PDA

View Full Version : Paypal Horror Story



shotthebreeze
08-14-2006, 08:14 PM
Oh, Paypal. It's really a wonderful way of doing business. Accept a payment, dump it in your bank account, all in one sitting. No paperwork, no trips to the bank...just money. Flat out.

I opened my hosting site about 2 weeks ago and previously I decided that I needed a credit card gateway. This is because I know, not everyone uses Paypal, and signing up for it can be a pain. But, I figured that I'd be loyal and use Paypal's "Virtual Terminal" so that all of my payments (Paypal transactions or credit card transactions) would be in the same spot...you know the drill. Well, I apply for Virtual Terminal and the next morning my account has limits.

Paypal claimed that they needed a social security card, license, and a signed affidavit to confirm my identity. To make a long story short, my account had been locked for almost 3 weeks, I had sent the requested information by fax 15 times because they requested it 15 times, I called customer support a total of 12 times, and they finally tell me I need to call Experian to get my social security number verified. A week later my Paypal account limits were removed and I was denied Virtual Terminal for some reason unknown to me and unknown to any of the 8 different customer service reps that I talked to.

For credit card transactions, I'd reccomend 2checkout.com. No monthly fee and no verification of your DNA for God's sake.

newgenservices
08-15-2006, 01:41 PM
Lol . I can understand your frustration.. Even i read such stories of them. But the Basic part is good and i never faced any probs .Hope it continues that way..

ASP-Hosting.ca
08-15-2006, 04:33 PM
I would never use paypal for business.

SimpleSolutions
08-16-2006, 03:52 PM
They can be tricky at times, i had a similar problem when trying to add my credit card to the account.. apparently my credit card number was blocked from their services... that was never resolved... dident have the time to keep calling them... waste of time if u ask me.

PGHostingUK
08-16-2006, 04:53 PM
I do use Paypal and havent had any problems yet!

I do hear a lot of people saying they have had major problems though!

icestorm
08-22-2006, 07:53 PM
I would never use paypal for business.

I'm not a big fan of Paypal myself. However, it's now vital for online business, especially in the hosting industry.

--Adrian

WebzPro
08-23-2006, 12:03 AM
About three years ago I bought Quick Books on EBay, used PayPal for the insurance to make sure if something happened I was covered. The post office lost the package, stolen my guess, PayPal refused to cover the loss. Had to re-order and then had it sent UPS. I use PayPal for because clients want it and that's the only reason.

DamirG
08-24-2006, 01:13 AM
paypal is really good. but if something bad happend and you try to retrieve ur money. then you are in big trouble.

except that everything is good

SecureServerTec
08-27-2006, 03:50 PM
I havent had that kinda problem with paypal, they are a very inpersonal and inconsiderate company though.
I think it is ridiculous that you can pay for a digital good or service and then simply say someone broke in your account and sent it, and you will get your money back no questions asked. This has happend to me twice on admin work but I guess that is what I get for doing work for shady people. First guy was some casino site and the second some warez server looks like now.
I have had stolen paypal sent to me and I understand why it is reversed but when you verify a person over and over and even talk to them on the phone and they do that it is a joke. And I have even submitted this proof to paypal each time and they keep on telling me to send them postal tracking info and such like an ebay item.
I hate using paypal but so many people use it you cant refuse it. I just do western union now on services or orders over $50. I even had my account limited once because someone sent me payment with stolen paypal.
I think customers should be responsible for their own accounts anyway unless tehre is some paypal site exploit. I bet online merchants loose thousands each month due to fraudulent charge backs and so called "stolen paypals"
I think if someone is dumb enough to fall for a phishing email they should lose their money.
It has gone too far with paypal, there is no seller protection for digital goods and services. And when you ask them about this they start the ebay item crap wanting tracking info and such.
You will never get a straight answer from any of them, they are untrained idiots and they do not care.
Try and see if you reall wanna experiment, buy some digital goods or services and claim your account was stolen, you will get your money back no questions asked and they will just reverse it from the merchant and there is nothing they can do.
I wish there was a more widely accepted payment method without the ridiculous chargebacks.

UnionDance
09-05-2006, 06:20 PM
. No monthly fee and no verification of your DNA for God's sake.

no verification, i like that :P i have had some problems with paypal, too

alemcherry
09-06-2006, 08:57 AM
2Co is okay but lots of customers would like to pay through paypal, thats the problem. Now any comments regarding google checkout?

SecureServerTec
09-07-2006, 04:29 PM
2Co is okay but lots of customers would like to pay through paypal, thats the problem. Now any comments regarding google checkout?

Anything that has a better chargeback policy Im all for. Too many people are taking advantage of the "Unauthorized Funds" bit in paypal. I know a guy recently who fully verified someone, submitted moderbill logs and info, after talking with paypal on the phone the guys ip address did match the logs and it was the same isp the guy always used so it was obviously him.
So you would think paypal would give you back the reversal? Nope. They said the guy said he had a trojan in his computer and thats how he was sending money lol. Can you believe these idiots?

I have even had paypal reverse funds on me no questions asked, no hold period months after the transfer. For example a $20 donation to my site once, the payment went through and everything, 2 months later out of the blue it gets reversed and to this day they wil still not tell me why.

I truly hate paypal, I have been screwed out of quite a bit of money and like I said I guarantee that over 75% of these so called "Unauthorized Transactions" are fraudulent chargebacks. People know they can do it everytime and get away with it and that makes me sick. I cant believe the guy I had issue with for $125 had done the same thing 6 times before when I googled his name, he did it like 3 times for hosting and digital services and 3 times on ebay. He is not the only one either, lots of people are pulling this crap now.

If that google co was widely accepted and had better chargeback policies and protection for merchants Id go with it in a heartbeat. I wish something would come along and put paypal out of business.

Of course you will have the people who is like I love paypal, they have great customer service and all that but Id be willing to bet you dont deal with large amounts of money for digital services and what not. Yeah paypal is real good until you have to deal with stuff like this. Give it time and you will if you havent already. I would suggest dont ever accept any payment through paypal over $20

watchdoghosting
09-11-2006, 06:39 PM
We had the same problem when trying to sign up and get our bank account verified. Since our company goes through a special bank account, PayPal just didn't like it. After trying to get it resolved for over a week, we just decided to open a different bank account just so that PayPal will get us verified.

veggie
09-14-2006, 12:20 PM
Yes we use 2checkout as our credit card payment processor, their customer support is a lot better, they actually do have a toll free number and 24/7 support! However, many of our customers still prefer paypal, that's one of the main reason why we actually kept our paypal account.

loon
09-18-2006, 10:33 PM
Where are your website based on? Paypal is good in USA market. If used credit card, something you should look for is Visa/MasterCard Standards Compliance (CISP/SDP). One of the best indications of a secure hosting provider is its compliance with the guidelines set forth by Visa and MasterCard in their Cardholder Information Security Program (CISP) and Site Data Protection (SDP) standards. CISP/SDP compliance is required of all merchants and service providers that process, store, or transmit Visa or MasterCard Cardholder data. If you are operating an eCommerce website that accepts credit card payments, your hosting provider must be CISP/SDP compliant. The requirements set forth by the CISP/SDP programs are stringent enough that compliance with them is a good indication that a website or service provider is relatively secure.

Hope this help;)

roger
09-20-2006, 12:51 AM
Paypal is really good, we have never such problem, another payment processor I have good experience is ChronoPay, they have no monthly or annual fees, they provides everything you need to accept and process payments. highly recommendable.

Valathar
11-30-2006, 07:37 PM
ahh paypal horror story i got too many too name using irc as a sales medium ive had my share of encounters with script kiddies and wannabe hackers paying with stolen accounts then two days later reversed payments

Ahmad
12-06-2006, 04:25 AM
I'm not a big fan of Paypal myself. However, it's now vital for online business, especially in the hosting industry.

--Adrian

Absolutely agree, customers always sound disappointed when they find out that payment via paypal isn't accepted.

MXHUB
12-06-2006, 09:52 PM
Paypal is good. Just make sure you do not get bad customers or fraudster.

PrimeHost
12-08-2006, 12:25 PM
I've read many horror stories in regards to paypal but as a hosting provider you really have to offer it as a payment option because of it's popularity.

EQWebHost
12-23-2006, 04:13 AM
I have heard so many people with the same or similar stories. I have been using PayPal for years now and have not had a problem yet (crosses fingers).

fdcservers
01-11-2007, 02:50 AM
I have never had a problem with PP....touch woods.

aloha2
01-11-2007, 10:47 AM
Absolutely agree, customers always sound disappointed when they find out that payment via paypal isn't accepted.



Thanks :) :)

bob
01-23-2007, 09:48 AM
You can have one more processor including paypal for providing more option to your customers.

michelle63
03-13-2007, 10:46 AM
Wow, my hosting company uses paypal, and been accepting it for a long time now since I been with them. They just started accepting credit cards. If you want me to get you the merchant account they use, let me know.

I was going to go with the virtual terminal myself, but thank God I didnt and thank God I read this post. I think I will stick right now with paypal without the virtual terminal. lol

visio
03-18-2007, 09:44 AM
hacked accounts is really a big problem with paypal, average a month 8 to 10 domains bought by my company is just money lost because the paypal owners complain that their account at paypal has been hacked.


-------------------
Paypal Hosting (http://hosting-marketers.com/)

sharon
03-21-2007, 05:30 AM
I use too 2checkout.com.The last new about paypal is that all the withdrawal limit was decreased to all Indians to $3000 for life time !?

UK2
03-23-2007, 08:02 AM
I dont think you should use paypal in isolation. Its great for customers that like to use it but can be very frustrating for those that dont like it or have had a bad experience.

damien_ls
03-27-2007, 10:23 AM
I dont think you should use paypal in isolation. Its great for customers that like to use it but can be very frustrating for those that dont like it or have had a bad experience.
I completely agree with this.

As a customer, I wouldn't use PayPal if there was another option. However, as a provider, we have to make it available because not offering it means turning away too much (genuine) business.

It is annoying that PayPal are so popular, despite not offering a particularly good deal/service to merchants...

sitesavings
04-02-2007, 10:08 AM
If I were you I'd be worried, they lost 15 faxes with sensative data like social security number on it?

darkestnight
04-05-2007, 11:24 AM
I use Paypal for business and have done for years now. Never had a problem, and it is a very economical solution if you compare their costs with other payment gateways.

MadHag
04-22-2007, 05:22 AM
People can pay you via paypal even if they do not have/want a paypal account now.

Which is cool.

David

ASP-Hosting.ca
04-22-2007, 09:11 AM
People can pay you via paypal even if they do not have/want a paypal account now.

Which is cool.

David

That's true, and I agree that it is very convenient, however I won't use paypal for business transactions. It's just too much of a risk to take, at least from my point of view.

emaderam
01-31-2008, 02:19 AM
I have been using PayPal for years now and have not had a problem yet.

Good Luck

~ServerPoint~
02-07-2008, 03:49 AM
I use Paypal for business and have done for years now. Never had a problem, and it is a very economical solution if you compare their costs with other payment gateways.
Paypal is one of the best and can be compared only with google checkout maybe.

hostingITrust
03-20-2008, 07:16 PM
Yes paypal froze my account for about 6 months too and that too for no reason. They are good at doing things like that.

MikeDVB
03-28-2008, 11:30 PM
Yes paypal froze my account for about 6 months too and that too for no reason. They are good at doing things like that.

Often time your account is frozen for a reason, even if the reason is unknown to you. Did they just not give you a reason, or did you not ask?

avizzlw
04-16-2008, 12:30 PM
Avoiding Paypal at all costs is definitely a good idea. When you do have to use it however, getting your money out of it as soon as you can is important. Don't treat it like a bank account.

clint999
05-05-2008, 11:11 PM
About three years ago I bought Quick Books on EBay, used PayPal for the insurance to make sure if something happened I was covered. The post office lost the package, stolen my guess, PayPal refused to cover the loss. Had to re-order and then had it sent UPS. I use PayPal for because clients want it and that's the only reason.

Bull
05-08-2008, 10:06 AM
Paypal is one of the most stable companies

patsysmith
07-14-2008, 11:56 AM
It's this kind of thing that causes me to HATE PAYPAL (http://www.paypalwarning.com). Why do they always seem to have the upper hand when it comes to other people's money?

infotech
09-04-2008, 07:03 PM
I've never had any problems with them.

Andrew

Paymerica
09-10-2008, 01:45 PM
If you have any form of volume you always want to go with a actual merchant processor versus a third party. The rates will be better and the CS will be better, just make sure you do your homework on that processer either through Google or through these forums or by going with who your hosting company has partnered with.

JIYA
10-25-2008, 07:57 AM
Oh, Paypal. It's really a wonderful way of doing business. Accept a payment, dump it in your bank account, all in one sitting. No paperwork, no trips to the bank...just money. Flat out.

I opened my hosting site about 2 weeks ago and previously I decided that I needed a credit card gateway. This is because I know, not everyone uses Paypal, and signing up for it can be a pain. But, I figured that I'd be loyal and use Paypal's "Virtual Terminal" so that all of my payments (Paypal transactions or credit card transactions) would be in the same spot...you know the drill. Well, I apply for Virtual Terminal and the next morning my account has limits.

Paypal claimed that they needed a social security card, license, and a signed affidavit to confirm my identity. To make a long story short, my account had been locked for almost 3 weeks, I had sent the requested information by fax 15 times because they requested it 15 times, I called customer support a total of 12 times, and they finally tell me I need to call Experian to get my social security number verified. A week later my Paypal account limits were removed and I was denied Virtual Terminal for some reason unknown to me and unknown to any of the 8 different customer service reps that I talked to.

For credit card transactions, I'd reccomend 2checkout.com. No monthly fee and no verification of your DNA for God's sake.

it is very terrible

Sara
12-29-2008, 03:32 AM
People can pay you via paypal even if they do not have/want a paypal account now.

Which is cool.

David

Hello,
Please tell me the procedure How we create a account in PayPal?
Please reply me i'm waiting.

Thanks

sequencehosting
12-12-2009, 12:20 PM
This is really scary to read because my whole business relies on PayPal :eek:

Timothy8797
11-22-2010, 04:20 AM
I have a PayPal account,it is good for money transfer.I like paypal.I have never had a problem with PayPal.
_____________________________
Tape Backup (http://www.revinetix.com/sales/disk_vs_tape.php)

Brentt_Morris
11-22-2010, 08:12 AM
As an online marketer, i use Paypal for money transfer. So far I never had any trouble using their services. I never had a chance to use it for other transaction though.

James-A
11-23-2010, 02:59 AM
PayPal is getting strict day by day. If you are in Global market or an international business, you must have an alternate payment gateway to deal with your clients. PayPal is not working for many countries and it could affect your business.