Thread: PayPal May Hold Funds 21 Days?!

Now here's something I wasn't aware of with the new ebay rules changes, PayPal may decide to hold up an eBay seller's funds for 21 days (under certain circumstances)!

eBay's FAQ about the21-day hold states: In a small percentage of cases where it has been determined the risk of dissatisfied buyers is higher, PayPal may delay release of the payment funds to the seller until the buyer has left a positive feedback or 21 days have passed without a dispute, claim, chargeback or reversal filed on that transaction.

The FAQs state that PayPal considers a number of factors in determining a whether a transaction may have a higher risk of dissatisfied buyers, including the following:

Seller's % Positive Feedback in the last 30 days
Seller's Detailed Seller Ratings in the last 30 days
Final price for the item
Shipping & handling fee
Seller's eBay tenure as an eBay member
Seller's total number of Feedback
PayPal will release the hold when the earliest of the following occurs: the buyer leaves positive feedback; 3 days after confirmed item delivery; or 21 days without a dispute, claim, chargeback, or reversal filed on that transaction. (PayPal said if a buyer leaves a negative feedback but does not initiate a dispute, PayPal would release the funds to the seller after 21 days.)

PayPal's 21-Day Hold Policy for eBay Sellers

Now that would definitely suck...

Well, it would eliminate a % of scam sellers?
But reading the new rules, most sellers on ebay should not have to worry about this one.

If it eliminates the scammers, I'm all for it. The only problem is it makes it more difficult for legitimate sellers. Who really wants to wait 3 weeks for their money?

Suppose you get an undeserved neg from a buyer? I just got one from a buyer who said I was slow in shipping.. I work and can only get to the post office on certain days anyway, plus there was a postal holiday so it was 5 days before I could ship.. is that slow? Yet that kind of neg could result in future PayPal payments being held up for 3 weeks? No thanks!

Originally Posted by dav3.tv

Suppose you get an undeserved neg from a buyer? I just got one from a buyer who said I was slow in shipping.. I work and can only get to the post office on certain days anyway, plus there was a postal holiday so it was 5 days before I could ship.. is that slow? Yet that kind of neg could result in future PayPal payments being held up for 3 weeks? No thanks!

you got the shaft on that one for sure! :sangry:

Thats understandable I guess. But I didn't know about it so thanks

i have drawn away from ebay i used to sell scripts and web stuff on there but now people sell them for just pennys makes it hard to compete

I had the same experience.. I paid $175 for resale rights to 40 adsense sites and made $4000 quickly.. however, people started selling the same sites w/o first buying resale rights until the sites I sold for $40/40 were selling as cheap as 99 cents/40! Some people always ruin it..

Originally Posted by Love God

i have drawn away from ebay i used to sell scripts and web stuff on there but now people sell them for just pennys makes it hard to compete

i watch who i let pay me with paypal because the scammers know they can screw you paypal dont protect the seller on digital goods so all the scammer has to do is buy the item get it then do a paypal dispute and your screwed

Originally Posted by dgridley

I had the same experience.. I paid $175 for resale rights to 40 adsense sites and made $4000 quickly.. however, people started selling the same sites w/o first buying resale rights until the sites I sold for $40/40 were selling as cheap as 99 cents/40! Some people always ruin it..

Yeah, years back, could make some good money selling ebooks, scripts, software.
Then when they expanded to asia, india, etc....the cheap sellers overran ebay.
Even as you say, selling without resale rights to do so.
Why so many products today have in the license that the product can not be sold on ebay or any auction site.

Originally Posted by webster13045

i watch who i let pay me with paypal because the scammers know they can screw you paypal dont protect the seller on digital goods so all the scammer has to do is buy the item get it then do a paypal dispute and your screwed

Wrong!
paypal dont protect the buyer on digital goods
I've got couple of "smart" guys who tried to chargeback after receiving digital service and Paypal always was on my side. Of cause it's a pain to wait while money onhold, but eventually everything was fine with me.

When it happened first time I was shocked and upset, then called Paypal to talk to the rep and they explain all the procedure.

Paypal certainly don't protect buyers on digital goods, bitesites ripped me off last month and never provided a VPS I ordered and paypal couldn't do anything as it was a digital product. I've put it down to a bad experience though and intend to find a new online payment gateway provider. Bitesites got a lovely review from me on webhostingtalk, so I lost $25 and they gained a bad review that ranks pretty high in google

Try AlertPay, not bad payment processor

I've stopped using Paypal altogether. Too many bad things with Paypal holding funds

I've used PayPal for 4+ years now and do a few grand a month through them and haven't had any issues with them holding any money.

The fee's they charge are just ridiculous though.

Originally Posted by HLJames

The fee's they charge are just ridiculous though.

Their fees are actually low as hell compared to most other services.

Originally Posted by GRIM

Their fees are actually low as hell compared to most other services.

really mg: I had no idea about those sorts of things, I would have thought the other way around!

Originally Posted by timsdd

really mg: I had no idea about those sorts of things, I would have thought the other way around!

Many online processors charge 15% or more! Plus monthly fees.
Try having a standard merchant account, per transaction fees, monthly fees, etc, etc costs more than Pay Pal in many if not most cases.

Originally Posted by GRIM

Many online processors charge 15% or more! Plus monthly fees.

Holy cow! I'll never think to complain about Paypal in that case, and I already thought they were low.

I am all for it also. I know if paypal closes your account they will hold your funds for 6 months.

The only thing with ebay is that out of every few hundred customers you will get one buyer who will leave you a negative feedback regardless you only need a few of these characters to neg you in close proximity to each other and you are in the doghouse.

this doesnt really suprise me after all thats gone on with internet fraud.