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Anonymous

Vendors: PayPal woes? Account frozen? Help inside.
    #2895628 - 07/16/04 12:02 AM (19 years, 8 months ago)

PayPal may "freeze" a vendor's account due to the sensitive nature of this business. However, you may be able to get your funds released. Read on here:

http://www.paypalsucks.com/forums/showthread.php?tid=5223&fid=3&block=0

Good luck.

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Invisiblenight trainV
Stranger
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Registered: 11/14/99
Posts: 468
Loc: Midwest US
Re: Vendors: PayPal woes? Account frozen? Help inside. [Re: daba]
    #2896260 - 07/16/04 07:53 AM (19 years, 8 months ago)

Yeh, they released my funds and cut me a check about 20 months after they froze my acct.


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OfflineUncleMike
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Registered: 05/18/03
Posts: 964
Loc: S.W. Virginia
Last seen: 15 years, 4 months
Re: Vendors: PayPal woes? Account frozen? Help inside. [Re: Anonymous]
    #2943682 - 07/30/04 06:19 AM (19 years, 7 months ago)

they hold your money for 6 months before they release it and they don't pay you interest.

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OfflinepsilocyberV
old hand

Registered: 06/08/99
Posts: 1,839
Last seen: 1 year, 4 months
Re: Vendors: PayPal woes? Account frozen? Help inside. [Re: UncleMike]
    #2943884 - 07/30/04 08:27 AM (19 years, 7 months ago)

Yep, you're right Mike.. they will freeze your account with no warning and effectively shut down your ability to either remove funds, transfer funds, or accept new funds. Then 6 months later they send you a thank you note for the short term interest free loan you just gave them as they pay back the priciple.

However, even though PayPal tends to do this with great frequency, especially with "sensitive" businesses, it is also a tactic of traditional credit card processing agencies. In some cases they will take new merchants and "freeze" a pre-determined amount of deposits for a 6 month period as a "security reserve." This too is apparently an interest free loan to the processor. However, at least with these traditional merchant services provider you can continue to do business and receive money in the meantime.

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