Paypal - Scam or Not!
Posted: Sun Jan 09, 2011 8:18 pm
I have been doing some research on this Site and here is what i found.
Let's begin by first stating that PayPal is not a bank and does not provide its merchants with a Real Merchant Account. PayPal provides its merchants with a PayPal account.
There is a Very Big Difference.
With a Real Merchant Account, your funds are deposited into your personal or business bank account, which you control and which is also protected by Federal Banking Regulations.
With PayPal, your money is deposited into a PayPal Account, which PayPal Fully Controls.
Since PayPal is NOT a bank, they do not need to follow federal banking regulations. These regulations are in place to help the "Average Joe" avoid issues like having their bank account frozen for 6 months with no explanation...(Imagine if your bank was permitted to do that!)
Lots of people are having issues with them regarding Their account freezing for 6-12 months a time Where does that money go ????
to THEIR bank they use this system and take your money hold it i THEIR bank until you withdraw and they limit how much you can withdraw a time.
MUST READ
According to the San Francisco Chronicle, there are approx. 100,000 complaints outstanding at PayPal (Are any of these yours?). In many instances disputes can run on for months leaving people frustrated and out of pocket as they are unable to access their accounts. So what happens to the millions of dollars tied up in frozen accounts and disputes? Well, here is a clip from the San Francisco Chronicle that basically sums it up:
U.S. District Judge Jeremy Fogel of San Jose refused to dismiss a lawsuit that seeks class-action status on behalf of thousands of PayPal customers nationwide. A common allegation is that the company brushes off or stalls customer grievances for months and meanwhile freezes the customer's account and pockets the interest (So that's how they make their money!). No wonder they freeze so many accounts!
They highly suggest getting a Real Merchant Account to avoid becoming another PayPal horror story.
Thanks after reading that what do you think it is.
Summary
* They freeze Random account they Deem Suspicious for months on end just to hold the money in their Account
* They are not a bank they just use their bank account to store YOUR money in THEIR account, ( with a normal bank you have FULL access to your funds )(with Paypal ur money is in THEIR account so you do not have full ACCESS TO YOUR MONEY.
taken from
http://www.paypalwarning.com/
Thanks
Let's begin by first stating that PayPal is not a bank and does not provide its merchants with a Real Merchant Account. PayPal provides its merchants with a PayPal account.
There is a Very Big Difference.
With a Real Merchant Account, your funds are deposited into your personal or business bank account, which you control and which is also protected by Federal Banking Regulations.
With PayPal, your money is deposited into a PayPal Account, which PayPal Fully Controls.
Since PayPal is NOT a bank, they do not need to follow federal banking regulations. These regulations are in place to help the "Average Joe" avoid issues like having their bank account frozen for 6 months with no explanation...(Imagine if your bank was permitted to do that!)
Lots of people are having issues with them regarding Their account freezing for 6-12 months a time Where does that money go ????
to THEIR bank they use this system and take your money hold it i THEIR bank until you withdraw and they limit how much you can withdraw a time.
MUST READ
According to the San Francisco Chronicle, there are approx. 100,000 complaints outstanding at PayPal (Are any of these yours?). In many instances disputes can run on for months leaving people frustrated and out of pocket as they are unable to access their accounts. So what happens to the millions of dollars tied up in frozen accounts and disputes? Well, here is a clip from the San Francisco Chronicle that basically sums it up:
U.S. District Judge Jeremy Fogel of San Jose refused to dismiss a lawsuit that seeks class-action status on behalf of thousands of PayPal customers nationwide. A common allegation is that the company brushes off or stalls customer grievances for months and meanwhile freezes the customer's account and pockets the interest (So that's how they make their money!). No wonder they freeze so many accounts!
They highly suggest getting a Real Merchant Account to avoid becoming another PayPal horror story.
Thanks after reading that what do you think it is.
Summary
* They freeze Random account they Deem Suspicious for months on end just to hold the money in their Account
* They are not a bank they just use their bank account to store YOUR money in THEIR account, ( with a normal bank you have FULL access to your funds )(with Paypal ur money is in THEIR account so you do not have full ACCESS TO YOUR MONEY.
taken from
http://www.paypalwarning.com/
Thanks