Paypal's new policy update. What do you guys think?

35 replies
Just got an email regarding Paypal's new policy update, effective Nov. 1st. I'm not the best at deciphering "legalese", but from what I can tell, the main change to their policy is basically, "If you don't opt out of our new policy by Dec. 1st, then you agree not to sue us regarding withheld funds or any other disputes that may arise, and consent to arbitration instead".

My guess is that Paypal is starting to get tired of the constant bad PR they are getting from being sued by so many people for having their funds held for extended periods of time.

This new policy update seems especially odd though, considering Paypal's new president recently stated that he wants to "radically change how we deal with holds" (see this). I guess "radically change" can mean for better or for worse, lol. I guess time will tell.

What do you guys think?
#guys #paypal #policy #update
  • Profile picture of the author glowworm
    Banned
    They state do nothing if you agree to the terms, or if you disagree your account is cancelled.
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  • Profile picture of the author sbucciarel
    Banned
    Haven't gotten the email yet. Don't like the policy, but what are you going to do?
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  • Profile picture of the author J Bold
    Originally Posted by Brandon Tanner View Post

    My guess is that Paypal is starting to get tired of the constant bad PR they are getting from being sued by so many people for having their funds held for extended periods of time.
    Probably because it's illegal according to the license under which they operate, at least in some states, no matter what their little agreement says.

    I could make an agreement with you that says you can cut off three of my fingers and eat them while I watch but it doesn't make it legal.
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    • Profile picture of the author Tayman
      That little "agreement" won't hold much weight in court is my guess.
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      • Profile picture of the author Kevin Ocasio
        Originally Posted by Tayman View Post

        That little "agreement" won't hold much weight in court is my guess.
        I hope not... would kind of suck if it does.
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  • Profile picture of the author J Bold
    On another note, did anyone see the offer from Paypal to help you out with Internet Marketing with a consultation from web.com? I got that offer when I logged into my account today.

    Who said Paypal doesn't like IM!?
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    • Profile picture of the author Tayman
      Originally Posted by J Bold View Post

      On another note, did anyone see the offer from Paypal to help you out with Internet Marketing with a consultation from web.com? I got that offer when I logged into my account today.

      Who said Paypal doesn't like IM!?
      Interesting...

      There's always someone trying to piss in the pool.
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    • Profile picture of the author MightyWarrior
      Originally Posted by J Bold View Post

      On another note, did anyone see the offer from Paypal to help you out with Internet Marketing with a consultation from web.com? I got that offer when I logged into my account today.

      Who said Paypal doesn't like IM!?
      Are you serious?? More like web.com is using paypal to market them
      and paypal is making a little extra coin on the side for doing so.

      That's all -- nothing more -- nothing less.


      Paypal said they don't like IM -- seriously.
      No more ebooks on ebay unless it is physical (paper or plastic),
      and no multi-level marketing beyond 2 levels - affiliate marketing.

      They don't like the amount of returns they have to process, and
      that is what it's all about -- using their system to sell junk and
      them not getting paid because of high return rates.

      Not all IM has high return rates, but a lot of it does.


      Personally, I have had monies frozen, but for short periods of time.

      I'm not sure I ever learned to really trust paypal... and now this!


      Arbitrate what? Paypal trying to pull a fast one? Where is the opt-out!!

      Sign me up for that opt-out! Make it too hard and I'll simply cancel my account.


      There are other payment processors with more functionality geared more
      toward IM, but this policy really hits all of you ebay'ers really hard.

      Perhaps could be written as: If you sell items on ebay, you can no longer
      sue us, but we'll work it out through arbitration. To me this Paypal policy
      change is more of an eBay change than just a Paypal change in policy!! imo
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  • Profile picture of the author 102drive
    Paypal is really a pain, they give my company a ton of ridiculous issues all the time.
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  • Profile picture of the author bellabell
    I am sure paypals lawyers had a lot of rewrites on this. problem is not the sticking part - I am sure there will be courts that go hogwash on this.... problem is most of the people using paypal are little guys that can not afford lawyers or are too afraid to take them on.
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  • Profile picture of the author Robert Michael
    On another note, did anyone see the offer from Paypal to help you out with Internet Marketing with a consultation from web.com? I got that offer when I logged into my account today.

    Who said Paypal doesn't like IM!?
    Saw that too. I couldnt believe it.

    Talk about the pot calling the kettle black
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  • Profile picture of the author subten101
    PayPal have some ridiculous policies regarding the money they hold in the accounts, but I guess they don’t have much option as the amount of fraudsters who have given PayPal such a bad name from the past.
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  • Profile picture of the author kindsvater
    Interesting, because PayPal is (or was) subject to a court order not to arbitrate consumer disputes. This was a part of a class action settlement involving the company.

    .
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  • Profile picture of the author goindeep
    I dont think I have ever read a paypal policy update.
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    • Profile picture of the author Brandon Tanner
      For those who haven't gotten the email, you can read the new policy by logging into your Paypal account, then click 'Policy Updates' on the right side of the page.

      Regarding them teaming up with Web.com... wow, that's interesting. I didn't see that ad when I logged into my account, but I guess them teaming up with a large internet marketing company can only be a good thing. Hopefully that means that they are beginning to recognize more and more the legitimacy of the IM industry.
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      • Profile picture of the author RexMapes
        Originally Posted by Brandon Tanner View Post


        Regarding them teaming up with Web.com... wow, that's interesting. I didn't see that ad when I logged into my account, but I guess them teaming up with a large internet marketing company can only be a good thing. Hopefully that means that they are beginning to recognize more and more the legitimacy of the IM industry.

        ...or it might be the beginning of a whole new set of hoops to jump through and "objectionable operating practices" by smaller competitors.
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  • Profile picture of the author Kurt
    In general, I would prefer arbitration to court.
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    • Profile picture of the author Michael Oksa
      Originally Posted by Kurt View Post

      In general, I would prefer arbitration to court.
      If it was an independent 3rd party, that would be fine, but my guess is you have to go through PP's arbitration board. This could make it very difficult to win your case.

      Look into the IBOAB for how much of a potential problem this could be.

      All the best,
      Michael
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  • Profile picture of the author nwalker2
    I hate paypal! I use them coz I have to but I have endless problems with them.
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  • Profile picture of the author Morphius
    I agree not to sue you. Lovely. Pure garbage. Speaking about negative per against them.
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  • Profile picture of the author sarah23
    when it this policy coming into effect?
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  • Profile picture of the author dylan4f
    I use them every day, but I hate them..really I hate paypal.. it's not some evil hate, but they screwed me so many time and held my funds for no reasons.. they reversed payments to clients even I have delivered goods and services..

    I don't think they will ever get better for us IMers
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  • Profile picture of the author Tony Santos
    I've experienced the "Fund Holding" issue when in regards to Ebay. Even then, I wasn't sure if it was an Ebay idea (which it technically does benefit the consumer) or Paypal. All I know is that everytime I called Paypal to complain I needed atleast partial release of funds to afford shipping they would tell me that once I sold 26 items the funds would no longer be frozen. I finally sold 26 items...lol...Lets see what happens on my 27th sale. If there is a new change to the policy I hope it benefits sellers as well.
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    • Profile picture of the author nicraz
      Originally Posted by Tony Santos View Post

      I've experienced the "Fund Holding" issue when in regards to Ebay. Even then, I wasn't sure if it was an Ebay idea (which it technically does benefit the consumer) or Paypal. All I know is that everytime I called Paypal to complain I needed atleast partial release of funds to afford shipping they would tell me that once I sold 26 items the funds would no longer be frozen. I finally sold 26 items...lol...Lets see what happens on my 27th sale. If there is a new change to the policy I hope it benefits sellers as well.
      Well as far as I know eBay and PayPal are the same thing. I have sold a few things on eBay, certainly not 26 (less) and only experienced a hold the first couple of time. The last time I sold a cell phone, I received the funds right away which was bizarre. I haven't tried to sell again because of the fees. I already got overdrafted for $4.00. Not a nice experience.
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  • Profile picture of the author itworked
    It means they are worried about class action lawsuits. Their lawyers know that this change won't prevent the lawsuit but it will help a little bit when it comes along.

    And I think it will come along. Paypal has done some bad stuff to lots of people. I think they are trying to improve recently with their new CEO but they have a long way to go.
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  • Profile picture of the author esuresh
    Just ignore Pay pal. Use other payment gateways. When every one switches to others ( I doub't that will ever happen) they will come back asking us all to join them back. Actually they are living with our money.They are not supposed to screw us.
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    • Profile picture of the author nicraz
      Originally Posted by esuresh View Post

      Just ignore Pay pal. Use other payment gateways. When every one switches to others ( I doub't that will ever happen) they will come back asking us all to join them back. Actually they are living with our money.They are not supposed to screw us.
      That is true but difficult to achieve. The majority of merchants accept PayPal only (in addition to CC). I've been using Google Wallet but only a limited number of merchants or stores accept them.

      I really hope that this privacy change is for the better. Besides the fees they charge, they make money by putting OUR money on hold.
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  • Profile picture of the author fixie
    Your ability (or disability) to sue them wont hold any argument in court in larger cases, but it might be used against the "little man" in order to stall the cases or make them more expensive.
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    • I got screwed over by Paypal like thousands of others over the years when they freeze your accounts on baseless issues which amount to no more than heresay, so I am sure with thousands of suits mounting, they are trying to scare off as many future suits as possible.

      Success to all,
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      • Profile picture of the author Kay King
        Paypal is aiming at avoiding class action lawsuits and since I dislike those suits myself, I don't blame them. Many businesses use arbitration for disputes and I don't have a problem with that either.

        kay
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  • Profile picture of the author shipwrecked
    I wonder how much this will affect vendors and what effect it will have on buyers... whether the vendor or buyer will "pull the short one"...
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  • Profile picture of the author Lou Murphy
    I have been using Paypal for quite some time - mainly for receiving payments and it's working fine for me. However I have friends who've had issues regarding holding money.
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