Ok, so having had a PayPal account for years recently had this issue, PayPal claiming due to an increase in business we are a risk and funds should be held in order to cover resolutions and refunds, back history have sold garden product which sell from April to august and so always have had an increase for this period also covid has made ordering online the common thing to do, also over the years we have had no cases against us on PayPal and keep our eBay account as top rated seller etc. I now have stopped selling on ebay as cannot afford the high held value PayPal hold, margins is only 20% so having 15% of this held is damaging for us to operate. Now I currently have a negative balance due to some refunds being processed and PayPal are threating additional restriction if I don't top up my PayPal balance even though they are holding over £8000 our aver transaction is £250.00 so my question is why would they ask for more money when they already are holding so much in the name of refunds??? also what really got my annoyed was I have external websites and their sales office has sent me an email saying if I move my merchant service to them I can not only have the funds held removed but they will actually add some funds to my paypal account as a think you? surely this amounts to black mail, speaking with my local MP and the federation of small business which I am a member they are quite astounded at this action as it could be interpreted as very underhanded sales tactics? anyone else had this issue, I am trying to put a case together against Paypal for this action as it just cannot be right we put millions through our accounts and merchant for card payments and they don't do this kind of holding other peoples money? I can only imagine the interest they must be making of the back of companies.
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