Why paypal holding funds for Software consultancy's category payments?

[hksangh]

Hello,

I would like to know why paypal is holding funds for software consultancy's category payments for 21 days?

The services are already given and then the seller got paid. Its not goods. Its services.

How to claim the fund withdrawal in that case?

Thanks.

[kernowlass]

Hold for non-ebay items  FROM PAYPALS HELP PAGES  >>

If you recently started to sell with PayPal and you don’t have any selling history with us, payments you receive (except eBay payments) are now being placed into your pending balance. As long as there are no problems with the transactions, you’ll have the money within 21 days.

Typically, you can access these payments within 7-14 days if you:

Send the item to the buyer’s postal address, as shown on the Transaction Details page
Mark the item as sent on the Transaction Details page and provide the dispatch details (for digital goods, mark the item as processed on the Transaction Details page).

Once you complete the below requirements, you won’t be considered a new seller any more, and you should receive future payments sooner.

Receive a predetermined number of payments
Wait a predetermined number of days from the date you received your first payment.

You can also view your remaining requirements and confirm your identity at any time by logging in to your account and visiting the Resolution Centre.

[hksangh]

Its not only about non-ebay items. Its "services" given to buyer. And then the seller got paid by the buyer. And still paypal holds that funds for 21 days.

Do I need to get client's approval that the work has been delivered already?

Why are they keeping funds for the services business? I cant understand that.

[kernowlass]

@hksangh

They hold for goods AND services but if you get your buyer to confirm they are happy to have the funds released then you should get it sooner.

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[hksangh]

Hello,

Ok. Can u tell how to get the buyer confirm for the order?
What happens when someone select the order as processed? Paypal sends an email to buyer. Then what happens next?

What does the buyer gets in email?
Asking to understand the process. So that later if a buyer tells me that they got such mail, at least I can answer them regarding the same about the process.