You are viewing the PayPal Community Archives. This content may be old or outdated. Leave the Archive
I apologize if this has been asked before but I just need to know. I recently purchased an item and I paid for it. When I go into my paypal, the amount I paid for the item is gone and it says that the payment to the seller has been completed. So now the money has been taken out of my account and put into her account and it just needs some time to process. However, the seller has just informed me (4 days after I already paid for the item) that she will not ship the item until the money is finished processing and is clear, which it can take up to 21 days to clear. Can they even do that? Even though the money is processing, it's still in the account. And aren't you're supposed to ship right away?
Yes the seller can do that. Things are never what they seem sometimes. Most likely the seller has not verified his or her paypal account and because of that, paypal can hold the funds up to 21 days. Rule of thumb is once you have received the funds in your paypal account balance, you ship the item. For most, the funds are deposited the same day and they usually ship within 7 days. Per the user agreement, paypal recommend that the seller ship all items within 7 Days after receipt of payment. Most likely the seller is paranoid because the funds are being held and in turn, it's now your problem.
What are your options, well you can wait it out, you can contact the seller and request a refund, or wait a few days and open a dispute against the seller for not shipping.
This has nothing to do with a non verified account.
The seller falls under the 21 day hold policy.
New sellers can have their payments held up to 21 days.
The holds are usually released with 48 hours of the D/C showing delivery.
The e-mail and paypal transaction tells the seller the payment has been made, and that they are cleared to ship the item to you.
Also you can file a dispute (item not received) with Paypal.
What this seller is doing is just going to make Ebay/paypal hold funds from more of their transactions.
E-commerce econ 101
Professor Paypal is teaching his fresh faced crop of banking interns: Lets have a peek
- "millions of dollars in "new seller" funds each day X 21 days + 2-3 perhaps 4 days "extra" processing time calculate at Prime lending rate + or - 2 pts , indexed for inflation and what would we get master Johnnie?"
"Gollee Gee Professor PayPal, if we hold their money that long we're going to go broke just paying the simple interest."
The wise old professor chuckles heartily.
"Silly lad, were not a bank, we're an e-company. We don't pay them interest, We keep it, and ours too. And We'll charge them a transaction fee to do it."
"But won't they all just go to their banks and do same day transfers. Or even just start working directly with Visa small business services to process their own payments and use the interest to build real brick and mortar stores?"
"preposterous. Too boring, hard and besides, we bought all those last week"
Tune in again next week for the exciting launch of DayPal, the easiest way to care for the kids. Simply click the button implanted into your child forehead and caring professional Jr asset handlers will love nuture and hold your children, for 21 glorious days.
eBay sellers who are new or below standard are subject to having every payment held until they prove delivery.
This has nothing to do with verification.
so in other words, once the seller ships and the delivery is proven, they will get their money. of course this creates a catch 22. if they need the money to ship, then they cannot ship until the get the money, but they cannot get the money until they ship.
boy am I sooo glad that I started selling years ago.
Your seller is confused. They are subject to the hold for new or low performing sellers. Your payment has cleared. It is not processing.
If the seller logs in to PayPal they will see shipping instructions on the Details page telling them OK to Ship
This is a totally different situation from an uncleared eCheck.
Your seller needs to ship now. You can file an Item Not Received case if they do not. You are also free to make your displeasure known with DSR ratings and feedback. The seller would be very foolish to make you wait 21 days. The faster they ship and prove delivery with tracking, the faster they get their funds released.
Basically as the Buyer you need to contact EBAY directly and demand your funds be released to the seller. When you make a purchase on EBAY you are not paying EBAY you are paying the SELLER. The only monies that EBAY has a legal right to is the fee that they charge the SELLER. Contrary to their policy they do not have legal right to hold monies. They are taking advantage of their fudiciary responsibilitiles and financialy hurting both the BUYER and SELLER. The problem is until Buyers and SELLERS fight back with Ebay and stop the manipulation their illegal policies will stay intack. As the BUYER go back to EBAY and demand your monies be released, it is not Ebays money to hold. There have been larger companies than Ebay that have had policies to do what they want, legal or not. Those companies have gone down in flames when they have chosen to not adjust their policy. If no one speaks out they will continue to get away with it.