To those using PayPal to aceept customer payments
- Thread starter Calendyr
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Firehouse Mike
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- Feb 17, 2014
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She has some good points for sure and sounds like she was definitely taken for a ride. I've been using PayPal since day one and have had no issues. I did have my account hacked once (got my info by hacking my Netflix account) and a phone call to customer service got it fixed immediately and the rep looked into my customers info to be sure they were not comprimised. All was fine since I caught it early. I'll keep them for now, I don't do a lot of processing with them, so I'm not super concerned.
Mike
Mike
sudsmobile
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- Jan 10, 2018
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If you're using PayPal and not Square, you're doing it wrong.
sudsmobile
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OK, for grins I watched the entire video and several things stand out. One, if you don't complete business banking records properly, you might have problems in the future. She self admittedly screwed up her PayPal business account. Two, PayPal is a bank. Banks have rules. PayPal might not be the best bank in the world, but typically crying on the phone while talking to the bank is not going to get them to suspend banking rules and regulations, just like going to the DMV without all your paperwork and crying is not going to get them to issue you a title to your car. Third, she doesn't understand how interest works if she thinks that PayPal made quite a lot of interest on a couple thousand pounds in 2 to 3 weeks. That is all.
I was an eBay power seller for years back in the early 2000s. I had several issues with PayPal. All my issues were resolved with a quick phone call and maybe some follow up paperwork.
I was an eBay power seller for years back in the early 2000s. I had several issues with PayPal. All my issues were resolved with a quick phone call and maybe some follow up paperwork.
custmsprty
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- Apr 11, 2012
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I have used paypal since 2004 for literally thousands of transactions and have never had an issue what so ever.
Calendyr
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The error was pretty minor, the fields for business name and personnal name were inverted on the form. And she did go through the process to have it fixed... several times. Only after she made a video denouncing the situation did PayPal act to resolve the issue. If it had been job blow without hundred of thousands of subscribers, her money would probably still be frozen. And from what she is saying, she is not the only one, plenty of people on the PayPal forum had the same issue, for years....
I don't know about you but if Square decided to freeze my account when I have several thousands of dollars in transaction pending... It would be quite an issue for me.
As for PayPal being bank or not... I have no idea. She says they are not but I did not research it. If they are a bank, then I think there are ways you can get the issue fixed since bank are regulated by the government. For private companies, I don't know how you would go about it.
custmsprty
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Thiel, a founder of PayPal, has stated that PayPal is not a bank because it does not engage in fractional-reserve banking.[100] Rather, PayPal's funds that have not been disbursed are kept in commercial interest-bearing checking accounts.[101]
In the United States, PayPal is licensed as a money transmitter, on a state-by-state basis.[102][103] But state laws vary, as do their definitions of banks, narrow banks, money services businesses, and money transmitters. Although PayPal is not classified as a bank, the company is subject to some of the rules and regulations governing the financial industry including Regulation E consumer protections and the USA PATRIOT Act.[104] The most analogous regulatory source of law for PayPal transactions comes from peer-to-peer (P2P) payments using credit and debit cards. Ordinarily, a credit card transaction, specifically the relationship between the issuing bank and the cardholder, is governed by the Truth in Lending Act (TILA) 15 U.S.C. §§ 1601-1667f as implemented by Regulation Z, 12 C.F.R. 226, (TILA/Z). TILA/Z requires specific procedures for billing errors, dispute resolution, and limits cardholder liability for unauthorized charges.[105] Similarly, the legal relationship between a debit cardholder and the issuing bank is regulated by the Electronic Funds Transfer Act (EFTA) 15 U.S.C. §§ 1693-1693r, as implemented by Regulation E, 12 C.F.R. 205, (EFTA/E). EFTA/E is directed at consumer protection and provides strict error resolution procedures. However, because PayPal is a payment intermediary and not otherwise regulated directly, TILA/Z and EFTA/E do not operate exactly as written once the credit/debit card transaction occurs via PayPal. Basically, unless a PayPal transaction is funded with a credit card, the consumer has no recourse in the event of fraud by the seller.[105]
PaulMys
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- Jan 14, 2014
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This is exactly they way I understood this when my wife wanted to use PayPal initially back in (I think) 2009.
sudsmobile
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- Jan 10, 2018
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If Square decided to do that it would definitely suck, but it would not be an issue for me.
And, I believe you're wrong about the timeline. I believe PayPal did rectify her situation before she made the video, in fact, I'm sure of it. I believe that PayPal stepped up and reimbursed her the fees after the video. Regardless, filling out business paperwork whether it's a bank or not is an issue. I'm not sure if a mistake of that nature is a minor issue. They stated that the business name that they had on file didn't match that of the bank account they were funding. That sounds like more than a minor issue to me.
sudsmobile
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I mean I know it seems minor like it's an easy fix but to change the name of a business on official financial paperwork is a big deal not an easy minor fix. Seriously, go down to the bank and tell them that you want to change the business name on your business checking account. See how easy that is.
TTQ B4U
Well-known member
- Jan 20, 2016
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^^ this. that said, I don't leave funds in there long at all. side note is that person needs to sum up her video. OMG, 37 minutes is way too long. I honestly couldn't watch it. Painful.
sudsmobile
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I made it to the 25 minute point, but I love her accent.
Seriously, we all make mistakes. I understand that her issue was stressful, but that's what you get when you don't cross your Is and dot your Ts. Is PayPal partially to blame for the length of time it took? Probably so, but we really don't have any idea of the issues at hand, we only have one side of the story. I'm certain it wasn't some kind of issue with PayPal being vengeful or trying to rake in interest on 2500 pounds for 3 weeks. That's just some conspiracy theory ####. It's a life lesson. She got her money, she learned a valuable lesson about making sure her business paperwork is done right.
I recently had an issue with a credit union trying to resolve something with our account that they wholly 100% screwed up on their end. My son financed a car where I'm the cosigner. When the paperwork was done by the dealer, they forgot to include the credit union as the lien holder on the title. A YEAR AGO! The credit union called me and asked me about it. I said "Yeah, you're not on the title, sucks to be you." They were almost insistent that I go down to DMV and fix the dealer's and their mistake. I told them to kick rocks. We'll call the note. I'll pay it today in cash. Finally, they figured out how to do it without me. The had to petition the CA DMV and prove that they were the rightful leinholder on the car. The issue became they did it when the registration was due. DMW placed a hold on any transactions against the registration, not able to pay online, not able to pay in person. The registration became late. After about 3 weeks, the hold was removed and we went down to AAA to pay the registration. Something like a $60 late fee was added due 100% to factors beyond my control. You don't see me bitching and moaning about it or making a video. I was 100% the innocent party in this. But, still, not going to the CA DMV best $60 I ever spent.
Seriously, we all make mistakes. I understand that her issue was stressful, but that's what you get when you don't cross your Is and dot your Ts. Is PayPal partially to blame for the length of time it took? Probably so, but we really don't have any idea of the issues at hand, we only have one side of the story. I'm certain it wasn't some kind of issue with PayPal being vengeful or trying to rake in interest on 2500 pounds for 3 weeks. That's just some conspiracy theory ####. It's a life lesson. She got her money, she learned a valuable lesson about making sure her business paperwork is done right.
I recently had an issue with a credit union trying to resolve something with our account that they wholly 100% screwed up on their end. My son financed a car where I'm the cosigner. When the paperwork was done by the dealer, they forgot to include the credit union as the lien holder on the title. A YEAR AGO! The credit union called me and asked me about it. I said "Yeah, you're not on the title, sucks to be you." They were almost insistent that I go down to DMV and fix the dealer's and their mistake. I told them to kick rocks. We'll call the note. I'll pay it today in cash. Finally, they figured out how to do it without me. The had to petition the CA DMV and prove that they were the rightful leinholder on the car. The issue became they did it when the registration was due. DMW placed a hold on any transactions against the registration, not able to pay online, not able to pay in person. The registration became late. After about 3 weeks, the hold was removed and we went down to AAA to pay the registration. Something like a $60 late fee was added due 100% to factors beyond my control. You don't see me bitching and moaning about it or making a video. I was 100% the innocent party in this. But, still, not going to the CA DMV best $60 I ever spent.
Calendyr
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- Jun 9, 2013
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Your right, I did not explain it correctly. They did free her account before she made the video but only refunded her for all the fees she had to pay after the video was seen by someone at PayPal.
As for the error. If all the information is there: Company name, owner's name, adress, etc... the fact that the owner name appears in the company name's box and that the company name appear's in the owner name's box should not be any issue at all. It's a clerical error but no information is missing, and no false information was given. Also, she is an artist, so she is most likelly a sole proprietor, and as such she is the business. Anyway, that is how it works here in Canada. For example, I file a personal tax return that also includes my business expenses and gains. I do not file a separe tax return for the business. As such, I am liable for everything regarding the business because the business is actually me.
I really doubt she has incorporated her business with all the fees that involves. She is living with her mother and paying rent to her, doesn't sound like a rich person to me.
Calendyr
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Again, she did not want to change the name of the business, all they had to do was put the correct information in the correct boxes. I don't know what her business name is but let's say it's Debbie's magnificiant arts. Do you know anyone who goes by a name like that and owns a business named Debbie Johnson?
I am sure the manager at PayPal can use his head and see it's a simple clerical error and just ask her to authorise the correction in their file.
sudsmobile
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- Jan 10, 2018
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Two things. First, they refunded her the fees as an apology for her troubles. They were entitled to the fees. The fees were part of her cost of doing business. It's not like they made her whole with their company, they likely did it to offset the fees her bank was charging her for being overdrawn. Again, that's her fault. Most businesses fail from being under capitalized. Running out of money from one setback is the definition of being under capitalized. Second, and again I can't stress this enough, PayPal can't just "change things" that seem obvious on a business account. Whether they're an actual bank or not, they have to follow certain rules and regulations in regards to their paperwork. You're acting like she messed up her Spotify account. This is paperwork at a financial institution. I had a friend two hours away from closing on a refi of his house and had to start completely from scratch because his wife had a fairly common nickname as an actual first name and somebody that was doing their paperwork changed it to what they thought her legal first name was. It wasn't her name. She noticed it while they were signing the final docs. He had to completely start over from square one. Every piece of paper had to be resubmitted.
You're letting your emotions get in the way of common sense. I'm telling you how things work. They don't work like you think they should. That's the same mistake that young lady made. Thinking financial documents that are incorrectly filled out are easily fixed. They're not.
You're letting your emotions get in the way of common sense. I'm telling you how things work. They don't work like you think they should. That's the same mistake that young lady made. Thinking financial documents that are incorrectly filled out are easily fixed. They're not.