We tried out the PayPal Here Card Reader for a recent retail show as a replacement for our Streamline/Worldpay card payment machine. The card reader worked fine however PayPal have applied 100% reserve for 30 days to our merchant account. PayPal's customer service said that it was in the T&Cs when downloading the app for the PayPal Card Reader and they would give feedback to the sales team. The 30 days reserve certainly wasn't obvious to us in the T&Cs. This would play havoc with our cashflows if we put volumes through PayPal and to add insult to injury PayPal is the one making interest on our cleared funds for 30 days! We don't think we'll be moving off Streamline/Worldpay which do pay quickly straight to our bank account and any payment disputes and charge backs are handled using the direct debit to our bank account and the contractual T&Cs. As for PayPal get your act together! Nice card reader idea but then you just had to ruin it with the rolling reserve!
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