Funds available before item delivered?

[Mr_Orange]

Hello,

I had a buyer purchase an item I was selling on Ebay earlier this week. Paypal showed the funds, so I went ahead and shipped via UPS ground and added the tracking number. I logged into my paypal account and it shows that the funds are available. In my experience the way it works is the funds in paypal are always on hold until the buyer receives the item, and then a 3-4 day wait before the funds are released (depending on various factors). This seller has a 99% feedback score and has a good selling/buying history. The item is not scheduled to be delievered until next Thursday, 9/8. I can't for the life of me figure out why paypal has made the funds available to me before the item has been delivered. There is an item I want to use the money for to purchase on ebay because it is a great deal, and the auction expires in 14 hours, but I'm afraid and suspicious of this whole situation on my funds being available already. Any suggestions, theories, or ideas?

Thanks!

[kernowlass]

@Mr_Orange

The funds being on hold only applies for a short while whilst you are a new seller.

After that you get the funds the instant that the buyer has paid.

Paypal now trust that if a buyer files a dispute you will refund the buyer if they decide in the buyers favour.

[Sabina_Angelia]

Might be on that transaction paypal did'nt put your money on hold, same with me not all of my selling thing paypal held it..and that is a good thing. Paypal may detect that you establish a good selling practice.

[Mr_Orange]

So you think I'm safe to go ahead and use the funds to purchase something on ebay?

[kernowlass]

@Mr_Orange

The hold is not for you or your buyers protection it is for paypals.

When a buyer pays you then paypal credit you the funds and they wait for the buyers payment to complete through to paypal. So if the buyer files a dispute and you have withdrawn those funds then paypal have to reimburse the buyer and then come after you to re-pay them.

By using the hold for new sellers just means that paypal does not have the hassle of chasing you to repay them after they have refunded a buyer as they already have the funds on hold.

But after a while they release the hold and trust you to refund your buyer if the need arises as you have a few sales under your belt.

[Mr_Orange]

Understood.

I guess the thing I'm trying to decide is whether or not to buy this other item because it is such a good deal and the auction is going to end later today. The risk being if I go ahead and use the paypal funds from my recent sell and make the purchase, and then the buyer who has not received the item I shipped to him yet has an issue with it, then it could become a sticky situation. I imagine there is a less than 5% chance of that scenario playing out because I know the item I sent him is as described and fully functional. But if I already use the funds and then he wants a refund, seems like a pain in the **bleep**. Ahhh, decisions decisions. 

[DPCreations]

It seems like a high risk; it's probably better to hold off on any new purchases until your general finances are able fund the pruchaes.

[kernowlass]

@Mr_Orange

If you spend the funds in your paypal balance and then the buyer files a dispute and wants a refund then you could fund it from your bank account you don't need funds in your balance to fund a refund or payment.

But to be honest as long as you send trackable and describe the item correctly the odds of getting a dispute are low.

[ShiraYuki]

I guess you graduated already from the funds availability program for eBay hold.

as long as you meet this criterias you're good:

At least 90 days have passed since your first successful sale on eBay

You’ve received at least $250 from eBay sales

You’ve had at least 25 eBay sales

just maintain good selling habits to avoid getting enrolled again.