PayPal Complaints

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: Monday, April 30, 2012, 9:00

Can not ship because Paypal is holding my money, until I ship??

Paypal holding my funds. I have 100% positive feedback and no complaints. They want me to ship the items and get feedback before they release my funds. I have no extra money to pay for shipping, that’s why I’m selling on e-bay to make money!! So here I am with 7 packages needing shipped, around $70 shipping fees. No money to pay for it and they won’t give me access to my paypal funds. Talk about a catch 22!! No money to ship packages and won’t give me money til packages are shipped!! Really are they serious?

Submitted By:: Francie Hasslem

Location-: Carrolton, TX

17 thoughts on “Can not ship because Paypal is holding my money, until I ship??
  1. Dominick Valdez on

    This is definitely a catch-22! What is worse is that sooner or later if you don’t ship off your product you will likely receive a charge back causing more of a headache. Be very cautious with pp, they know how to screw people out of an honest living!

  2. PlainGrain on

    Can I say they are the most backwards company ever to operate on planet earth. And there is no reasoning with them. Things that make sense to the rest of the world does not make sense to ebay or paypal. They should at least release the shipping cost. That is not something you are profiting of instead something you need to make a few bucks.

  3. Lorene on

    Francie, trying to earn a little extra money using the eBay and Paypal system is harder and harder to do. I figured that out when they were holding my money for 21 days…how can anybody run a business with cash consistently tied up? I applied for a merchant account and love not guessing when my money will be deposited into my account! I think people prefer using visa or mastercard to make a purchase. For me it’s been a win/win situation.

  4. MarisaB on

    they are insane. These are new backwards policies they are enacting and I’m sick of it!

  5. MarshaK on

    THese stories are becoming more and more common about PP. THey are an ass backwards company who make up the rules as they go along!

  6. MikeB on

    I agree they are crooks! Use your money for free, then charge you to get it deposited in the bank. On top of all that Ebay (same bunch of crooks) charge yet another fee. Craigs list is free and you can refuse paypal. Thats my plan.

  7. Kingsley on

    Same here. Needed money and so I sold an item. Well I was planning on using the payment to send the packages. Had to borrow sad to say. Need to find a better way.
    I can see how they are protecting buyers. But what about the poor people who do it to sell to make a few dollars to make ends meet?

  8. catharine parker on

    Same thing is happening to me. Isnt it illegal to not release the money paid for shipping costs so we can ship? Definitely need help on this topic. Even wrote the attorney general about this problem in California and they were no help at all.

  9. Brian on

    How can Paypal legally keep us from our money? I knew ebay purchasing paypal was bad thing! ebay can cotrol everything. charges fees to use ebay and charge fees to use paypal (they’re the same company) now they are going to keep me from my money! I can’t go to the grocery store and tell them that I’ll pay them after I eat there food! This is insane! Somebody needs to look into ebay and Paypal practices.

  10. cate on

    They will use up to $50 of your pending transaction funds in PayPal if you ship via USPS through eBay or Paypal. Look at the requirements before doing so just to make sure. Even though that’ll leave you with another $20 out of pocket fees until you get your money, it still helps. :)

  11. Travis on

    Same thing happened to me held payment, so I shipped and never got the money out $4000 USD

  12. Stephanie Y on

    I am in the same situation. What the heck are we supposed to do. I just don’t understand this at all. I don’t want bad feedback but I need my money to ship. I hope if enough people speak up about this they will change this policy.

  13. Korbin Nott on

    They did the same thing to me. I lost me internet connection at home during a recent snow storm. I didn’t have internet for over a month and could not access ebay or paypal from work. I work long hours so libraries were not an option. I accessed ebay when I could, and shipped when I could. My customers were cool with it. All except 8… I refunded the 8, but then PayPal put restrictions on my account and prevented me from printing shipping labels with tracking numbers. eBay had a special price that is not offered at the post office. The post office regular price made it too expensive to ship. I would have lost money on all the orders. I notified PayPal that I was going to ship without tracking numbers… and they told me not to. The next day, my account was closed. I had about 18 orders that were ready to ship, and none of them had complaints. I couldn’t print postage with tracking numbers, I couldn’t ship, refund, or transfer my money to my bank account. Now i am in the house freezing. It’s below 40 degrees in here. I have to sleep in a winter coat, hat, and gloves. not being able to sell on eBay cut my monthly income in half. My money is being held hostage in my paypal account and I cannot pay my bills, get my car fixed, or my furnace repaired. No heat since December. Spring can’t come soon enough. I am forces to catch 3 busses and 2 trains from Baltimore to D.C. because I cannot pay for car repairs and drive to work. PayPal closed my account for not shipping, but they gave me bad advice and held my money that i needed to pay for shipping outside of eBay. I only work 10 months out of the year, and will not get my money from Paypal for 180 days… some time in late July. Not even making it from check to check. Thanks PayPal. Never had to live like this before. Every day is a new low point in my life.

  14. W on

    Is it possible that your buyers are trying to send money from an UNVERIFIED account? If a Paypal account is unverified Paypal is REQUIRED BY LAW to put a hold on that money and verify the banking institution the money is coming from. This was set up to discourage money laundering and terrorist funding. Maybe that’s the problem you are all running into: Paypal CUSTOMERS who, for whatever reason, won’t verify their account.

  15. Aulbert West on

    I think anyone who has a complaint against paypal ought to post their complaints about paypal on facebook, twitter & any other social media you may be on. I also think those who run paypal are criminals and belong in jail or prison. Can we put them in jail for refusing to resolve issues or making it difficult?

  16. Aulbert West on

    It’s not that the customer won’t verify their account, it’s that PAYPAL won’t verify the account. I repeatedly for over a year tried to “verify” my account, but PAYPAL refuses to accept the verification. Pay Pal claims federal law as an excuse, but the truth is they should of verified my account the first time I tried, they said they could not, the truth is that they WOULD not. THEY are thieves they belong in prison.

  17. PayPal-Terminator on

    The best thing to do is move away from PayPal and Ebay, and use another payment service other than As for the hold, we asked 3 different people at PayPal, if the money is released immediately after 21 days and no one would give us an answer. The only thing we can suggest, is don’t use the account for the 60 day period and try to call them to get it down to 30 days. Take one small order and ship it and submt tracking and see what happens. The fact everyone is complaining about the 21 day hold, and no one has stated they got their money back at that time period is something we all have to know. Under legal terms you are not obligated to ship anything out until your legally paid for it. In the event of a chargeback for non receipt, PayPal has to prove the chargeback was caused by the seller. Since PayPal was the one that held the funds, the seller is paying PayPal for the transfer, the chargeback is not your fault. Once an account goes to a 21 day hold, its just a matter of time, that you get limited. Thats the way these bastards operate. But we would not ship anything expensive knowing your not getting paid for it.

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