Paypal - I've decided to stop accepting it

golddustmedia

Just thought I'd post this here in case someone else is trying to decide what to do themselves.

I've been selling on ebay since about 1998, although over the years with changing email accounts/jobs/moving etc I've had several accounts.

Anyway, I've now made the decision to stop accepting paypal by default. I may still accept it for overseas sales or adhoc arrangements but it will not be the norm.

The reason? The absolute farce and runaround they're giving me at the moment, plus they have £150 of mine stuck in my account and I cannot access it for 6months OR until my address is properly verified.

Now here's the laugh. My home address is verified, as is my bank account. However they decided that activity on my account was suspicious and limited the account and the only way to unlock it is to enter a 6 digit code from a letter they send from the USA. Given the shocking state of the postal system I've already waited 20 days and phoned paypal several times but they're no help at all.

I normally withdraw money from my paypal account everytime it hits £50 (the threshold for a free bank transfer). However recently I sold several items in 1 week and the funds came in quicker than normal, as such there was over £200 in my account. Then I bought a new printer for £50 leaving £150 in the account.

I tried to withdraw the money and instead of allowing it paypal locked the account stating it was limited due to suspicious activity on my credit card!?

Since my credit card has not been involved at all (try explaining that to the phone monkeys they have for staff) and my own bank accounts are all verified I cannot understand why they've done this?

I accepted they would have to send a letter and I enter the code to sort it all out but now it's been 3 weeks and I've progressed no where.

The final straw was the rude lady I dealt with by phone today, ironically when I decided I no longer wanted to do business with paypal they will not allow me to close the account either!

Anyway I'm now waiting for either a letter or 6 months to expire.

I googled paypal and UK today and found a good site called "this is money" which has dozens of people in the same situation as me; link here: http://boards.thisismoney.co.uk/tim/forum.jsp?forum=104

Anyway, I've decided their charges are unreasonably high, their service poor and they seem to be happy to interpret the T&C's to their own gain whilst making life difficult for others. So as I started above, I've had enough and will try to stop accepting paypal for payment. I will clearly state why on my auctions and wonder how long it will be before ebay decide I've broken some rule for writing that on my listings? :mad:

Rant over. Decision final. Cheerio.

Hintza

Trouble is the hassle involved in getting the money in by other means and lower prices you will receive.

I for one wouldn't be buying.

Having said all that I agree (from what i hvae read) that they can be a shower and need to get their act together. Why not issue a leeter to them threatening legal action or something. But at least keep pestering them.

Good luck.

jacksons_mum

as a seller i completely agree with everything you say about paypal, but as a buyer i will only pay via paypal

StaffsSW

Notice how all the recent Cheap Listing days have had Paypal as requirement, and more categories can only be used if paypal is listed as an option?

As much as I agree that they are a pain, and there are much much better merchant services available, it is the only viable option to offer on eBay - other 3rd party checkouts are available, but do not integrate as seamlessly into the eBay buying process.

As a seller, i like to keep things slick for my buyers, and altough it may pain me, it is a trade off that I am happy to make.

It's a brave decsion you've made though, and every credit for it, but IMO it will cost you a lot more in sales than saving you pain and hassle.

golddustmedia

jacksons_mum wrote: »

as a seller i completely agree with everything you say about paypal, but as a buyer i will only pay via paypal

It's interesting you say you would only buy from someone who offers paypal, as I've actually been stung twice as a buyer in the last month too!

The irony is that I found as a buyer you have to give the seller time before you can dispute then allow another 10 days during a claim. So having paid by paypal if you discover the seller is no longer listed or suddenly goes from 300 positive feedback to a string of 20 negative in a couple of days you then have to wait knowing the seller has time on their hands to withdraw the money and cover their tracks.

At least if I'd paid through my bank you can alert them to the fraud and of course their name and address would be on hand having sent a cheque or I'd have bank account details.

I now feel that for buying within the UK I'd feel safer without paypal!

As for companies like Boots offering paypal payment, I'd rather use Boots own credit card processing and know I'm covered against fraud by my credit card company!

Yes, sales may be lower but I think I'll make up for a lot of it in confidence that I'll get no chargebacks, no fraud and no paypal fees! For me I've reached the stage that if I don't ditch paypal I'll ditch selling through ebay alltogether and find some other way to make extra income and clear out unwanted items.

Remember that from this month UK banking law has changed regarding cheques and now after 7 days the money is guaranteed and a cheque cannot bounce after 7 days like it previously could.

ormus

im sure ebay are breaking at least 1 european law on trading/consumer law?
if UK companies are not allowed to insist that you use their insurance or warranty, then ebay should not be allowed to insist that you use paypal.

should martin/MSE/we, start a campaign against ebay?
anyone up for a test case?

the only good news:
the more ebay does these idiotic things, then the more likely that google etc.. wiil start up an auction site.

golddustmedia

Ebay don't insist that you use paypal. They just make it easier and offer discount incentives if you do.


I'm more concerned with the business practices of Paypal. Essentially at their discretion they're able to seize or lock an account and the funds within and prohibit access to those funds for 6 months. The get out is you can have your money when you go through enough security verification but annoyingly since they control all that they seem very lax (if they bother at all) to deal with the evidence you supply by fax or email.
Other users have been told to provide purchase receipts for all the goods they've sold! Consider you're selling your old posessions, do you have the receipt for everything you bought 2 years ago?

ormus

golddustmedia wrote: »

Ebay don't insist that you use paypal. They just make it easier and offer discount incentives if you do.

they do on certain items.
and the list is growing.

golddustmedia

ormus wrote: »

they do on certain items.
and the list is growing.

Like what?
I've not seen anything to insist you use their payment method as that would surely be a case for the monopolies commission?

frivolous_fay

I believe it's compulsory to offer paypal on high value goods like games consoles, some electronics etc.

golddustmedia

That just seems daft. What if you don't want to accept paypal?

It seems to me that people are only really trying fraud via paypal. Nobody seems to bother with cheque fraud these days, and if they do it's normally obvious something is wrong when you get a cheque from the "Bank of Etheopia" arriving with foreign stamps on it etc. Why force someone to accept a payment method that is more open to fraud? (I know, I know...it's because they get an extra lot of fees, was a rhetorical question!).