Why holding funds is necessary?

momoneymoholds
New Community Member

Just a question so give me an answer. Any lawyers out there?

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44 REPLIES 44

profdata
Frequent Contributor
Frequent Contributor

Paypal started holding funds because they were paying out buyer claims from their own pocket.

 

Some sellers were sending nothing or just junk, clear out their Paypal account.

 

Buyer would file a Paypal claim, and since the sellers account was emptied Paypal paid out under their protection plan.

 

Now buyers with less that 100 feedback, or low DSR's have the funds held up to 21 days.  The holds can bereleased earlier if the buyer leaves feedback OR the tracking shows delivery

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madjen
Contributor
Contributor

That is NOT true! I have 100% feedback,1400 pts and DSR above 4.5 and they still held my

funds and if you read other posts so did a lot of other people!

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profdata
Frequent Contributor
Frequent Contributor

@madjen wrote:

That is NOT true! I have 100% feedback,1400 pts and DSR above 4.5 and they still held my

funds and if you read other posts so did a lot of other people!


What were you selling.  If you are selling in certain categories, the holds may apply.

 

Here are some reasons we might hold your payment:

  • If you've been an eBay member for less than 6 months, and haven't sold very much on eBay yet

  • If you've a Feedback score of less than 100, and don't have a record of good performance

  • If you've a buyer dissatisfaction percentage* of 5% or greater

  • If your average detailed seller rating (DSR) is less than 4.5

  • If you've received fewer than 20 detailed seller ratings in the last 12 months

  • If your item is in a high-risk category, such as gift certificates, video games, cell phones, computers, or consumer electronics

  • If there's an open dispute or claim on the transaction

 

*Buyer dissatisfaction percentage is measured by calculating negative events as a percentage of your transactions. Negative events include negative and neutral Feedback, Detailed seller ratings of 2 or lower, and disputes for items not received or significantly not as described.

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madjen
Contributor
Contributor

Like I said before, NONE of that applied to me, I read that already.

They are NOT following their own rules and I just received a email

from paypal saying that 'because of my good ratings,blah,blah,

blah, they have released the hold on my account. That I don't believe

either! I think the reason is because I have not used ebay since they

did that to me and their are many others that are protesting in this

way. It works!

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Annitook707
New Community Member

I am definitely cancelling my paypal and my ebay account for this. I have never had this problem before. I have three ebay and paypal accounts. Ebay is like a second job to me and prompt payment on my listings is a must. I have bills to pay. This is extremely unfortunate but i cant wait  this long for whats rightfully mine. After I receive the money from them I am through.  

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alucard
Contributor
Contributor
I admit that I am new here but c'mon. They are holding 9 dollars? Thats right I sold some lights for 9 bucks and paypal is holding that. Why would I scam for 9 bucks?
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surplusdealdude
Advisor
Advisor

Nine dollars to you is 2 weeks pay to someone in China and Chinese sellers can register on US sites.

 

Paypal has no way of knowing if you're legitimate or not, so every new seller gets frozen.

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surplusdealdude
Advisor
Advisor

What all the complainers here are forgetting is that witholding money is standard operating practice in merchant banking.

 

If you sign up to take credit card payments yourself, it's the usual practice for the banks to withold payments to your account, depending how THEY SEE the risks of fraud and mistake.

 

Paypal is just following the pack, that's all.

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Penoozer
Contributor
Contributor

Pay no attention to Surplus Deal Dude!!  He is condescending and counter productive.

 

The rest of us know what is really going on with this B.S. from ePal!!

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