Paypal ruins Christmas.

Ice_Tyrant

Prince
Joined
Nov 30, 2008
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Location
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Person who tries to give toys to the needy gets his paypal account frozen.

We raised so much money that we found ourselves in a position of not just being able to send toys, but to send a monetary gift to the families as well. We hoped it might help them make their holiday dinners more special, or maybe pay a pressing bill.

PAYPAL SHUT IT DOWN

Apparently we made the mistake of using the “Donate” button, which Paypal is now claiming is only for nonprofit organizations to use. They froze the account, which also includes Zazzle money that we use to make emergency gifts. That money isn’t in issue, but what the hell! Might as well keep everything!

So last night, I decided to go about this a different way. Since these toys are already purchased, I decided to offer them up for sale on this site, just like any other retailer would. You could buy them according to what you wanted to spend, and we would send them on to the recipient of your gift, just like any other retailer.

PAYPAL SHUT IT DOWN

After a very long and jaw-dropping conversation with an incredibly condescending representative, they have decided that I must refund all the donations and purchases that have not been processed. If you don’t get a refund, it’s because we got your money before they got smart and kept us from helping children at Christmas, which is really the best move any corporation can make.

Then, for good measure, they froze my personal account, which has revenue from my book sales, e-books and all the other Finnish Folktales Swag. They’ll be holding that money for 6 months.

So to recap:

$ They allowed me to use a donate button, and got a portion of the donations
$ Then made me return the donations, and kept a portion of the fees on the donations
$ They allowed me to use a Buy Now button to sell gifts individually, and got a portion of those sales
$ Then made me return the sales, and kept a portion of the fees on the sales
$ They processed the toy purchases, and made fees on that

They have made a fortune for not doing anything but making me manually return thousands of $2 sales and contributions.

This astounds me. I can't even understand what Paypal would gain from this other than a lot of bad publicity. What does Paypal think this fellow was up to? The donate button also can be used for worthy causes, and I don't see how a charity giving toys and money to the poor would not count as a worthy cause.
 
This astounds me. I can't even understand what Paypal would gain from this other than a lot of bad publicity. What does Paypal think this fellow was up to? The donate button also can be used for worthy causes, and I don't see how a charity giving toys and money to the poor would not count as a worthy cause.

It's a technicality and an agent who was trained using a play-by-play guide that tells you exactly what to do in every common situation.

Paypal kinda sucks though.. They've been doing stupid crap like this for years, this is nothing new
 
It's a technicality and an agent who was trained using a play-by-play guide that tells you exactly what to do in every common situation.

Paypal kinda sucks though.. They've been doing stupid crap like this for years, this is nothing new

True. Maybe I'm just late to it, this is the first I've really heard about Paypal doing stupid crap like this.
 
It's to prevent scammers. This guy should go through the steps of setting up a legitimate non-profit where there is some accountability. Paypal should perhaps have handled this better, but there can be a lot of abuse with a donate button.
 
Loads of blogs have "Donate" buttons, though, and they're not registered non-profits. Why are they getting so picky here? Is it just because of the greater level of money involved?
 
Never, EVER, use PayPal for ANYTHING. They're professional scammers. I've read far too many bad things about PayPal to ever use it for receiving payments.

What's incredible is that they're so poorly regulated. If a bank tried to pull half the crap that PayPal has pulled over the years, they'd be bankrupted by lawsuits by now.

P.S. They have a facebook wall. Here it is: (some NSFW language) https://www.facebook.com/paypal?sk=wall&filter=1
 
The update on this story I am seeing is that Paypal claims they have undone the freeze, made a donation, and an "apology" to the owner of Regretsy. The only thing that seems to have happened is their statement, which is more of a CYA damage-control statement than a real apology for what they did.
 
It's a technicality and an agent who was trained using a play-by-play guide that tells you exactly what to do in every common situation.

Paypal kinda sucks though.. They've been doing stupid crap like this for years, this is nothing new

I dunno, the phrasing of some of the things that the PayPal agent says are sort of sinister in a way a guide couldn't really do for you:

"I haven’t seen that PDF. And what you’re doing is not a worthy cause, it’s charity."

yuuup
 
I was suprised that paypal let me get away with a donate now button on a pro-birther website I had. Pretty easy money for recycling birther conspiracies.
 
Another sign that this is the entitlement generation. Kids nowadays expect presents for Christmas. And businesses must provide services for free even if I don't bother going through the proper procedures, or else I will tell the whole internet how greedy and evil they are :rolleyes:
 
Another sign that this is the entitlement generation. Kids nowadays expect presents for Christmas. And businesses must provide services for free even if I don't bother going through the proper procedures, or else I will tell the whole internet how greedy and evil they are :rolleyes:
What actually is expected is some common decency and not to hide behind regulations. Was paypal in their legal rights? I guess so. Did the guy collecting the donations screw up? Again, I guess so. But since when are legal right a universal measure of right and wrong? Never. And very rightfully so.

edit: On second thought, I just totally stumbled over a parody, didn't I?
 
I always funnel my charity money through Nigerian princes. Great exchange rate. No guarantee if the intended party will get the funds though.

In all seriousness I always try to donate directly through a charity, such as the Red Cross. Going through a 3rd party always involves fees or holdups.
 
This is why you should have a dedicated paypal checking account that has very little money in it. If you need to order something from ebay, transfer immediately online from your bank's website and then make the purchase. That way there is never any money for paypal to 'seize'. And never, EVER, retail any really measurable balance in your paypal account itself. Always send it to your paypal dedicated checking account, and as soon as it hits that, transfer it over to your primary account.
 
This is why you should have a dedicated paypal checking account that has very little money in it. If you need to order something from ebay, transfer immediately online from your bank's website and then make the purchase. That way there is never any money for paypal to 'seize'. And never, EVER, retail any really measurable balance in your paypal account itself. Always send it to your paypal dedicated checking account, and as soon as it hits that, transfer it over to your primary account.

You do know that ebay owns paypal right?
 
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