I've been a business account owner for 7+ years. Our monthly income is in the 10s of thousands. This month, suddenly we exceeded some arbitrary limit of income (we exceed this value every month) and now Paypal is holding money from all the sales going forward until the next month. What a garbage system. I've not once had a bad customer interaction, and now Paypal just decides not to pay me? I have a customer who wants a refund, but guess what, that money is on hold, so I have to pay out of my credit card. What's worse is I requested to have this arbitrary monthly limit to be increased, and it immediately and automatically gets rejected. It's no wonder so many big box stores don't use paypal when they would have to deal with ridiculous stuff like this. I'd like to ask for assistance, but so far I've received 0 successful resolutions out of the 10 or so times I've talked to somebody. Paypal is about to lose about 10k in yearly income really soon.
The same just happened to me this month. PayPal suddenly started HOLDing funds again. My request for an increase is under review but technically I was already over their arbitrary limit by double (and did even more for the past 4 months) when they again startedg putting a hold on funds. I can't get anyone to make a coherent argument as to why this is happening. Their reason that I'm suddenly doing more business doesn't hold water.
And, the "we're protecting our customers" argument is nonsense. They're protecting themselves in the case we cash out and our customers want their money back. They're on the hook for it until they can claw it back from us.
Interested to hear if you've made any headway on the issue.
Same here. I've been a customer for at least 15 years -- now suddenly they are holding my payments! I rarely have disputes and have quickly resolved them when I did. For them to treat a long-time customer this way is very frustrating. They denied my request for access to more than $1000/month ("limited due to a sudden increase in sales"), even though in the past few years I've often had sales of well over $10,000/month. I've heard a lot of stories and warnings about PayPal holding money suddenly for no reason, but always assume those customers maybe weren't as upfront about everything and assumed it wouldn't happen to me, yet now it has. This shows me PayPal don't value their customers and borrows money from them on a whim. I'm considering being done with PayPal for good, since this just confirms what I've been hearing so often for a few years now.
