Hi Paypal Community,
I'm looking at buying a business that uses Paypal as their merchant account. The business has a number of chargebacks and refunds that occur every month. I'd like to know what criteria Paypal uses to determine to place a hold on/freeze the account. For example, if the business generated $5,000 in sales, and there were 10% or $500 in chargebacks or refunds, would that prompt PayPal to put a hold on the account? Or is it a dollar value that determines it, for example, if you go over $10,000 in chargebacks or refunds per month does your account get frozen? If it works differently, please let me know.
Thanks,
Rory
