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Does paypal consider $7 script an MLM program?

by Sheryl Polomka
10 replies
I just wonder if anyone has had any trouble with this. I have just had my paypal account suspended and can't access the money in there at all. They say it is due to one of my sites that they consider to be an MLM program.

The site in question is a site where I sell an ebook using the $7 secrets script.

Has anyone else had any trouble with paypal when using the $7 script?
#mlm #paypal #program #script
  • Profile picture of the author globalpro
    Hi,

    The two things that PayPal had originally with the way the $7 script offers were presented was the 100% commissions and selling Master Resale Rights as part of the sale. Reason they gave was it wasn't a product sale, but a business opportunity.

    It's not, but you need to contact them quickly and see what they object to, then correct it. You probably have an overzealous rep who doesn't understand what they are looking at.

    FYI, remove the affiliate oppotunity part and put it somewhere on the backend page. That is the big issue they had.

    Thanks,

    John
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  • Profile picture of the author onera
    I get a few emails every week about ebooks for 7 dollar. So, now I understand they are using this 7 dollar script. Did not know that. Can I make it a 9 dollar script?
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  • Profile picture of the author Chad Heffelfinger
    Onera,

    Yes, you can make it any amount you want. $7 is just the amount that most people choose to use and was the price when it was first started.

    Also, just because an ebook is $7 does not mean they are using that script. That is a common price for ebooks and reports in general. The thing about the $7 script is that affiliates get 100% of the sale instantly paid to them.

    Hope that helps.
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  • Profile picture of the author Sheryl Polomka
    Ok, I think I know what might be going on. The link paypal gave me that they said violated the rules was the link with an affiliate link on it - I have also had a complaint about this same affiliate from a customer saying they spammed them.

    I banned this affiliate but I guess they are still spamming.

    So I'm thinking that possibly someone has been spammed by this affiliate and has complained to paypal.

    I've currently taken the site down until I get the issue resolved with paypal and then I think I might sell this ebook through paydotcom or clickbank rather than with the $7 script.
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    • Profile picture of the author Eric Lorence
      The script is just a script, it is the premise of selling the "opportunity" as opposed to a real product.

      It boils down to how the ad copy was worded as to make people believe that the product would be free if they bought into this opportunity.
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  • Profile picture of the author The Wanderer
    I bought the $7 Secrets Script as part of a package from Paul Myers. He explains the problem with selling it the way it was originally presented and said he thought the author had changed the way he presented it in the meantime. I believe what you want to avoid is mention of the resale possibilities in the sales package. The idea is to write a useful e-book-- in any field-- and sell it on its merits. However, in order to get it more widely sold and to bring attention to your website you also offer to allow people with websites in your niche to sell the book and have the entire amount paid directly into their paypal account. Buyers are still directed to your website, but the payment goes to the person sending the customer. It's really just a variation on free gifts to get traffic and build lists, except there's is more incentive to other webmasters to promote it.
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  • Profile picture of the author jasondinner
    The issue I see with the script is that the buyer pays the affiliate to access the vendor's product.

    That can raise all sorts of issues, especially when the customer contacts the vendor requesting a refund.

    Now the vendor has to ask his affiliate to refund the payment.

    If the affiliate can't or doesn't, then the vendor has to issue the refund out of his own pocket, which makes him/her a 2 time loser.

    1- he/she lost a valued customer

    2 - he/she paid out of his/her own pocket the refund even though the affiliate was paid for the purchase.

    This is the reason why I personally do not promote products using this script.

    Now it gets even worse!!

    The buyer then issues a dispute or chargeback through their paypal account or card they
    paid with. The affiliate now has to deal with customer support for a product that isn't
    even theirs and now their Paypal account is being negatively effected.

    Hope this helps,
    Jason
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    • Profile picture of the author Chris Lockwood
      Originally Posted by jasondinner View Post

      The issue I see with the script is that the buyer pays the affiliate to access the vendor's product.

      That can raise all sorts of issues, especially when the customer contacts the vendor requesting a refund.

      Now the vendor has to ask his affiliate to refund the payment.

      If the affiliate can't or doesn't, then the vendor has to issue the refund out of his own pocket, which makes him/her a 2 time loser.
      Did you actually have this problem, or is this hypothetical? I ask because none of the people I know who use scripts like that have told me about this, and when I used that script there were 1000+ sales with no problems like that (only problems were some people getting download links that already expired).

      I don't see the problem. The person who collected the payment should be the one who refunds it, since "refund" means returning money.

      If it were my product, and the affiliate did not want to issue the refund, I would just issue the refund myself and ban the affiliate. My guess is the affiliate would quickly change his mind once he realized he could no longer make sales of that product. The few times someone asked for a refund from me, I just forwarded their request to the affiliate and told them to refund the person. No problems at all.

      If I were the affiliate, I wouldn't hesitate to issue the refund, knowing that the site owner could easily block my link from working, plus it's the right thing to do if I was the one who received the money.

      As for the "2 time loser" part, most products sold with that script are cheap ones. Is it really that big a loss if you have to give someone $7?
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  • Profile picture of the author Sheryl Polomka
    Well, no luck with this so far.

    Paypal have replied to me by saying that my account is PERMANENTLY limited. I can't access the money that I have in there - thankfully I do withdraw regularly for this very reason, although there is still about $600 sitting in there.

    My biggest concern is that I have about 80 people that are subscribed to hosting with me through that paypal account, so I will not be able to receive any of their subscriptions and if this doesn't get resolved will probably lose all those customers.

    I have such a headache this morning with this whole thing. Is there anything at all that I can do or do I just need to cut my losses?
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  • Profile picture of the author J. Barry Mandel
    My suggestion is that you need to contact your Paypal rep.

    If you don't have one and want to continue to use Paypal with NO PROBLEMS in the future, then *get* an Paypal rep and stay in constant contact with that rep letting them know when they should expect anything out of the norm.

    IMHO you should be on a first name basis with your rep so as soon as you call them they know it's you
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