How would you feel if Paypal did this?

14 replies
There was a notification waiting inside my account the last few times I logged in.

Eventually I clicked the notification to find out about a *new* condition PP decided to impose.

Here is the screenshot. . .



After withdrawing a certain amount they want to hold onto my funds for 21 days.

You can request a limit increase "ONCE" every 30 days.

Strange this pops up as we go into the busiest part of the year.

My account is in the 5 figure plus a month and I also use several other payment processors and gateways with far larger cash flows than what goes through Paypal.

My other providers don't want to hold onto my cash.

What do you think?

Has this happened to you?

Best regards,

Ozi
#feel #paypal
  • Profile picture of the author Matthew Hart
    Hello Ozi,

    Sorry for the troubles you're facing, but this has never happened to me before. Anytime I make a withdrawal through PayPal, my money comes instantly, and it is not held by them at all. The only time I had an issue with PayPal was when a significant amount of money was being taken out, and they held it for 24hrs.

    To answer your question of what I'll do? I think it may be advisable to spread your options like Skrill and other platforms, and don't withdraw your money all at once but in parts.

    I hope you have it sorted and it never occurs again!

    Best wishes
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    • Profile picture of the author Oziboomer
      Originally Posted by Limerick16 View Post

      Hello Ozi,

      Sorry for the troubles you're facing, but this has never happened to me before. Anytime I make a withdrawal through PayPal, my money comes instantly, and it is not held by them at all. The only time I had an issue with PayPal was when a significant amount of money was being taken out, and they held it for 24hrs.

      To answer your question of what I'll do? I think it may be advisable to spread your options like Skrill and other platforms, and don't withdraw your money all at once but in parts.

      I hope you have it sorted and it never occurs again!

      Best wishes
      I've never had any problems with Paypal and I do use several other payment processors both online and offline.

      They are not restricting my withdrawals but they have added a cap where if my withdrawals exceed a set amount they are saying it will be an ongoing condition of holding everything above the limit for 21 days.

      I don't just sell information products but also a lot of physical products which have to be paid for.

      My concern is if I need to pay my suppliers and they've tied up several thousand dollars it will adversely affect cash-flow.

      I was just wondering if any other PP account holders who do significant volumes have experienced this issue or what they would do if they woke up one day to find a restriction on their business activities.

      Best regards,

      Ozi
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  • Profile picture of the author topcoder
    I never had this problem either, if I did, I would stop using it.
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  • Profile picture of the author atrbiz
    Unfortunately, I haven't had a great experience with PayPal. Years ago they held my business funds for almost 2 months because they needed to verify my account. even though I sent ALL forms of ID requested. This has happened to many PayPal business account holders, which is the exact reason why I stopped using them to process my client invoices. I process payments via checks or accept credit cards through a reliable cc processing system. I never have issues now
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  • Profile picture of the author JohnVianny
    Paypal is well known for freezing money.

    They are following an huge amount of regulation laws....

    Just use Stripe and stay more relaxed.
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  • Profile picture of the author theimunderground
    It's normal, especially if you're in eCommerce. There are ways around it, but it's still a major inconvenience. I'd recommend calling and speaking to the people in the risk department. They're the best ones to talk to about getting around that issue.
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  • Profile picture of the author katarina1
    That happens because they look at your business and decide that you might have xyz amount of refunds.
    You could have zero refunds but they want to feel safe.Also if you receive same amount of money on daily bases,they freez your account.I have a business in which I make website with all the features on it for somebody to start internet marketing and I sell it for $20.They blocked my account for 2 months .I didnt have a single refund .I use payza now,soon as you can,buy your own payment procesor.
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  • Profile picture of the author MikeFriedman
    It's a great way for them to promote their working capital loans, isn't it?
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    • Profile picture of the author Oziboomer
      Originally Posted by MikeFriedman View Post

      It's a great way for them to promote their working capital loans, isn't it?
      You might be right there Mike.

      I've used one of their working capital loans in the past and maybe they are setting up the situation to encourage another one.

      The other thing is I've had some large single transactions over the last few months in the 5-10K range and when they happen the account obviously gets a spike. Maybe they worry of those big transactions may have issues even though my refund rate is minuscule.

      I love some of the advice people give when it comes to Paypal because it shows they have little experience of both Paypal and other payment processors.

      When I first used Paypal I got my account limited within the first two days and then after providing all the business registration data etc that they ask there has never been a problem since.

      I suspect it wouldn't matter what payment processor you are using if your transactions get large they may all have a variety of restrictions.

      My offline business merchant account provider will call me whenever I have a "out of the ordinary" transaction. They don't block any funds but ask "Do you know the customer?"

      This last happened when I had one customer spend $42K over an 8 day period on two credit cards.

      They were supplying a major chain and were on a penalty deadline if they failed to supply.

      I had the only product available in the country that could fulfil their needs and I wasn't offering any payment terms so they had to pay.

      The Paypal account has had a few of these bigger payments go through and maybe I hit some predetermined limits which automatically imposes the restriction.

      When I get close to their limit I'll give them a call as I'm sure it won't be an issue for them to release funds or raise the level given my transaction history and relationship.

      At least they have given me a warning whereas when you first get your funds frozen you don't really know what to expect.

      Best regards,

      Ozi
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  • Profile picture of the author VidasVegas
    I never had this problem before though I am stuck with my paypal business account since few days and I am unable to get that back. Paypal support is worst and they don't answer on mails, Also they ask for the same documents for multiple times. I got limited account on the account, but your problem is different, You can try adding bank as well as cards to increase some more extra features on your account- that might help you.
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    • Profile picture of the author Sid Hale
      So which is it ??? What are we to believe?

      Originally Posted by VidasVegas View Post

      I never had this problem before though I am stuck with my paypal business account since few days and I am unable to get that back. Paypal support is worst and they don't answer on mails, Also they ask for the same documents for multiple times. I got limited account on the account, but your problem is different, You can try adding bank as well as cards to increase some more extra features on your account- that might help you.
      You posted this earlier today.

      Originally Posted by VidasVegas View Post

      PayPal? - absolutely for me is the best.
      Signature

      Sid Hale
      Coming Soon... Rapid Action Profits (Pro)

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  • Profile picture of the author baronet
    I'm not suprised whatever PayPal does! They limited my account a few years back, still can't figure out why. I'm just in the process of trying to set-up another one, as not having one has been a pain in the behind.
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  • Profile picture of the author Danny Cutts
    I have never had any problems but what I would do is give them a call and ask them Its amazing what a human can do and they may shed some light on why they have done it
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  • Profile picture of the author agmccall
    I would contact them and ask. They have always been helpful when I have called

    al
    Signature

    "Opportunity is missed by most people because it is dressed in overalls and looks like work." Thomas Edison

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