Paypal funds availability - please help to clarify somethings for me

[AceMusic]

I wish to redesign my listing templates (I currently have no listed items on ebay having taken a year out) - but I'm at a loss as to where to begin - specifically in relation to paypal's new funds availability policy.

I need help with the following (primarily so that my funds are moved from pending balance to cleared funds asap):

1. If I send items using tracked delivery - is this guaranteed to speed up access to my money?

2. With regard reserves (as described on paypal's help pages) - can I expect to automatically have a 10% rolling reserve applied to my account? What about minimum reserves - can I expect to have one automatically applied? The help page gives an example of £1000 - I'm guessing (hoping/assuming) that paypal doesn't apply these randomly? How could I be expected to be trading for several months without being able to pay myself anything, until the minimum reserve was met?

3. Because I haven't traded in approx. one year - will paypal now treat me as a new user, holding on to funds for 90 days - as reported by some on the forum?

I want to get going with my ebay trading once more - but find I'm anxious about likely cash flow issues stemming from paypal's new funds availability policies - so any help would be appreciated.

Thanks - groovymuzik

[PayPal_david]

Hi there AceMusic,

I will try and answer each of your questions individually below:

1-

If you do have holds placed on your transactions, you can provide us with a tracking number showing the item has been delivered at least three days ago and we will be able to release the funds to your PayPal balance.

2-

Reserves are not placed on your account automatically. Depending on how much you receive or what items you are selling, this could result in reserves on your account. For example, if you haven't sold in a year or so and then you receive 10k in one month, this could result in reserves being placed on your account. If you are selling event tickets or other potential high risk items, this could also result in a reserve on your account.

If you were to have a reserve placed on your account, we would advise you of the reserve before we put it on your PayPal account.

3-

If you have not sold anything for a year or so, I would think that you might have holds placed on your payments for a few weeks. When you are listing items through eBay, you might be advised that your funds will be held for up to 21 days. If you follow the process in answer 1 above, we would be able to release your funds to your PayPal balance after 3 days from when the item was delivered.

Please let me know if you require additional assistance in future.

David.

[AceMusic]

Hi Paypal_David

Thanks for your reply.

In point 1 you say 'if you have holds placed on your transactions'. I thought  this was inevitable on all transactions. This may be where my confusion/anxiety is. I though the new funds availability issue applies to all sellers and all transactions. In other words, all monies from all transactions remain in your pending balance until such time as the buyer has left feedback.

I am unclear as to what happens if I send an item without tracked delivery, but the buyer has left feedback.
 Without tracked delivery, and even with feedback left - do I automatically have to wait 3 weeks for the money to move from pending to cleared balance? This is my concern - since I am unsure I can afford to include the cost of tracked delivery within the purchase price - as ebay's policies clearly prefer.

My friend and fellow ebayer has reported no delays in accessing his paypal money for ebay transactions - and wonders what I am talking about when I raise my concerns! His experience is clearly no different to before.

If am I to get going with my ebay trading - I would prefer to be forewarned and fully understanding this policy - although it's difficult to do so without current trading experience. Should I just '**bleep** it and see'?

Thanks for the clarity on the other points - I understand them now.

In a nutshell - does funds availability effect everyone? Does not sending items via tracked delivery automatically give me a longer wait on all transactions of up to 3 weeks - even after the buyer has left feedback? Thanks for your assistance.

[PayPal_paula]

Hi AceMusic, 

When an item is on hold (under our 21 day payment holds) and positive feedback is received then your payment can be released within 24hours. We recommend that you ship your items using tracking information as not all buyers leave feedback. In the case were a buyers does not leave feedback and you have used tracking information we can then release the payment once item has been delivered for 3 days. 

If you have not used tracking information and your buyer does not leave positive feedback then you would have to wait 21 days before the payment can be released. 

Please note: you should send items tracked to ensure that you are protecting yourself as a seller and to qualify for our Seller Protection policy.

Also, all new sellers are subject to payment holds. 

I hope this helps clarify your questions

Paula 

[AceMusic]

Hi Paypal Paul

Thanks for your reply and apologies for the delay in getting back - the combination of taking a year out of my ebay trading and my concerns about the paypal funds availability policy have really taken the wind out of my sails.

My understanding based on your and previous responses is that the only way to guarantee quick access to my funds is to send items with tracked postage. In the event of a buyer leaving pos. feedback, funds will also be available (although some comments on the ebay and paypal forums seem to challenge this notion.)

It seems I must accept that a 21 day delay in funds availability is inevitable since I haven't traded for over one year. This has been a further disincentive to restart my trading - since I used to experience cash flow problems before this new policy - although I concede the immediate funds transfer (of cleared funds) to my bank account will help.

IMO: I see the funds availability as an obvious push to get all sellers to send items with tracked delivery (very expensive on overseas orders) together with ebay's push to encourage sellers to include postage costs in the purchase price - no coincidence that ebay are now offering a tracked delivery service.

I see this move as being more about ebay and paypal revenue flow - presented in the guise of making things better for both buyers and sellers. The bottom line is this: if I include the price of tracked delivery in the purchase price the cost of my listings will go up considerably, unless I absorb a great deal of that extra cost myself. Increasing prices is counter competitive - unless ebay was rolling out tracked delivery as a mandatory option for all sellers - which it isn't ... yet.

My only choice it seems is to try it and see - maybe I will be surprised that my customers will be happy to pay for tracked postage (within the purchase price) - but previous correspondence with customers would suggest otherwise.

That's my two cents ... thanks for your help.

Dave - AceMusic