Pay Pal and E-Bay Complaint - Pay Pal The New Mafia

Review by delbertbutta on 2009-01-21
CALIFORNIA -- Pay Pal placed a hold on 1209.33 of my money from items I sold on E-Bay. They send me a e-mail and explain that I must provide proof of sale from the items I sold like I am a criminal. This is a privacy issue as far as I am concerned.
I have a right to protect how I earn my money and not give away my trade secrets.
Pay Pal is only a accounting business not a Bank, Law firm, or Police Department.
They are not licensed to even make money off interest from sales. They need to be federal regulated. The Attorney General needs to look into these matters:

1- What the percentage is of how many accounts are placed on hold 180 days.
2- What happens to the funds when this is done.
A- Do they move these funds on the market to make a profit?
B- Do they move these funds in a escrow account?

If the funds are moved are they obligated to pay interest for the funds that are locked out from their customers?

I received a final letter from them that said they will no longer do business with me does that not terminate my account and on demand they must return my money from items I sold..

I have letters from all my buyers and every item I sold they were all very satisfied with the items I sold them. Any chargebacks that could be filed is pass the date sold that could be filed even if that was not the case. Would not matter because pay pal does not pay for the chargebacks because they are not a bank.

So let us define what is pay pal. A third party that takes money and makes money off that money.

Sort of like a bookie? The Mafia? Defined perfectly.
Comments:2 Replies - Latest reply on 2009-01-22
Posted by S on 2009-01-22:
I had a similar experience with Paypal. Sold a digital item to a person in NYC. They paid me via Paypal. The payment said "complete" in my Paypal account, so I sent them the item electronically.

A few days later I get an email from Paypal saying they are putting the funds on hold while they do an audit. They took my money back! They then requested I provide similar documentation proving the sale. I thought the buyer was trying to scam me! I contacted her, she said she didn't not know anything about it, but she got a similar email from Paypal.

I called them, sent them all the screen shots of our transaction, annoyed that I even had to spend all this time making screen shots... Especially since neither party had filed a complaint with Paypal. We both told Paypal we wanted the transaction to go through.

Paypal assured me I would have the money back before Christmas. Well the money never was put back in my account, and a few days after Christmas I get notified that they have decided to refund my money to the buyer!!!

This was all done based on a random audit not initiated by either party!!!

I called (very upset) and was told by a manager/supervisor that there is nothing they can do. I told them can they call the buyer, she will confirm we want this transaction to occur. The supervisor told me "Sir, we are in internet company, we do not make phone calls to customers". As said hell you are talking on the phone to me right now...!

Long story short... They refused to return MY money... and I had to then go back to the buyer and have her snail mail me a check.

Never again will I be using Paypal.
Posted by Anonymous on 2009-01-22:
I have a dormant checking account with Arvest that I used to use as my primary checking account. I kept open with about 100 bucks just in case I forgot to change some auto-pay and also I have several online savings accounts tied to that account. It's a spider web I tell ya. But anyway I get a call from Arvest saying I'm overdrawn by $400 bucks and how do I wish to take care of it. Come to find out I was overdrawn due to five separate $100 paypal transactions that I never authorized. I signed an affidavit stating such which to their credit Arvest immediately credited the money back... My point being this might be the case here. They maybe investigating an identity theft claim... I don't know but I was amazed how easily my account could be drawn upon by pay*pal.

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