Details of the PayPal 21-Day Hold Policy for eBay Sellers

Posted on September 8, 2008. Filed under: eBay, Paypal | Tags: , , , , |


The eBay / PayPal 21-day hold policy has received a lot of negative press in the last few months and I think most of that was due to the fact that Paypal was not forthcoming with the details.  Initially, Paypal would not release details about how and when they were going to hold sellers’ money.  At that time, I was told by Paypal that releasing the details would allow some people to “game the system”.  I let the Paypal representative know what I thought — that when you are dealing with people’s money it is irresponsible not to be upfront with folks.  Well, after several months, it looks like Paypal has changed their minds and decided to put out some specific details about the Paypal 21-day hold policy.

Below is the information about Paypal’s 21-day hold that I copied directly from the Paypal website.  There is one important note that might be easily overlooked … even though neutrals are no longer reduce a seller’s feedback percentage, they are still used to calculate a seller’s dissatisfaction rate.  So, any buyer who leaves a negative or neutral feedback, who leaves a “1” or “2” on any DSR rating, or who files a paypal dispute is considered to be an “unhappy buyer”.  If you have more than a 5% dissatisfied buyer rate, then you become subject to Paypal holds as well as eBay listing restrictions and suspensions.


Payment Holds for eBay Items





What is a payment hold for an eBay item?

It’s when PayPal temporarily holds a payment you receive for an item you sold on eBay. The amounts held will appear as Pending in your PayPal account until we release the funds. You still have access to all other funds in your PayPal account.





When will PayPal release the payment hold for an eBay item?

Your funds will be released after 21 days. We may release funds earlier when one of the following occurs:

  • The buyer leaves you positive feedback on eBay
  • 3 days pass after we confirm the item was delivered*

If you receive a dispute, claim, chargeback, or reversal on the transaction subject to the eBay item hold, we may hold the payment until the problem is resolved, even if the claim, chargeback, or reversal occurs after the hold is released.





Why would PayPal hold one of my payments?

To increase marketplace safety, we may hold payments that seem risky. Here are some common reasons for holding payments:

  • You have been an eBay member for less than 6 months, and you sell an item for more than $100, or
  • You have an eBay feedback score of less than 100, and you sell an item for more than $100, or
  • You have a Buyer dissatisfaction percentage** 5% or greater than 5%, or
  • You have an average Detailed Seller Rating (DSR) of less than 4.5, or
  • You have received fewer than 20 Detailed Seller Ratings in the last 12 months, or
  • You are listing your item in a high-risk category such as gift certificates, video games, cell phones, computers or consumer electronics.





PayPal doesn’t hold payments for eBay items if you meet the following:

  • You have been an eBay member for 6-months or more, and
  • Your total Feedback score is 100 or greater, and
  • Your Buyer dissatisfaction percentage** is less than 5%.


  • Your average DSR is 4.5 or greater and
  • Your have received 20 or more DSRs in the last 12-months
  • Your buyer dissatisfaction percentage is less than 5%



How can I avoid receiving an eBay item hold?

Here are some things you can do:

  • Improve your DSR feedback rating
  • Follow the PayPal best practices to reduce buyer disputes, claims and chargebacks
  • Resolve all disputes, claims, and chargebacks quickly



I’m a new seller. Will payments I receive be held?

If you are a seller with an eBay feedback score lower than 100, but you have a record of good performance, you’ll receive payments instantly in most cases.




* We can confirm delivery if you ship the item with UPS, USPS or FedEx and either use PayPal shipping labels or upload tracking information from the transaction details page. This applies to transactions within the United States. If a payment is held, it appears as Pending in your PayPal account until it is released.

** Buyer dissatisfaction percentage is measured by adding negative events as a percentage of your transactions. Negative events include negative & neutral Feedback, Detailed Seller Ratings scores of 2 or lower, and disputes for items not received or significantly not as described.


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43 Responses to “Details of the PayPal 21-Day Hold Policy for eBay Sellers”

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Brews, this is the reason I stopped selling on eBay, after having sold all of three items last year/January of this year before the new changes. I was just trying to get going on eBay, and those changes shut me down totally. I spent a fair bit of time on the PayPal board over there, and everyone was trying to tell me I wouldn’t be held (member for 4 years, but below 100 feedback, straight 5.0s for the sales I had done to that point), but I simply didn’t buy it because I didn’t have all of either of their two sets of requirements at the time.

These new clarifications don’t inspire me either.

“If you are a seller with an eBay feedback score lower than 100, but you have a record of good performance, you’ll receive payments instantly in most cases.”

Yeah. Right. My items will sell for over $100.00, and I bet they would be held. There have been new sellers on the board being held for sales of less than $10.00! I will always be a low volume seller-I can only do one of my item a month so far, so I can’t get their 20 DSR thing.

“Your funds will be released after 21 days. We may release funds earlier when one of the following occurs:

The buyer leaves you positive feedback on eBay
3 days pass after we confirm the item was delivered* ”

This is the one that always frosts my cookies. That “may release” should be “will release” if those criteria are met-providing this was ever about buyer satisfaction and safety in the first place, which it was not.

Sorry, not going there. They don’t do this anywhere else on the Web, because they know they can’t get away with it. If I’m so untrustworthy, then refuse me a PayPal account in the first place. I would close my account in a heartbeat, but my DH uses it to buy things for his hobby, and I won’t deprive him.

I do not understand how this is legal for Paypal to do in every single country that Paypal is available in…..?

I used to run a successful drop ship business on ebay for 7 years and my items were in the risky category so payment holds happened, buyers were never notified of the hold by Paypal or ebay. Why aren’t buyers notified by ebay or Paypal when they are the ones holding the payment?

This policy killed my business as it conflicted with drop shipping and my 30 day credit terms with my distributors.
I even had Top Seller Management at ebay tell me numerous times that my payments would not be held and then say it was an automated technical issue.

So many tech issues on ebay and Paypal – yet no emails from either company apologizing or explaining the issues and how it may cause delays.

I am now looking at bankruptcy as I live in a small Canadian town with high unemployment. My ebay business supported my wife, 2 year old and new born baby. We decided to have another child because my ebay business made it possible to do so.
Not anymore.

eBay is contributing to the downturn in the worldwide economy and I can’t believe that any government can not do anything about it.

I am talking with a lawyer over the financial and emotional hardship has me and my family.
They will not get away with this.

From a business point of view this is the worst action Ebay/Paypal have ever taken. They will suffer.. or rather should.
What a stupid approach to take. This will (and has) create(d) rivals to Ebay. That is the only plus.

I knew I was not the only disatified seller on ebay, I am impressed we are not more. With the economy being so bad I had turn to ebay for a little light, just to get hit by lightining. Ebay is working for Ebay and Paypal only. I had to list my phone 3 times before I could sell it. how frustrated is that. I was already worn, just to realize that they put me on their 21 day policy, they totally killed me. I am in need of my money and the want to waltz with my money, it should be illegal. How are we protected. Afer kindly writing to the buyer to ask him to leave me a positive feeback right away so that I could get MY money, you know what he said, “sure I will test the phone fo 10-15 days then I will leave you feedback.” What that totally sucks.
Anyways, I am also venting here. I think we should make more noise, so that someone can hear us.
Someone tell me what to do!!!!!!!!!!!!!!!!!!!!!!!!!!!

I have been an Ebay member for over 4 years and have around 78 feedbacks all positive at 100%. I sold a stupid old processor for 70 bucks and ebay released those funds after 21 days after i had to call them. Today i sold an Iphone 3G and now my payment is stuck again for 21 days and i have to pay rent in 5 days.

I used to love Paypal and Ebay but now No more. I am Not canceling my account but i am NOT ever selling anything on ebay again. I don’t mind buying though since this whole scenario is now completely one sided.

Is there any other service like ebay or paypal who don’t go through this bullcrap?

http://WWW.IOFFER.COM is a great selling website. Although it is not as popular as Ebay you can get some sales or offers without dealing with all of this chaotic bs. What really irks me about this whole thing is Ebay and Paypal still take their money right off the top immediately. I will not sell on Ebay again.

PayPay holds your money in there account so they can use the capital to produce interest. Basically they use your money to make money…

It’s disingenuous of PayPal to suggest that this policy won’t affect lots of sellers. This is going to snage TONS of sellers. If their goal is to get rid of casual sellers, then good job.

Also, they seem to have a policy of denying Seller Protection on these transactions, after the fact. WHAT!? It’s deceptive to change the terms after you’re committed to the sale.

Simply put. This is a bunch of crap. I have sold on Ebay before until they decided to increase seller fees and illegally took money from my Paypal account (checking eventually) without notifying me. Then I paid the fees anyhow and tried to sell a product and got paid via Paypal. When I got paid and saw the payment on hold, I figured that it was a security mitigation thing. I have no problem with that. My issue came when I tried to use the “Ship via Paypal” service and it told me I had no money in my Paypal account, so I could not use the service. Hmmm.

I asked about using a credit card to ship the item so my funds in the account could be taken off hold. Guess what. Nope. They responded via email of course and stated I had to transfer money from my bank account. That takes 3-4 days. So the buyer now would have to wait over the weekend and 3-4 business days. That would mean 6-7 days total before I could even ship the item and then wait for Paypal (prayfully) to get paid. What is wrong with these people? There are better ways to protect against fraud.
Did you know that even if you sent the sold item via UPS Store etc you still don’t get paid right away. Even with buyer proof of delivery.
I refunded my buyer’s funds and am no longer ever going to deal with Paypal or Ebay. This is stupid. I am in IT Security and know there are better ways to deal with security risks and fraud. This policy is taking a hatchet to a honey bee. Just plain dumb!

We are a family of artists and have been selling on ebay for the last two years with a 322 feedback of 100%. Our daughter decided to establish herself as a miniature bear artist with an ebay account of her own since acquiring her own clientel base of collectors. After two months on her own and a seller rating of 8 with 100% positive feedback ebay began holding the payments from her last TWO buyers in a row. A paypal supervisor told me last night that ebay can hold the payments for 21 days even after she has received delivery confirmation and positive feedback from the buyer. Since my daughter hand makes her bears she only sells one and sometimes two bears per week. It will be a long long time until she will be safe from ebay holds on her account. She cannot use the hold money to purchase more supplies to create more bears until the money is released. And she cannot use the money to purchase postage that the buyer paid for shipping, she must pay for the postage out of her own pocket. Also, her ebay fees cannot be paid until the holds come off. Needless to say, we are furious and we pulled her last bear from the listings when the second hold went on. We are considering totally boycotting ebay all together. Ebay should not penalize new sellers for absolutely no reason I would not recommend ebay to any new sellers at this point since this practice does nothing to protect buyers or sellers and I truly wonder what purpose it serves.

Its easy to fight this: (1) Tell the buyer that they are not getting their merchandise shipped for 21 days until you are paid from PayPal – due to PayPal’s policy of restrictions. Post the ship time of 3 to 4 weeks. Ensure you post this policy in your listings in BIG BOLD so buyers are clear before they buy. Each seller posting this in their ad will be spreading the negative publicity about PayPal’s practices and also being upfront with buyers to keep their own reputation. (2) Ask the buyer to send positive feedback early just based on your selling communication like A++++ Seller. Then notify Paypal w/ copy to FCC email address of the feedback and they will release the funds. Also, dont forget to write the FCC with your complaints regarding PayPal. Also, look into the Comptroller of Currency complaints email process. Search in Google.

My feedback on eBay is 1407….and 100%. Now, even after the buyer has received the item, and left positive feedback, and the tracking number has confirmed it was delivered, (except when I can’t even get tracking numbers to other countries), I am still told, by both Paypal and eBay, they I cannot have my money from the buyer. Now, I was also told, that even “three days after” the buyer has received the item, and even left positive feedback, that the buyer still has another 7 days to file a “complaint” about not being happy with the item…and, AFTER thet time frame has lapsed, (as I was told by eBay), “you will get your money eventually”.
Until this matter changes, I will definitely NOT sell anything more on eBay, period! This has got to be illegal!!! I tried to contact the TV show “20/20” to bring this matter to thier attention, I received a reply that I need to supply “documents” to back up my story. I don’t have any “documents”, just eight…more than hour long…phone calls with eBay, and four …more than hour long …phone calls with Paypal. and five contacts with “eBay chat”, which, incidentally, is no longer working…and hasn’t been fro two weeks now. When I told eBay about this, they simply tell me that they were not aware that it isn’t working. I told them, “well, you should be, I’m told you about it eight times in the past two weeks”.
I was hoping to STILL sell on eBay…but not anymore.
This needs to be thoroughly investigated by someone who canexpose this outright scam!

I’ve been on Ebay/Paypal for 7 years, have 92 positive feedbacks and 100% approval. Yet they’re holding payment and grouping me, a consistent, diligent seller in with those that have zero track record. I will be selling through my hobbyist boards from now on, this is absolutely unacceptable.

I sold an ipod only to realize the payment was on hold. I’m NOT shipping an item to someone without having access to the funds which paid for the item. No business with any sense would do such a thing. It’s a recipe for buyer fraud. The ipod? I just issued a refund and will sell it somewhere else.

Also, this hold policy actually encourages fraud. Buyers can receive an item, complain, and now they have the item in hand and the seller still hasn’t been paid yet. Where’s the protection for the seller so that we’re not losing both money and inventory!

I have never written a comment on a blog site ever before in my life, but eBay and PayPal have pissed me off so badly that I gotta do it for the first time!…Okay, back a few years ago I used to sell items on eBay all the time because I worked at a shoe store and got really good deals on Jordans, Air Force Ones, etc., and I thought it was the best shit in the world. It ran like clockwork. I would put an auction up for bid, it would sell, and soon after the buyer would deposit the money in my paypal account. I would then send them the shoes and that was all to it. I stopped working at the shoe store when I went off to college so I stopped selling on eBay for a while. I just ran into hard times recently and I needed a quick way to come up with my rent money for the month. I figured the quickest way to get the money was to sell some stuff on eBay. BOY WAS I WRONG!!! Not realizing PayPal had changed its policy for sellers I put up 5 different items for auction: my ALABAMA student football ticket package, my Numark iCDX turntable, 2 new pairs of Jordans, and my Samsung BlackJack 2 cell phone. Everyone of my auctions sold and I was ecstatic because I could now pay my rent and not have to hear my parents bitch at me for asking them to pay it for me. So, I log into PayPal to transfer the money to my bank account, and get the shipping addresses of the winners of the auctions, when I realize that every buyer has paid me…but I can’t access the money because PayPal has put a hold on my account because I am a “high risk” seller. HIGH RISK??? Are you serious?? My eBay account had been active since 2002 and I had previously sold over 50 items on eBay (over 30 of them for over $100.00) with a 100% Positive Feedback Score. I figured they placed the hold on my account because it had been a couple of years since I had last sold anything on eBay, so I went ahead and shipped the items and waited about a week or so they would all have time to be delivered. After that I checked my PayPal account to see if the hold had been lifted, but it hadn’t and I still couldn’t access my funds. I then called PayPal to see what the hold up was and they told me that because I was considered a high-risk seller that a 21-day hold had been placed on my account. I then asked them was there anything that I could do to get the hold lifted so that I may have access to my money, and they told me that I needed to either provide them with the tracking numbers for the packages, or get a positive feedback rating from the buyers of the auctions. I had already shipped the packages via USPS Priority Mail and I didn’t ask them for delivery confirmation because I had never used it before when I was shipping buyers their packages. I explained the situation to the PayPal rep., and they were not very understanding at all about what had happened. They basically told me that because I didn’t have any of the tracking numbers, I would have to wait until the buyers left positive feedback or just wait 21 days to get my money. THAT’S BULLSHIT!!! I was only selling the things I put up for auction because my rent was due in a few days and I didn’t have it, so I definitely didn’t have 21 days to sit around and wait on PayPal to release the hold. MY LANDLORD DOESN’T CARE THAT PAYPAL PUT A 21-DAY HOLD ON MY ACCOUNT! SHE JUST KNOWS ITS RENT TIME AND ITS TIME FOR ME TO PAY UP! I then asked the PayPal rep to transfer me to her manager so that maybe I could talk to someone else who could straighten things out, and it was no better than talking to the rep I had been previously talking to. All she did was throw around the word “policy”. “It’s our policy”..blah blah blah. “The policy states”..blah blah blah. “Mr. DeWayne I understand your situation, but because of the policy”..blah blah blah. After getting heated from arguing back in forth with the PayPal manager for close to an hour, I hung the phone up in her face because she was standing firm with that policy bullshit and wasn’t doing anything to help. Over the next few days I attempted to play by their rules and tried getting in contact with the sellers thru numerous e-mail and phone calls to get them to leave positive feedback for the transactions. I got in contact with all 5 buyers and they all agreed to leave the positive feedback, but only 2 of the 5 buyers actually kept their word and did it for me. I then contacted PayPal again to tell them what happened and they basically gave me the same conversation I had had with them the previous time I called and kept telling me the “policy” wouldn’t let them release my remaining funds until I got positive feedback from the other 3 buyersor 21 days had passed. I had finally had enough of their bullshit so before yelling every profane word from A to Z at the rep thru the phone I explained to her how fucked up their policy was and how it protects buyers but fucks sellers in the asshole. I will now explain the same thing I was trying to explain to her to anyone who may read this so LISTEN UP BEFORE YOU CHOOSE TO USE PAYPAL AS A FORM OF PAYMENT! PAYPAL’S NEW POLICY IS ALL ABOUT PROTECTING THE BUYERS AND DOESN’T DO SHIT FOR THE SELLERS. IF YOU ARE NOT A POWER-SELLER AND JUST A CASUAL SELLER YOU ARE THE ONE WHO IS GOING TO TAKE IT IN THE ASS CONSIDER THIS: UNLESS YOU HAVE AT LEAST A POSITIVE FEEDBACK COUNT (NOT %) OF AT LEAST 100 MORE THAN LIKELY PAYPAL WILL PUT A 21-DAY HOLD ON YOUR ACCOUNT WHENEVER YOU SELL SOMETHING UNTIL YOU REACH 100. THE ONLY WAY TO GET THIS HOLD REMOVED IS IF YOU PROVIDE PAYPAL WITH A TRACKING NUMBER (WHICH YOU HAVE TO PAY EXTRA & WAIT 3 DAYS AFTER PACKAGE IS DELIVERED FOR THE HOLD TO BE REMOVED) OR IF YOU CAN GET THE BUYER TO LEAVE YOU A POSITIVE FEEDBACK RATING. THIS IS A RETARDED AND ONE-SIDED WAY OF PROTECTING BUYERS RIGHTS. THE FIRST FUCKED UP THING IS THAT PAYPAL EXPECTS YOU TO HAVE THE MONEY TO SHIP THE ITEM UP FRONT EVEN THOUGH SHIPPING IS A PART OF THE CHARGE FOR THE AUCTION (IF UR LIKE ME, SOMETIMES YOU CHARGE SHIPPING COSTS BECAUSE YOU DON’T HAVE THE MONEY TO SHIP IT URSELF). THEY WILL NOT EVEN AWARD YOU THE MONEY THE BUYER PAID FOR SHIPPING IF YOUR ACCOUNT IS ON HOLD. (KIND OF STUPID AYE?) THE LAST AND MOST FUCKED UP THING ABOUT THEIR POLICY IS THAT EVEN THOUGH THEY REQUIRE POSITIVE FEEDBACK FOR THE HOLD TO BE REMOVED, BUT IT’S OPTIONAL FOR BUYERS WHETHER THEY WANT TO LEAVE FEEDBACK OR NOT!! THAT IS PURE BULLSHIT!! THAT MEANS YOU ARE NOT EVEN IN CONTROL OF WHEN YOU GET YOUR MONEY. THE BUYER IS! IF YOU SELL SOMETHING TO A BUYER AND THEY JUST DONT GIVE A DAMN THEY DON’T HAVE TO LEAVE FFEDBACK IF THEY DON’T WANT TO. IF A POSITIVE FEEDBACK RATING IS REQUIRED FOR A SELLER TO RECEIVE HIS/HER MONEY, IT’S ONLY FAIR TO MAKE IT MANDATORY FOR BUYERS TO LEAVE FEEDBACK, BECAUSE OTHERWISE BUYERS HAVE NO OBLIGATION TO LEAVE YOU FEEDBACK. BUYERS DON’T GIVE A FUCK ENOUGH ABOUT SELLERS TO LEAVE FEEDBACK ONCE THEY RECEIVE WHAT THEY WANT. THEY ONLY CARE ENOUGH TO LEAVE FEEDBACK WHEN SOMETHING BAD HAPPENS (LIKE LONG SHIPPING TIMES OR NO ITEM RECEIVED)

Couldn’t agree with the views here more. Ebay and especially PayPay are absolute SHITE now!!!
The sooner everyone starts boycotting them and their new policies and fees the sooner they might go down the toilet where they belong.
Talk about arrogance, call them up or email them to try and get sense through to one of their moronic script-reading staff is like hitting your head against a brick wall. Policies, criteria, bullshit! They have got fat off our money and the hefty fees they charge for basically being a notice board for US to sell OUR stuff. Now they hit us with the 21-day can’t have your money hold crap! More interest for them with our money.
BOYCOTT the greedy BASTARDS, I know I will be from now on. JUST CLOSED MY ACCOUNT!

Very good! When I rang PayPal they cited their legal terms & conditions, which they implied I had agreed to, even though they move the goal-posts without notifying you. As it says above in the Petition for Writ of Mandamus, if you are not made aware of changes to a contract you cannot accept them. (“An offer may not be accepted until it is made
and brought to the attention of the one accepting.”)
My suggestion, and precisely what I did, is as soon as they hit you with the 21-day hold B.S. refund the buyer’s payment then close your account!
After all we are the customers and they make their money from us. If enough customers do it en masse they will be forced to re-think it, if they don’t tough! I survived before PayPal I’ll survive after!!!!

[…] funds released.    To read about the details of the PayPal 21-Day Hold Policy for Seller, click HERE       2. Prevent the 21-Day hold to the extent that you can   In all cases, your buyer […]


Couldn’t agree more with the comments here. I have been selling for about 5 years on ebay off and on and have a 100% positive rating of 96. However, having just sold an item and still waiting for my funds to be released has totally pissed me off. DONT THEY HAVE THE COMMON SENSE TO CHECK PEOPLES FEEDBACK TO SEE MANY PEOPLE WITH UNDER 100 POINTS ARE STILL TRUSTWORTHY SELLERS????
If and when I get my money (preferably the latter) I will close my account with ebay and paypal and find some other channel to sell through. It’s totally ridiculous to hold a seller money. In these difficult times there are many people selling items to raise some needed cash and it seems they want to hold all this money up for their own means. And do we get any interest for the 21 days the money is held up in thier account – Do we F***. It’s a disgrace, can’t wait to see the negative publicity on TV before they remove this unfair and probably illegal action with their tails between their legs and lots of disatisfied customers, and many folks will have F***ed off somewhere else to sell their wares by then.

Hi, you can release the hold by refunding one penny to each of the buyers items. Refund the penny and then the money will unfreeze immediately. Paypal has the nerve to hold money. Just another way for them to make money by investing the funds in Ebay money market accounts. Hope this helps.

Has anyone else tried the penny partial refund and found it works?
Have heard mixed reports of success.
(Some have even suggested it will freeze your account!)

Hi, I have been doing the partial refund to release my funds for awhile and it has been working fine. My feedback is under 100 and that is the only reason I can think of for Paypal holding my money. I have 100% feedback and no complaints. I ship fast. So far none of my auctions have been for $100.00 or more.

Don’t believe others when they insist Paypal holds only a small percent of sellers funds that have a selling issue or are selling in a high-fraud area. I sell clothing and it is not even the high-end stuff. The most any one of my sells has been is 49.00.

Also, there are many sellers saying now on the Ebay boards that they complied with the 21 day hold, shipped right away and supplied Paypal with the DC number. They did all they were supposed to do, and Paypal still did not release the hold even after the buyer left positive feedback or the 21 days are past. They had to call Paypal and haggle with them just to get the funds released.

Paypal is NOT upholding thier end and I believe that they misrepresent the criteria for who gets the hold. It is happening to many many sellers. Not just a rare few as they state.

As long as my buyers are happy I have no problem doing this.

So, yes it does work!

No, this is unacceptable. Paypal is collecting interest on our money. They are making it hard to get our money. They are making us pay more for shipping (for delivery confirmation). This has scam written all over it — as much as I hate class action law suits, this has one coming. Regardless, once my current auctions are done, bye bye paypal and e-bay.

It was precisely this part of the policy changes announced on January 29 that provoked me to close my eBay store on January 30. Like several others have stated, I was a long-time (over 7 years) but low-volume member, 100% over 55 feedbacks, and despite the assurances that were given, I KNEW this policy would affect me, didn’t matter that nothing I was selling was high risk.

I suspect that they are finding it harder and harder to release those holds lately due to the financial toll their insane policy changes are bringing down on them, they are attempting to make up part of the loss by floating their investments with sellers’ money for as long as they can manage to get away with. The company is spinning out of control and needs to be brought to heel (heal too?) ASAP!

This PayPal’s 21 day hold policy is pure scam. It is a way to generate interest free cash flow. PayPal and eBay both are the scam artists and they are the biggest thieves and I still wonder why FTC has not done anything yet. I am not a no name company. We sell products on eBay as an extension to our regular business. Our business is an inventory business, we invest our hard earned money in it, we pay for our inventory before we see it. OK, we are an established corporation, PayPal has all information about our location, bank accounts, and what else they need to know. Oh yes, they want the social security number too. This is where the buck stops, they already had security bridge in Sunnyvale location and they are being an internet company and having locations god knows where outside of the US they can get my social security number over my dead body. What I see here more lay offs from eBay and PayPal, because they will be pissing off many honest sellers and their business will go down. Who want to work with thieves like PayPal and eBay anymore. See if they can con the congress with their BS.

I just started selling on Ebay about 4 months ago. I started off selling old junk around the house and i was surprised when people bid over 100 dollars for stuff i wa about to throw away. After that i started selling more items over 100 dollars and noticed that items started to appear on my account as ON HOLD. i contacted Pay-Pal and they told me that Ebay was holding my funds. I contacted Ebay and they told me that Pay-Pal was holding my funds. I didnt know who to believe so I just decided to cancel my Ebay and pay-pal accounts. Its a shame because I was really staring to do really good. I had already found something i was good at. I was making VERY good profits Drop-Shipping items until they started this 21 day hold. That really sucks. I wish there was something we could do. I wonder if you can just accept money orders and checks on your listing, but Im pretty sure you cant do that because lots of people would of done it already. Sometimes I stop and think about when I closed my account with Ebay> If they ever get their stuff together I would have to open a new account and start all over again with feedbacks and stuff.

its been over 21 days and i havent released the money to my account what should i do??

What’s the point of the feedback system now then?

I just cancelled my Paypal account, and am cancelling my eBay account due to this HOLD policy. March 16, 2009

I am a new seller on eBay, and shipped all of my items sold (we provided tracking numbers also) and received positive feedback. PayPal still will not release my funds for the items sold for no apparent reason. The sales equal over $300.00. I contacted eBay, but they emailed me back and said it was PayPal’s problem. We have tried to email PayPal but they will not respond. I will not sell on eBay any longer. PayPal needs some type of policing and they need to be regulated by the U.S. Government somehow. Right now I am so hot I wish I could sue them but everywhere I read, everyone says you can’t touch them. Believe me, I am searching for a way to get them. They need to be taught a lesson. I did file a detailed complaint with the FTC yesterday.

This is the very reason I have stopped selling through ebay. Others must have decided to stop too, because my affiliate sales of ebay have significantly dropped since this new 21-day hold has taken effect. Ebay doesn’t seem to get it, however. They keep sending me special sales on fees for sellers to entice me, but all I care about is if they are still using this outrageous 21-day hold on payments, because as long as they are, I will refuse to sell through ebay. I have a choice. Ebay isn’t the only game in town, and as far as I’m concern, ebay is totally worthless as a seller’s medium as long as they use this 21-day hold criteria. Ebay used to be great for digging out stuff from my garage or attic to raise that fast cash, but since the 21-day hold killed the fast cash, and then puts me, the seller, all at risk, the previous worth ebay had for me has evaporated. Ebay has it all wrong: I dont have to conform to them, I can just use other ways like craigslist which has turned out even better because there are no fees and it is to all local people I can meet and eliminate getting ripped off by fake bidders at ebay. Ebay doesn’t hold all of the cards, the sellers do. If we decide to not use them, they are screwed, not us. I just checked on this topic again to see if ebay has come to their senses yet, but I see not, as people are still complaining about this outrageous rule ebay/paypal cooked up. And the biggest flaw in the system, has and always will be that paypal cannot be trusted to uphold their own rules. Ha! That has been a long known reality.

I am in a state of disbelief. I realize that they have me as they publish all their rules in one format or another and I signed them. But as a site that was developed for the small player, how many of thier customers are going to have the resources to have these agreements (binding contracts really) reviewed by legal counsel? I’ve been receiving all these congratulatory emails from eBay on how well my store is doing. Even last week they wanted me to write a testimonial to others. Then I ran into the PayPal problem. I’m in a situation where I do not have the funds available to ship my products as the shipping fees are being held up in the 21 day fiasco. When I finally got someone at PayPal on the phone they were so unsympathetic I couldn’t believe my ears. Then they turned downright rude. When I said that they could tell what were shipping fees and what was the purchase price they told me their systems had no way of knowing that. When I offered to show here the line item on my PayPal statement where that was broken out, SHE HUNG UP ON ME! Just amazing. I find it so hard to believe that there are no laws covering this whether they are a bank or not. They get fees on top of fees, and now a 21 day float? Please, if anyone knows a consumer watchdog group where I can complain please let me know. It’s not the FDIC as they are not a registered bank. But don’t usury fees come into play here? What about RICO statutes or something? They allow no other means of payment than they very company they own and then hold funds forcing you to basically loan yourself money to complete their transaction. I just can’t believe this is legal. It just can’t be!

Paypal sucks and I will not send a damn thing until the payment is not only in my paypal account but removed to my bank account. I am refusing any more paypal payments and will not work with them and their scam.I am alsoreporoting them to my attorney general. I am also shutting down my eBay account and closing my bank account and not paying my balance due to eBay. Screw them there are other places to sell things.

Well, I know a seller that put “payment accepted Certified funds” in his Ebay ad and Ebay pulled it within an hour telling him he needed to put in Paypal as his payments accepted! He has been selling for years! That’s wrong!

What are the alternatives to ebay? I wish there was something better? I haven’t found anything that has as much stuff for sale.

i dont sell with ebay // i self graphic designs the customer see the project before he or she even pays me and my money still get stock with paypal for a long period of time.. paypal is holding 3,000 us dollar right now which is gonna be released diffferent days after 3 weeks dtas crazy paypal yall are some mf im not using paypal no more western union and other are my best option.

PayPal can explain the benefits of the 21 day hold until they are blue in the face but this will hurt sellers more than it will protect buyers. In the mean time they don’t tell you how many hundreds of or possibly millions of dollars in profits this will gererate for them in a years time. The only sellers in the many forums that easily explain that this is no problem are those that sell on Ebay for a living and already have a score over 100 before this rule was put into effect. It’s easy to say this rule is not a problem if it has never affected you. Maybe they should protect the buyers further buy changing the score to 1000. You would suddenly hear a different story from those that this doesn’t effect now. Not only does Ebay/PayPal benifit from this rule by collecting interest on thousands of sellers that have money “on hold” , but it also benefits sellers not affected buy discouraging possible sellers from putting their items on Ebay and eliminating competition for those not affected. It’s a win/win for Ebay. They collect cash from holding payment from sellers and eliminating competition for their large sellers. What is worse, an occasional direputable seller that takes money and fails to ship merchandise or Ebay that rips off thousands of sellers? Don’t think that there are not still ways a disreputable seller can rip off a buyer even with the 21 day hold. We know that Ebay/PayPal are ripping off sellers with the 21 day hold rule. A scam in plain sight. I have been a seller on Ebay for over 10 years, but since I’m only an occasional seller, I do not meet the 100 plus score rating therefore I must wait 21 days to receive payment on any item I sell. I have never received negative feedback as a seller and now I can’t see any feedback at all as a seller becaue I now have to meet another seller quota in order to see my feedback as a seller. It would be very easy for those sellers that sell many items to buy from occasional sellers, harpoon the seller with negative and eleminate them as competition and the occasional seller has no way to defend themselves because they can’t see the negative feedback.

Does the penny thing still work?

These disgusting money grubbing pigs are holding $80 of my money even though the buyer has left POSITIVE feedback!

They also had the audacity to put in the comments for the transation (that *I* gave the buyer a partial refund back on) that it was a dispute and the claim was decided in the buyers favor!!! There was no dispute in the first place.

There has to be something that can be done. An EFT payment is only allowed to be held 5 days at max, so how in the hell can PayPal hold it for three weeks. Burn in hell PayPal swine, burn in hell.

I shipped my mechandise 5 days ago when I checked in the usps website it says they were delivered. Customes had received their mechandise and and they usually never leave a feedbacks for me. I email them asking to write a feedback so I can get pay, and none of them have wrote anything.

Here I am waiting almost 6 days to get pay. This is ridiculous, why do I have to take this trash?

As soon as I get my money I am closing my account with paypal. Why should we give Paypal our business if they don’t respect ou?

I think with this new policy they treat sellers like trash.

I know I have sold a couple of things at http://WWW.IOFFER.COM. This selling site is free and and pretty user friendly. But of course not as huge as Ebay. I make custom tailored KISS Costumes for KISS tribute bands and have been making and selling for years. I too rely on these funds to be made available to me immediately so I can get started with making the suit. These suits are expensive to make and being unemployed this has been a good quick source of work and income for me. I no longer benefit from selling on Ebay. I have since created a Facebook page and a regular website with my work ( Most of the time once a customer contacts me for a buy. I just send them an invoice via Paypal with all of the details of the transaction. Once the invoice is paid the money is made available to me immediately since it is not an Ebay sold item. I am sure they will find a way to change this too one day. Also with the invoicing you only pay the Paypal fee and not the Ebay. I try to sell outside of Ebay at all cost. It is a great way to get your product out there but it is very expensive. They need to be brought down like Netflix. They are a big company but the twin towers in NY city and the titanic were big too. And they certainly came down. I am so waiting for the Ebay/Paypal class action lawsuit. I will send it in when it comes. I am sure it will.

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