I certainly agree with you. I know lots of people are contacting Congressmen and other representatives. Last week, I printed out 138 pages (it took 3 pages for each blog page), along with a letter from me, to the US Attorney General, Eric Holder. The package has been delivered. Here is a copy of the letter I sent. If there's anything that can be done, the US Attorney can do it....................
Office of the Attorney General
U.S. Department of Justice
950 Pennsylvania Avenue , NW
Washington, D.C. 20530-0001
Dear Mr. Eric Holder:
As more and more people are affected by the financial collapse of this country, loss of jobs running rampant, the unemployment rate exceeding 10%, many of these people are turning to alternative ways to make money to sustain their families. Many people are trying to sell unwanted items on Ebay, the online auction giant.
Ebay requires payments be made through Paypal, a company owned by Ebay. Unfortunately, Paypal has recently instituted a 21 day hold on all payments received through them for Ebay sales. Although Paypal pays themselves the fees owed to them immediately, they hold all other funds until (1) feedback is received by Ebay – you have to tell Ebay that feedback has been received, or (2) 21 days have passed with no issues. (Telling Ebay or Paypal that feedback has been received still doesn't guarantee that they will release your monies.)
Payments received by Paypal include shipping costs required to mail items to purchasers. Most people don't have these funds just laying around doing nothing. In order to ship the item, they need the money. If they can't ship until the funds are released, they run the risk of losing the sale altogether.
I know, personally, one individual who lives on disability payments of less than $700 per month. Trying to make ends meet, he occasionally sells on Ebay. Most of his items sell quickly, but in order to mail the items, he must borrow the shipping costs from friends and family. This doesn't seem quite fair.
Let's suppose you buy a car. Are you permitted to take the car unless payment has been made to the dealership? No. Suppose you go to Sears and buy a washer and dryer. Will they deliver it to you without payment? No. When you buy online, do you first have to pay for the item before they will ship it out? Yes. There is nowhere in this world where you can walk out of a store with item in hand unless the store has been paid. Yet, Paypal and Ebay have placed themselves above all others and say, the seller does not get paid until the item is received and there are no complaints.
I don't see how, legally, Ebay and Paypal can do this. I am writing this letter to you on behalf of the millions of sellers on Ebay each and every day, who try to make a living, yet are denied that right.
As the Attorney General for the United States of America, I certainly hope that you can check into the legalities of these actions. I know Ebay and Paypal have probably found some loopholes and are working within those loopholes, but it's time those loopholes are closed for good.
When a person sells something, they need to be paid for that item. Before they ship an item, they need to be paid for it. A seller on Ebay should not have to relinquish their rights, just to sell. They are not paid interest for the 21 days that Paypal holds their monies, which is, in itself, extremely unjust. They are violating every person's right to be paid for something they've sold.
This needs to be investigated. This is as urgent as any other financial institution's underhanded tactics. It needs to be dealt with immediately.
I am attaching many pages of complaints which have been posted on the Paypal Community website. You can see for yourself that these complaints are all for the same reason.
I can only hope that something IS done about this, quickly......But, in the meantime, please continue your complaints with your Congressman and other representatives.....
