posted on October 11, 2000 05:46:37 AM new
I started using PayPal several months ago as a buyer. Then I started selling. I recently became an official business. I haven't upgraded to a business account yet but they have both my credit card number and my bank account number (at the time I thouhgt it was safe, but now it makes me shudder). I have auctions running right now with PayPal logo but they will be the last. So once all my auctions and payments have been cleared up, I'm going to close my account. But how do I avoid the dreaded charge back? I've considered closing my bank account and opening a different one and closing the credit card account too. Do I really have to be that drastic to protect myself?
posted on October 11, 2000 05:56:19 AM new
Why are you worried about a chargeback? Once your current auctions are concluded to the point where you and the buyer have each left feedback, or at least to the point where the buyer has acknowledged that they received the merchandise OK, there should be no chargeback. At that point, you can simply follow the instructions on the PayPal site for closing your account.
Don't get your panties in a twist over all the negative publicity posted here about PayPal, unless you've got a history of customer problems. I've only seen one thread bashing PayPal where there wasn't some seller related problem involved when users had problems accessing the funds in their account--policy violations (e.g. accepting payments for someone else), chargebacks by their customers, etc.. That one thread involved credit card fraud by a buyer from an unverified seller (in which case the seller fraud protection isn't available to protect the seller from the chargeback), which doesn't apply to you since you verified a bank account. Unfortunately, those details aren't usually posted to begin with, but come out later as people start questioning the person complaining about PayPal's actions. By then, readers' perceptions have been set and it's easy to panic the populace.
posted on October 11, 2000 05:57:16 AM new
Short of cancelling your credit card and bank account, you are on the hook if someone decides to do a chargeback. I guess you will just have to trust PayPal to be honest and fair at all times. After all, they have repeatedly said that they won't access your bank account without your explicit permission. Isn't that reassuring?
posted on October 11, 2000 08:56:01 AM new
Since I have already seen posts about sellers who had charge backs taken for sales several months in the past with no warnings and sellers who had their accounts frozen over this with no warnings (and some who I have been dealing with for a while, with many positive ratings, one of who is even a verified business) I wont feel safe until 4 or 5 months after I close my PP account. I dont want to close my checking account. I've had it for years, I have other vendors who make electronic transfers to it, it would just be too much of a hassle. I will inform my bank that PP is not allowed to touch it. I was also told that I can stop any withdrawal PP makes, just like I can stop a check. I hope I never have to find out. http://www.ygoodman.com [email protected]
posted on October 11, 2000 09:30:16 AM new
after all the deals have concluded there is no reason you should not be able to close your account. I would make sure it is empty before doing so. You should also be able to go in and remove your accounts - go to profile and under bank account remove and under credit card remove. Then you will go to close account and if you left any balance they should mail it to you.
I have a business account and it has access to a checking account that has no balance maintained just for that purpose. I transfer all my balances to my personal PP account which is linked to accounts I wish to wire money to. They never have access to an account with funds in it in case I do get some event that freezes the account. I don't recieve funds at my personal account. They sure can't take funds from one account for problems on another! It is an extra step that gives me a little extra protection.
posted on October 11, 2000 10:25:48 AM new
I have read and reread some of these Paypal threads and I am still not sure what I am going to do. I registered a credit card with paypal that has a very very low limit. I opened a special account with my credit union for paypal. When money is paid into paypal, I do an electronic withdrawal, when it reaches the bank account I transfer it to my regular account. I believe I have covered my bases well up front. Am I going to stop taking paypal? I just am not sure yet. Can they ding me? Probably, but I'll wait and see. I know they can't ding me for more than a few hundred, I made sure of that.
posted on October 11, 2000 02:19:36 PM new
Don't worry about it. After the transactions are complete, close the account and don't look back.
If you are worried about it. Make sure, after the last transfers have been credited, to visit your bank and let them know that PayPal is not to be allowed access under any circumstances.
I haven't heard of anyone being charged back after the account has been closed and I doubt it would happen.
posted on October 11, 2000 04:14:41 PM new
You can shut down the transit number between PayPal and your account.
Just call the bank and tell them that you are revoking PayPal's right to either deposit or withdraw from your account. It might cost the same as a stop payment on a check, but it is peace of mind.
Just be sure to do this AFTER you are sure all of the deposits have been received from PayPal.
Then, as was stated above, remove your credit cards and bank number from your PP account and close it.
I doubt that they would try anything but there are certainly possibilities of "glitches" in the system.
posted on October 11, 2000 05:11:49 PM new
As a verified seller, you have protection from chargebacks up to $5000. Removing your bank account info may remove that protection. I'd suggest simply closing the PP account once you've ended all your transactions where it was offered as a payment option. If you're really concerned about them accessing your bank account, I think the suggestion to set up an intermediary account for PayPal use and transferring the money into your regular account is a good one.
