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Paypal holds your funds and makes money off of it

mrdavidperry
New Community Member

Paypal holds your funds and makes money off of it

Anyone else angry about Paypal holding your funds when you make a legitimate transaction? Right now, they're holding $3,000 of my business funds for up to 21 days. They claim it's to help avoid fraudulent activity but this is not true. They have no right to hold our money. In fact, they were already sued once for this in a class action lawsuit a few years ago. I'm about to start another class action lawsuit if anyone else in interested in joining. Just let me know

 

Dave

 

 

 

2 REPLIES 2
cschumaca
Contributor

Re: Paypal holds your funds and makes money off of it

I am having a horrific time with this too. They just freeze and hold our money. For no reason. Paypal is now causing my business to suffer. I run an impeccable small business, no disputes or complaints. They are forcing my clients to give me "performance reviews," which is a violation of my privacy, as well as my clients. I have never had a complaint. This is my money that paypal is now just holding. They did not earn it.

 

I am contacting my attorney tomorrow. This is illegal. Totally illegal. And I am fully prepared to file a lawsuit. As it seems I am not the only one, I would be happy to join in on or explore Class Action.

kernowlass
Esteemed Advisor

Re: Paypal holds your funds and makes money off of it

@mrdavidperry 

 

New seller hold which everyone goes through and has done since paypal started.

Read the link.

https://www.paypal.com/us/smarthelp/article/my-payment-is-on-hold.-why-is-this-happening-faq3297

Secondly the class action suit was to do with funds being held for 180 days after an account holder was banned and was sorted out after that class action suit. They can still hold funds for 180 days but had to make some minor adjustments to the policy.

 

Lastly you can no longer do a class action lawsuit, you can do a private lawsuit if you have the funds to do so, again read the link.

https://www.theverge.com/2012/10/17/3511792/paypal-class-action-suit-ban


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