Unlock and verify the source of income in Paypal

21 replies
Hello,


I'm about to launch an online business (a website) that sells digital services. I'm willing to use the paypal standard as a payment gateway with my website.


That been said, i found out that after you receive around 2000$ or more through your paypal account, your account is put on hold and blocked, until further confirmation of the identity and validation of the source of income (invoices).


So i'm hoping somebody could tell me upahead what kind of informations/proof/documents will i have to provide exactly to help me better prepare and unlock quickly this verification step when i will reach it in the future.


Anyone of you who already faced this problem or have some information/insight about it i'll be greateful if you can point me to the right direct.


Thank you in advance !
#income #paypal #source #unlock #verify
  • Profile picture of the author Kay King
    Anyone who uses paypal may need to provide proof of identify and location - at any time.


    Why not ask paypal about their ID process - or use the extensive 'FAQ' section on the site?

    It's been a long time since I had to verify one of my Paypal accts - but it was providing info on my location and, as I recall, a minor bank transaction when I added a new bank acct.

    As long as you are who you claim - and live where you say - and do business in an honest manner - you have no need to worry. If you are looking for ways to pretend to be somewhere you are not, etc - I'd rethink the plan.
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    • Profile picture of the author kurosaki4d
      Thank you,

      I already posted on their FAQ and waiting for a response !

      When yo usay "Do business in an honest manner" how can i prove to them that my business is legit ? In order to confirm that it's a legal business do they only need to visit the website to assess ? That's all ?

      The problem is, i want to link a bank account outside my country, so will that work with Paypal, will they accept it ? Knowing i can't provide a proof of address to it ?

      Thank you very much for taking the time to explain in details how i should use Paypal!

      Those are some certainly valuable tips, i'll make sure to work by them. By the way i do have a business account for my online business.

      So basicaly, they judge my business just by checking the history of transactions and refunds/disputes history aswell ? right nothing else ?

      But can a bank account outside my country do the job ?

      Thank you @patrickvfisher That's very accurate that's what i needed. I appreciate that !

      Will the bank card statement alone be enough to prove my address on it's own ?

      Thanks a lot for your help !

      How can they know that your income is good, don't they investigate your website in order to make that judgement ? If not, how else can i prove to them that my business is legitimate ?

      Because if it ever happens and they get suspicious after the transactions, how can i then lift off those suspenciouns ? How can a person deal and resolve them with Paypal ?

      Thank you
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  • Profile picture of the author Sid Hale
    Originally Posted by kurosaki4d View Post

    That been said, i found out that after you receive around 2000$ or more through your paypal account, your account is put on hold and blocked, until further confirmation of the identity and validation of the source of income (invoices).
    That sounds like something you read somewhere.

    In my experience, most who post this sort of information don't really know why their account was put on hold - only that Paypal is now requiring some form of account verification.


    So i'm hoping somebody could tell me upahead what kind of informations/proof/documents will i have to provide exactly to help me better prepare and unlock quickly this verification step when i will reach it in the future.
    As Kay mentioned, you need to read - and understand - Paypal's terms (an absolute must with ANY payment processor).


    I never had any problems with Paypal (and I've been using them exclusively for over 15 years), but one thing I've noticed is that most Paypal users try to use a personal account rather than doing the free upgrade to a business account. Part of that process involves verification of your bank account info (by processing minimal deposit/withdrawal transactions as mentioned by Kay).

    Treat your Paypal account very much like you would treat a business checking account. DON'T withdraw funds immediately after a sale. I assume you don't treat your checking account that way, and certainly would not keep an empty business checking account. Instead, let your sales revenue sit in the account for 30 days. Leave a balance in the account from which to pay your web hosting fees, to make occasional online purchases, or to process occasional refunds from any sales refunds.

    Process refund requests promptly. If Paypal recognizes that you are 1) maintaining an account balance, and 2) responsibly handling any refund requests, they are going to be much more comfortable with you as a customer and their threshhold for "red flags" will be much higher.

    Paypal retains a complete transaction history.

    Treat your account like a real business would treat their checking account, and it will very quickly become obvious to Paypal that you can be trusted.
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  • Profile picture of the author patrickvfisher
    I think the required documents will be :
    1. Confirm your name : ID Card or Passport or Driver License.
    2. Confirm your adress : Your bank or credit card statement, Your utility bill - Gas, Electric, Phone ...
    Good luck !
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  • Profile picture of the author webmarke
    I have received a lot more than $2000 to my paypal account and paypal has never done such a thing.


    The only reason that your account will be put on hold or suspended is if paypal suspects that you are breaking the terms of service or you get a big influx of income at one time after never have such a thing happen before.


    For instance...Many marketers contact paypal when they are launching a big product for the first time and are expecting a lot of transactions. They do this so that paypal will not think there is anything suspicious going on with there account.


    If you really fear that you will have your account put on hold, then you should not be posing such a question on this forum.


    You should be asking paypal and telling them what you are doing and why you will be receiving certain funds in your account.


    Again..I don't think it to be necessary..But if you want to be safe..Then that is your safest route.
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    • Profile picture of the author Sid Hale
      Originally Posted by kurosaki4d View Post

      By the way i do have a business account for my online business.

      So basicaly, they judge my business just by checking the history of transactions and refunds/disputes history aswell ? right nothing else ?
      Yes. Other than verifying that they can do electronic deposits/withdrawal of funds from your bank account, the transaction history is the most verifiable information they can access. It's much better than relying on anything you might say on an application, and they can review that information on the fly, as often as they like.

      Originally Posted by kurosaki4d View Post

      But can a bank account outside my country do the job ?
      Assuming you have verified your bank account with Paypal, yes. It's not unusual for large companies to have bank accounts in multiple countries.



      Originally Posted by kurosaki4d View Post

      How can they know that your income is good, don't they investigate your website in order to make that judgement ? If not, how else can i prove to them that my business is legitimate ?
      For the most part, their judgement will be based on your transaction history. They aren't concerned with your total income... only the income that you receive via your Paypal account.

      They may look at your website to insure that you are following their guidelines and that you are not selling anything that they don't approve of (i.e. you aren't running a gambling site).

      Originally Posted by kurosaki4d View Post

      Because if it ever happens and they get suspicious after the transactions, how can i then lift off those suspenciouns ? How can a person deal and resolve them with Paypal ?
      If they ever determine that there is suspicious activity in your account, they will notify you and give you an opportunity to explain/rectify the situation. They might place a hold on your account until the situation is resolved, but that is true of any payment processing company.
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      • Profile picture of the author kurosaki4d
        That sums up everything for me. I can't thank you enough for answering each of my questions accurately and in the simplest ways possible.

        Thanks to you and the others aswell, everything is crystal clear with the knowledge that you've provided me with i know what to expect and i am no longer nervous because i have a clear idea about the all thing.

        Thank you very much for your help !

        My Best Regards,
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  • Profile picture of the author Zeyankhan
    Thank you. Hope if you found ans then share it with us too
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    • Profile picture of the author kurosaki4d
      Of course, as soon as i will reach this stage and solve it, i'll make sure to post it here again and pm you with the solution
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  • Profile picture of the author Zeyankhan
    Looking Forward to it
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  • Profile picture of the author cearionmarie
    If you could verify your account first hand, then you should have smoother transfers. I provided everything that was needed and until now I never had any problems with it.
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  • Profile picture of the author affmarketer101
    I faced with that problems with all my 2 paypal accounts (1 personal, 1 business). All I need to do was to ask my clients to help me confirm the service I did for them, then Paypal would review then withdraw the limitation.
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  • Profile picture of the author JohnVianny
    If you're making profits on a continuous basis it's clearly understandable that you need to have a business account.

    It also depends on WHAT TYPE of business are you trying to use with paypal: they don't allow adult sites, gambling, etc. Also with forex etc i think you are in the risky zone.

    The freezing of paypal account is something that could occur also for their wrong minsinterpretation of what you're doing, and that's why you need also another payment gateway like stripe.

    But if you abide to all their terms, it's very uncommon that you get frozen suddenly.
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  • Profile picture of the author hardworker2013
    All you have to do is verify your identity with either a drivers license or passport and upgrade to a business account. If you are living in the US you can add your US bank account to your account to lift the withdrawal and lodgement limits that they have.
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    • Profile picture of the author kurosaki4d
      If you link your bank account, after you remove the withdrawal limits, could you afterwards remove/delete the bank account linked to your paypal ?

      Can it be removed at any time ?
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      • Profile picture of the author Sid Hale
        Originally Posted by kurosaki4d View Post

        If you link your bank account, after you remove the withdrawal limits, could you afterwards remove/delete the bank account linked to your paypal ?
        Yes, unless you have identified the bank account as the backup funding source for your Paypal account (i.e. bank account funds payment transactions when you do not have sufficient balance in your Paypal account).

        Originally Posted by kurosaki4d View Post

        Can it be removed at any time ?
        As long as your Paypal account is not currently "limited".
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  • Profile picture of the author salsym
    Originally Posted by kurosaki4d View Post

    Hello,


    I'm about to launch an online business (a website) that sells digital services. I'm willing to use the paypal standard as a payment gateway with my website.


    That been said, i found out that after you receive around 2000$ or more through your paypal account, your account is put on hold and blocked, until further confirmation of the identity and validation of the source of income (invoices).


    So i'm hoping somebody could tell me upahead what kind of informations/proof/documents will i have to provide exactly to help me better prepare and unlock quickly this verification step when i will reach it in the future.


    Anyone of you who already faced this problem or have some information/insight about it i'll be greateful if you can point me to the right direct.


    Thank you in advance !
    Paypal has a very efficient support system. Just shoot an email to them with all your queries..
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    • Profile picture of the author kurosaki4d
      I sent them an email they didn't reply, could you please give me the email that use to reach them on ? That will be very much helpful

      Thank you
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  • Profile picture of the author Randall Magwood
    Originally Posted by kurosaki4d View Post

    That been said, i found out that after you receive around 2000$ or more through your paypal account, your account is put on hold and blocked, until further confirmation of the identity and validation of the source of income (invoices).
    Where is this located on the internet?

    I've sold a $2,500 product via Paypal, and never received a block - or temporary hold on payments. Also... i've sold more than $2,500 via Paypal, and have not received a hold or block.

    The only 1 incident where i had to verify my information was when i logged in to my Paypal account while i was in Brazil. They figured this was an attempted hack attempt, and lock down my account - because prior to this i had never been overseas - ever (not even on a Carnival Cruise!)

    But then i provided evidence that it was myself that accessed the account, and i had to submit/send in some information, then my account was back in order.
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    • Profile picture of the author kurosaki4d
      Alright, that's good to know. I appreciate you telling me that !

      May i knonw what kind of information they asked of you ? How did you send it to them, by fax or email ?

      Thanks
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  • Profile picture of the author chists
    You need to upload documents such as ID and a BILL to get your funds unlocked.
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