Archive for October 28th, 2009

Yet Another PayPal Horror Story

October 28th, 2009
lg share en Yet Another PayPal Horror Story

I don’t like PayPal.  They are a financial institution that gets to make up  their own rules.  If you’re a PayPal merchant and they want to put a freeze on your money, they can do it.  For example, if you have a dissatisfied customer that complains to PayPal for even a small amount, they will put a freeze on all your funds, not just the disputed ones.  And the freeze can last up to 6 months.  A few years back PayPal had a judgment of $12 million against them for this very reason – tying up funds that belonged to the merchants.  Imaging if a bank said they were putting a freeze on the checking account of a small business for six months.  When the funds were finally released there would be no small business.  I would never use PayPal’s merchant services.  They are an unregulated financial institution and we know what they can do to the world economy, don’t we.

Well, I have another PayPal story to tell. 

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