you can't afford to wait for a 21 day hold on payments then don't sell, It's as simple as that.
4/12/2012 10:45 PM | # re: PayPal screws sellers by holding payments
Paypal just returned the 1800 payment to my buyer...after I'd shipped the product. PP says tough luck. Seems I'm out 1800.
4/16/2012 3:00 PM | # re: PayPal screws sellers by holding payments
Hey congress should make PayPal give back all the interests to us seller, because that is why they hold our money, they want to make interest off "our money" so the interest really doesn't' belong to Paypal, it belongs to us sellers. Congress how can you get small business going to get the US economy going if you have places like PayPal that are robbing us small businessmen. On top it Paypal insults us by charging us to use paypal then keeps our money to make money. The mob does it with a gun, paypal uses a pen but the same crew!!! Stop selling on eBay and start selling on Amazon they won't let Paypal thieves work their scams there
4/30/2012 3:05 PM | # re: PayPal screws sellers by holding payments
If I worked for EBAY or PAYPAL , I would be ashamed to admit it. They hold the sellers money [ after taking their pound of flesh cut], then they make money on the sellers money for an additional 21 days under all sorts of pretense. Why don't we set up a class action lawsuit to add to what they already have?
Any volunteer lawyers out there????? Even after a buyer went out of his way to call them to let them know that he has received the goods, their answer is
" THAT DOES NOT MATTER". The arrogance is amazing, they are probably funding our dictator obammer.
5/5/2012 8:15 PM | # re: PayPal screws sellers by holding payments
As of May, 2012, Ebay and PayPal are partners under the same umbrella. They have cornered the market for SO long that they have become WAY too "powerful" for lack of a better term, and the power has, is, and will be abused. They make their rules up as they go along, and yes, it is the Sellers that suffer, NOT the Buyers.
When your credibility as a Seller balances precariously upon the feedback whims of the Buyer, you can only imagine what disservices occur, and this is only the tip of the iceberg! The only thing that will combat the "necessary evil(s)" of Ebay and PayPal will be the existence of STRONG and LASTING COMPETITION, and the more, the better!

5/6/2012 2:54 AM | # re: PayPal screws sellers by holding payments
I HAVE CANCELED MY EBAY AND PAYPAL ACCOUNT AND WILL NEVER GO BACK. Payment holds are just a financial ploy to increase profits. PayPal changes the rules constantly. SOOO LOONG!
6/15/2012 1:54 PM | # re: PayPal screws sellers by holding payments
They did the same to me and I will be damed if I ship anything without my money. I removed all my listings from ebay and closed my paypal account and advised my buyers to send a certifed check or call within business hours to make a payment by credit card. It is all about the buyer. It takes a seller to make a buyer. My feedback score was over 100 and they even held the $51.00 item I sold. I will continue to sell on ebay but will not accept paypal only credit card or US postal service money order.
7/5/2012 5:14 AM | # re: PayPal screws sellers by holding payments
They always leave me speechless. 4000+ feedback and 5 star ratings but now they have decided to place hold on our payments received. Already struggling in this economy we finally made some sales but have had to fork out shipping costs (of course) for 5 printers @ $50 ea. and they won't release a dime. no food for the kids, OD fees mounting, sinking like the Titantic. I wonder where the love is for honest people. Any suggestions on who I can specifically file a complaint with; already started on a few.
9/20/2012 9:51 AM | # re: PayPal screws sellers by holding payments
paypall drip feed my money and i don,t like it can...some wizz kid please come up with a new better ebay and paypall
and a cheaper way to pay for items.... paypall allways.. nipps money of every pound or dollar greedy pigs got to go.....we need a new ebay and a new way to pay for items
i think we can ageed on that.......
9/20/2012 9:58 PM | # re: PayPal screws sellers by holding payments
This is frustratingThis sooo is frustrating.
Every item starting from 5$ up to 300$ (haven't sold anything over 300$) is on hold.
Even if the buyer received the item, the tracking # is uploaded in ebay and paypal, the shipping adress was printed and payed with paypal they still holds the money. I was told that even if it was delivered I have to wait 3 days before my money being released to make sure that buyer doesn't have any problems with my item.
I waited 10 days after delivery with my last transaction and I still have to call them.
For the same transaction I payed for shipping with paypal thinking that I will pay with the money that are on hold (before they were releasing for shipping), But they went into my bank account and and withdrew from there $12 and only after released the same amount. For the same item I received the bill from ebay already.
Paypal got payed, ebay got payed, I payed the shipping with my money, buyer received the item -- and my money are still on hold.
I believe its getting worst ...
10/26/2012 9:49 AM | # re: PayPal screws sellers by holding payments
They hold the money so that they can make interest on your money. And they make alot. This is why people are selling else where and not using paypal anymore. You sell 400.00 dollars and don't see the money for months.
3/21/2013 12:23 AM | # re: PayPal screws sellers by holding payments
ONLY sell on ebay if you are accepting cash on collection as a payment method! If you can't do this then honestly you should not sell on ebay since sellers are no longer protected like they used to be many years ago.
6/20/2013 5:45 AM | # re: PayPal screws sellers by holding payments
Yep stoppen using paypal long back now I use Ebay its the best
10/21/2014 5:37 AM | # re: PayPal screws sellers by holding payments
After reading this thread all I can do is laugh. The reason PayPal throws a transaction in to review has nothing to do with trying to protect anyone but PayPal. Often, it is the seller that PayPal is concerned about, not the buyer. Certain transactions are statistically higher risk than others. Any high risk transaction automatically will initiate an internal credit check of both the buyer and seller. If anyone of the two or both have poor credit, instant review.

PayPal knows more about you than the CIA or Homeland Security. The systems that both PayPal and eBay use were developed by ex-CIA employees. The Director of eBay's notorious Safe Harbor division (security) is a former CIA Director. Anyhow, the whole purpose of a review is to give the buyer an emotional cooling off period. PayPal can't be openly selective about what transactions they can approve and which ones they can't, with exception to funding issues, such as credit card denials, insufficient funds in the buyers bank account, etc., so they hope that given enough time the buyer will reconsider making a large purchase and flake on the deal. Additionally, by putting a transaction in review, most sellers given enough time will get scared of the deal and flake themselves. Either way, PayPal is off the hook.

You may ask yourself, how does this woman know these things. The answer is, I am a former employee of PayPal.

12/4/2014 9:19 AM | # re: PayPal screws sellers by holding payments
The best part is when you get the invoice from eBay for the sell itself...you know, a day or two after PayPal has taken their fee and told you they're putting a hold on YOUR funds. It's at that moment you realize just how much ePal is ripping you off.
12/20/2014 9:56 AM | # re: Paypal Screws? The word is ""BACK CHARGE"".
All monies that PayPal decides to keep from you is not PayPals money. You know this, I know this and PayPal knows this. Where I come from, we would just find a location where PayPal is located and Fuck up a few people to get their attention. But in this 2014 year we don't do that any more. But we do suggest that PayPal pay you what they owe you. Or you can BACK CHARGE them for those monies they owe you and what ever sum you want to add to that ( like a late fee or a BACK CHARGE FEE ). After 3.50 Years of additional back charge fees> You take them to court and ( Settle out of court) For what ever monies you want from PayPal. The last thing Pay Pal investors what is to see PayPals name and business accounts flushed into the public's eye with a law suit attached to the headlines. Investors are funny about losing monies. Go figure!
8/16/2015 11:56 AM | # 
Paypal, an easy way to make money

Paypal taught me recently, how to make money quickly and safely without leaving home.
Just need a little time and some imagination. No earnings limit.

Think of a product that has high demand for sale, phone, laptop, etc. and a means of disclosure, Ebay, for example.
(But in this case the payment has to be made out of Ebay, only through PayPal.)

Accept any value proposition on the part of the buyer (the profit is almost 100% removal is only a percentage to PayPal)
Provide your PayPal account email to the buyer to transfer money.
No need to do anything else. Do not respond to any buyer message.

After some time the buyer will open a dispute on PayPal to have not received the item,
there you will shortly receive a buyer's message to demand repayment of money. So you just have to find a good excuse
and answer that you will ship the item the next day if the buyer end the dispute on PayPal. If he does, already won.

The money is in your account with the PayPal guarantee that you will not have any problem because the case is closed and can not be reopened and your data protected.
8/17/2015 8:05 AM | # re: PayPal screws sellers by holding payments
My son just sold some items on Ebay sellers paid promptly via Paypal and funds held. We had to lend him the money to post the items and even though goods received and one so far has left pos feedback still no money in his Payapl account.

So best option accept Payapl as is a requirement from Ebay but state on your advert if funds held by Payapl that the buyer accepts that the goods will be sent upon cleared funds or they can use Ebay messages to cancel the transaction and get a refund from Paypal. Clearly state No negative feedback can be left for delayed posting or money being refunded is also part of the conditions of bidding/buying as both are beyond your control and rest solely in the hands of a third party ie Ebay/Paypal.
You are also quite happy to accept cash on collection etc.

This way you breach no Ebay terms and conditions.

But if Paypal are having to refund half or more of all transactions on Ebay maybe then when their workload increases and it costs them more to administer this THEFT of money from sellers then and only then will it stop.
I have today made first complaint to my MP ( UK based ).
Amazon by the way are just as bad if you are a new seller on there so be warned they will hold YOUR money for at least 21 days and unless you pay to list they limit postage and want you to be dishonest and hide actual postage in the item cost.
8/17/2015 11:19 AM | # re: PayPal screws sellers by holding payments
One other idea for our USA friends.

How about thousands of you forming a line outside the houses of the CEO of Paypal and the CEO of Ebay.

Everyone takes an item/items they deem of equal value (resale value ) to their funds held and leaves a note "item is being held securely to ensure the good faith of Ebay/Paypal in forwarding funds held. This/these items will be returned no sooner than 21 days after the funds clear or later if deemed necessary by the lender of said funds."

For those few who have written in supporting Paypal please let us now your Paypal/Ebay staff email address so we may better thank you for such enlightened words of wisdom.
Also let us now how you get on at your local electrical store buying that TV, camera or cooker when you go to the checkout show them a bank statement that you have the funds but will take the goods today and be back in 21 days or more to pay once you have decided you want the items and it was not lets say an impulse buy.
8/25/2015 9:11 PM | # re: PayPal screws sellers by holding payments
I am totally with you. I believe that if you sell an item, that you should receive payment first. If you walk into a grocery store and fill a cart with food, you can't just leave without paying! So why should the sellers on eBay (AKA "Grocery Store") have their funds held? You could argue that payment with a credit/debit card may hold funds, but you'd be wrong. Just because YOU may not have payed for it immediately, doesn't mean your card holder (VISA, MC, EXPRESS, etc.) hasn't. If you don't have money for the "food" you bought, who comes after you? Not the grocery for sure. The bank, that's who! Because THEY payed for it, and in turn you pay them what you were missing at the time.
9/25/2015 11:35 AM | # re: PayPal screws sellers by holding payments
I have been a seller on ebay for 5 years, and have used paypal for the same. I sell approximately 600 items a year, and 90% of those are paid for on paypal. The amount of any item I sell is fairly high value, and could be anywhere from $300 to $7000. I have a perfect ebay record (100%, not one negative or neutral rating in all this time).

Paypal have just put one of my transactions on hold as a SELLER. (Ive had transactions for buyers done many time before, but never as a SELLER). I am LIVID and INSULTED.

At the bottom of my "story" you will find the DISGUSTING email from Paypal stating the funds paid in good faith from my VERIFIED buyer were on hold for 21 days (or 7 days if verified shipping entered in PAYPAL).......and I should ship the goods immediately.

My items, nor my business fall into any of the categories mentioned in their INSULTING email. So I called paypal and after going thru their tiresome "choices" of course got to speak with Sum Robot Dumb Fark in Indian somewhere reading from a generic script. After a few minutes of wasting my valuable time, he told me this is just a random thing, and after discussing the matter heatedly for another 10 minutes, and being transfered to a supervisor (who was equally as robotic), still told that this is just what paypal do, and its RANDOM.

THIS IS SURELY ILLEGAL!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I am disgusted in paypal. Ebay have always disgusted me, as I find so much of the way they conduct their affairs with buyers having power, and sellers having none, and seller ratings, and listing statuses being skewed........but now Ill throw Paypal in the same boat.

Way to go you bunch of morons......piss a loyal and trustworthy seller off!


Process quickly to get your payment faster

Dear xxxxxxxxxx,

XXXXXXXXXXX has paid $1,100.00 AUD for your item XXXXXXXXXXXXXX. To ensure better buyer satisfaction and a safer transaction environment, this payment is currently in your pending balance and will be available to you within 21 days from the transaction date.

Transaction details

Buyer's name: xxxxxxxxx
Transaction date: xx September 2015
Transaction amount: $1,100.00 AUD
Your transaction ID: xxxxxxxxxxxxxxx

The payment is temporarily unavailable to you for one of the following reasons:

There's an unusual change in selling price compared to your selling history.
The transaction is quite different from your normal business.
The item sold may potentially cause dissatisfaction with customers.
Your account was inactive for a while.
You only recently started selling outside of eBay, so your history with us as an off-eBay seller is quite short.
Get your payment faster

We want to make the payment available to you as soon as possible. Here's how you can help to speed up the process:

After you ship the item, mark it as shipped on the Transaction Details page. You can also provide the tracking number if available. The funds should be available within 7 days of the shipping date (14 days if you're shipping to an international location).
For a service or an intangible item that doesn't require shipping (e-book, piano lessons, etc.), mark the order as processed and provide details. The funds should be available within 7 days after you mark as processed.
Have any questions? Please click Help at the bottom of the PayPal homepage.

Thanks for your understanding and support.


12/3/2015 7:25 AM | # re: PayPal screws sellers by holding payments
I am not an experienced seller, yet have bought and sold on eBay for 6 years - prolific buyer I may add and very rarely encounter transaction problems etc, and so my feedback score a very decent one and nothing for eBay or Paypal to ever get their knickers in a knotted twist.

However, just recently I listed some items for sale, collection only and not selling at huge prices - all well under £70 /$60. I was suddenly hit with an eBay message after I recieved my first payment from a buyer who tried to get me to send the item to them after sale, despite knowing that I stated 'collection only' in my listing. The message from eBay as well as Paypal "We are holding onto your funds until 21 days and/or until my seller rating has increased, item posted etc" - something along these lines anyway.

First time I sold on eBay was Sept 2014 - a year ago, but had never sold on eBay before this. My sales were all successful. I am now a seller again, a year later in 2015. It appears pretty clear to me that eBay and Paypal combined, fundamentally raking in profit by withholding funds that increase in interest the longer it is stationary in their Paypal accounts system. Their reasons for holding onto the funds do not make sense to me - seller rating total rubbish because how do new sellers sell their stuff and not hear about them being hit with this same nonsense?. They have a lot further to go to get my ratings as even a buyer let alone seller!.

Clearly eBay and/or Paypal is declining in popularity and they are trying to make interest on witheld funds to increase profits. Paypal is a Bacs system - an actual banking kind of mechanism where small profits do get made on stationary funds that is well documented on the web. I cancelled all of my live auctions because I need the money for Christmas, not afterwards, and made sure I had no bidders first. I will now be hit with total selling fees and final value thing all for nothing and so they have made a big profit from me where no sales have been made.

There is no legal or justifiable reason why eBay and Paypal are dishing out unfair terms on individual sellers who are not business traders. I am not happy at all and learned enough in consumer related matters and distance trading regulations to know that this is lawsuit material if the independent financial omsbudsmen services were to be notified, especially if there is no transparant notice or forewarning of delayed witheld personal funds in the eBay or Paypal terms and conditions - I have searched through and not seen anything about, 'funds will be delayed if eBay seller (individual or not) have not earned enough selling kudos' for example.

I am not going to waste my time selling on eBay after my experiences and because it is a betrayal of my trust in them when they effectively hit you with a baseball bat without even having the courtesy to warn you first!.

Please add 1 and 5 and type the answer here:


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