Appeal to remove rolling reserve on my paypal id

[tauqeerusmani]

Respected sir,

I am Tauqeer <removed> from India, a seller on ebay and I started a small business on ebay a year ago  I am very much satisfied and thankful to ebay for making such a good platform for selling our products. With all my efforts I decided to quit my job and made this as my profession the whole year was a golden period for me and everything was going well. When I started I only had one staff member but now as my work expanded, the number increased to 8. I have two ebay accounts the parent id is <removed> and child id is <removed> which are attached to my paypal id, everything was going well but on 13th of September I received a mail from paypal quoting that my  id is temporary restricted and I need to provide some information and tracking results of some items sold on ebay to which I immediately responded and provided them with the same without any delay. Within 48  hours I  received another mail stating that " we're holding a percentage of the total payments you receive each day as a reserve in your account. This reserve helps make sure that you have money in your PayPal balance to cover any payment reversals or chargebacks. We're going to start holding 30.00% of your daily sales in reserve for 60 days." 

I accepted the decision and continued my selling without any question. But now the situation has got worse for me as the rolling reserve amount has reached 10 lakh rupees (13,950$)  which is a very big amount for us . When I started selling on ebay I was not aware about any such policy of paypal.

When I contacted paypal for help they provided me an email id-

of my account manager <removed> and when I contacted him he reverted me back stating "To remove the reserves completely, we can appeal only after 6 months however let me raise it to my internal team and see what’s the best which I could do."

CONSEQUENCES CAUSED BY PUTTING THE RESERVE AND MY FUNDS ON HOLD:

1) I was doing business of 30000$ per month  and due to non availability of funds my sale declined to 15000$ and what affected me the most is that both of my ebay ids are also put on temporary hold as I was not able to pay the ebay invoice of 4000$ and as soon as I will get my reserve amount, my priority will be paying off ebay's invoice amount.

2) All my listings on ebay have been put down due to the restriction on the account because of my inability in paying off ebay's invoice amount and my whole business is about to shut down.

3) I am unable to pay the salaries to my staff as all of the 70% that I was getting I invested it in fulfillment of my orders that we were receiving on ebay. In these 61 days it was too hard to ship all of the orders as my 30% was on reserve but somehow we managed all these things  from my savings and shipped all of the orders and maintained a good record as my ebay rating is 98.1% positive and I couldn't afford to loose that too. 

4)-As my account has been restricted and my selling privileges has been revoked, it is a loss to ebay as well, as I was paying $3000 as my ebay fees.

5) I was having wide range of unique products and now buyer are unable to get those items.

6) I had few regular customers which I've lost due to this.

WHAT I AM ASKING FOR:

The situation is the worst for me and my family as my whole business is about to shut down which is a big loss to me. It is affecting my mental and emotional he as wellalth. This can only be made better if I could receive all my funds which have been put on hold in rolling reserve all together as there are many household chores as well which have been affected due to this and even technically saying  the whole amount belongs to me and instead of getting them in installments I would like that I receive it all together as it will help me in waving off all of my ebay fees along with maintaining  my goodwill on ebay. Goodwill once lost is hard to earn again which is a bigger loss.

By paying the dues to ebay I will be able to reinstate my and everything could be put in place and My small contribution to ebay and paypal will continue.

PLEASE TAKE THE NEEDFUL STEPS AND HELP ME AS SOON AS POSSIBLE AS I AM TOO MUCH DEPRESSED BECAUSE OF THIS AND EVERYTHING IS GOING DOWN THE WRONG LANE AT THE MOMENT.

your trusted seller and paypal user,

Tauqeer <removed>

[PayPal_Olivia]

Hi @tauqeerusmani,

I'm sorry to hear of the inconvenience that you've experienced surrounding the reserves in your account. Please take a look at this article for information regarding reserves. The section at the end of the article relates to how reserves may be able to be prevented.

I hope this information helps!

Olivia

[kingsbrand]

This is very true. Although on my case, I am not an Ebay seller, however the account limitation and hold went too early on my case when sales were just about to really grow. Due to several waiting time for several information on my case, a lot of supposedly good business went to waste. My issue is a lot worse I must say as they have not even given me a good offer such as a rolling reserve to at least be able to continue fulfilling shipments. They got the account/funds held for over 10 days now, with over 90% of revenue. The issue is that, if it was very clear of the type of hold that you should be expecting, you would be able to prepare. However, for newer merchants, and small businesses, these types of instantaneous holds out of simply getting significant change or rise of traffic and orders, which by the way are coming from organic traffic which you may not be able to control, will absolutely kill the business and turn into a failed business instead of getting more business. Risks management is good, however there must be a lot of better ways to manage this than put merchants in a position where there is a huge chance they would no longer be operational at all. The funny thing however was that what really triggered the hold was not the significant rise of orders, but the significant amount of withdraw request, as I thought it would be best to withdraw a little more upfront because the sales were growing and you simply just wanted to get every order fulfilled early. What supposedly was a good business and customer service became a horrible experience to both merchant and consumer. It hurts, and for the first time made me truly depressed. Yet still, I absolutely would love to comply with policies and procedures. I was just hoping and expecting a much smarter resolution than holding all funds completely and lock up the process.