verification; what are the circumstances when PayPal requires it

dorkshoei
Contributor
Contributor

I used to have my bank account linked to PayPal.  I unlinked it after they overdrew my bank account (because it turned out they withhold 15c of any international refund so my $600 balance was 15c short, so they went to my bank account for the entire $600 refund amount).   Now if I need funds out I apply for a paper check.  It's $1.80 fee but this is a lot less than an overdraft charge.

 

Recently I invoiced someone (at their request, first time I had ever done this) for $180.54.    I received payment and PayPal blocked it requiring I verify (either link my bank account of apply for a credit card).  I elected to cancel the payment and made other payment arrangements with the buyer.

 

Subsequent to this I have sold things on eBay and received the PayPal payments and not been required to verify.

 

I am obviously concerned as I don't ever want to get into a situation where I have to cancel an eBay payment (because PayPal has decided I must verify to receive it) and risk negative feedback.   So I attempted to obtain more information on the circumstances under which PayPal requires I verify, so I can avoid it.


Contacting PayPal support was obviously it's usual maddening process.  I initially telephoned and after 30 minutes of hold and being bounced between employees, all of whom knew nothing, I was hung up on.  
I tried messaging PayPal, four times and they keep just replying with a links to their terms of service etc which basically states they can hold up payments at any time for any reason.  

 

Does anyone here know anything about the circumstannces under which PayPal decides I must verify?   I don't think the transaction amount in the $180.54 was the reason as I've sold items on eBay for over $400 without issue.  Perhaps that I invoiced?    I have also heard there may be monthly and lifetime limits?

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2 REPLIES 2

PayPal_Drew
Moderator
Moderator

Hi dorkshoei

 

Sorry for the poor customer service experience and I'd be glad to explain ways in which we require verification! 

 

- Sending invoice/money requests do require you to verify your account. 

 

- Receiving payments through a PayPal button require you to verify your account. 

 

- Lifting your withdrawal limit may require you to verify your account. You have to complete 2 out of 3 of these steps. Verify account, link and confirm card, or confirm your SSN. If you add your SSN and confirm the card, you wouldn't have to verify the account. 

 

That is all I can think about at the moment so I do hope that helps you with what can happen. To receive payments on eBay, you do not need to be verified. 🙂 

 

- Drew

PayPal_Drew

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dorkshoei
Contributor
Contributor

Drew.  Thank you very much for this.   I greatly appreciate the information and you taking the time to provide it.

 

It is disturbing that I was unable to receive any answer during a 30 minute phone call.  After this I went 5 rounds of messages with your support via your website messaging system.  The first 4 rounds they basically ignored my question and either sent me a link to your website ("terms of service") stating that you could ask for verification any time or telling me that verification was necessary for site security.   Every time I would reply saying I was asking for information not on "the why" but on "the when".  Finally on the fifth exchange I received a reply which stated "to maintain the continued security of PayPal's community and every customer  that includes, we can not provide specific details as to when our internal security system will ask for further information. Know that when you are asked to verify, it is done to ensure the safety of your information, as well as the customer, or merchant you are dealing with at the time".

 

There is a reason that Paypal support has the reputation it does.  I can only improve if you are willing to listen to and act on customer issues such as the above.   I can see no reason why the information you provided me could not a) be available on your website  b) be provided by your support.

 

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