Why do payments get put on hold and how can I make it stop in the future?

Cynthena
Contributor
Contributor

I am a digital illustrator, I do not sell physical products so I have never needed to ship anything. My customers are paying for a service, in this case an illustration.

 

I collect payment in the same way each time - I create an invoice that I send to the customer via email, and they pay through that. When I create this invoice, I make sure to specify the order is not going to be shipped, there's no need for an address.

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So why do payments still randomly get put on hold, with paypal assuming that a product needs to be shipped? What is the point of this option if it doesn't make a difference? I can say the order is 'processed' but that still forces me to wait another week minimum for the payment. When I looked up other people with similar issues they were told to have the customers confirm the transaction, but that option doesn't appear for mine. It's worth noting that when making payments these customers never get prompted to confirm whether or not they're buying a physical product. They just make the payment.

 

I already know customer service is useless, and I've accepted that I'll have no choice but to wait. I just want a solid answer for *why* this happens. It doesn't happen with every payment, it just seems to randomly be applied. If this is a bug, why on earth has it not been fixed? People have been reporting this issue for years. If it's something I'm managing to do on my end, then what is it and why is there nothing informing me on what exactly it is?

 

I already plan on closing my account and switching to another service when this payment is finally done processing, because this is ridiculous. I just want an answer for why so many people have to put up with this in the first place. I know those running paypal aren't affected by this, but for people making a living online, having to wait an entire week for even small payments can be devastating.

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2 REPLIES 2

MCINVEST
New Community Member

Hello guys

sorry for my english i speek french

you have nexs to your problem ?

because i have the same i but service and no stuck and i have my account blocked...

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kernowlass
Esteemed Advisor
Esteemed Advisor

@Cynthena 

 

The hold as per link is for new sellers of goods or services.

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

With payments received for tangible goods Paypal would request valid tracking information confirming the item has been delivered to the buyer. As they can validate the tracking information online, once it is delivered they can release the funds. IF you have received the funds for a service / virtual or digital sale OR no tracking number is applicable Paypal would be unable to release the funds any sooner than 21 days.

HOWEVER If you mark the transaction as processed then the buyer may have the option on their account to mark the transaction as delivery/satisfied. If the buyer confirms this by clicking on the "Confirm Receipt" button, the funds may be released to you sooner ie 7 days after the buyer verifies receipt. This is not always available or guaranteed. 
If not then sadly its 21 days.


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