The first thing that most people will think when reading this post is that you broke their terms and therefore, you deserved that penalty.
Not so fat my friends.
You may face the same fate.
Let me explain.
If you have ever been shut down by paypal you will know that they will refer you to the site that caused the problem.
In my case..I was flagged for a site that if you take a look at it...You will see that it's totally legitimate and is not some mlm or get rich quick site.
It's simply a site advertising site that pays 100% commissions. (Note: This is not a revshare site)
I would list the site that got me penalized but I don't know if the moderators would like that (so I will error on the side of caution).
I would love to appeal to paypal about this matter, but they made it very clear in their email that this can not be appealed.
I believe the reason that I received this harsh penalty is because the site I was promoting is an instant commission site.
For those who don't know...An instant commissions site is a site that allows the customers to join and then earn instant commissions when people they refer buy the upgrades.
The thing about these sites is when people purchase the upgrades from these sites, the payment goes directly to you instead of to the owner of the site.
So...I am assuming that paypal looks at you as the owner of the site and will penalize you instead of the real site owner if they conclude the site violates their terms.
Furthermore...I received an email from Frank Salinas this morning that really confirmed my thoughts. (Frank Salinas is the owner of the site that got me banned from paypal and the owner of several other instant commission sites.)
The email confirmed my suspicions. Basically, Frank is changing all of his sites from instant commissions. Instead he will now collect all the money and pay affiliates through his paypal account instead of the customer to customer model used by most instant commission site.
In a video that he asked us to watch...Frank explained that a lot of instant commission sites have been losing their payapl accounts and he feels the reason is because they are instant commission sites. He read off a bunch of names (of people who own instant commission sites) that have contacted him and told him that they have been shut down by paypal.
So..If you belong to any instant commission site...I would recommend that you remove you paypal email address from them immediately.
Paypal is actively penalizing anyone who is getting instant commissions from these sites.
Note: Instant commission sites are not the same as affiliate programs ran through warrior plus or JVZoo. Warrior Plus and JVZoo payments are first made to the vendor through paypal and the vendor then pays you through paypal. Instant commission sites is a customer to customer payment. The vendor is not involved at all.
I mention this because..I think you will be safe if you are getting instant commissions from products promoted through JVzoo or Warrior plus.
However..sites like instant commission sites and payspree that allow you to receive direct payments from customers seem to be the problem.
In conclusion.. If you promote sites that does not require the vendor to pay your commissions instead of the customer, then you should remove your paypal address immediately and save yourself a lot of problems.