Payza Is No Longer Available To US - My Funds Frozen
I was really happy with the service too. It operated pretty much like PayPal, whereby you could collect payments, transfer money back and forth to a bank account, etc.
Well today I had a customer contact me and tell me that he tried to purchase a product I was promoting and was told when he got to the payment page that "This merchant is not able to accept payments through Payza at this time." Fearing my account had been suspended or shut down, I logged in.
This is what I was greeted with:
Important Update for U.S. Members
The U.S. Department of Justice has just released a URL and phone number for inquiries regarding your funds held with Obopay for your Payza account in the U.S.
Please go to the following URL: USDOJ: US Attorney's Office - District of Columbia for this information. A phone number has also been provided on that site where you may leave your name and contact information and your call will be returned by their staff within 3 business days. The URL above will continue to provide updated information on this situation and Payza will also continue to provide you with updates. For those unfamiliar with the situation, Ultralight FS (formerly Obopay), a licensed money transmitter in many U.S. states entered into an Agreement with Payza, whereby we acted as an Agent of Obopay. This Agreement allowed Obopay to facilitate the transmission of money in the U.S. on behalf of Payza’s members. Obopay rescinded the Agreement leaving our U.S. members without a means to access their money. It is only recently that we learned that Obopay’s funds, including the funds held for the benefit of you our members, were seized.
Payza is cooperating with all governmental agencies to resolve this situation as quickly as possible. Again, we will continue to keep you updated by posting any developments in your account, on the Payza Blog and on Payza’s official Facebook page.
We apologize for the inconvenience this has caused our members in the U.S. and around the world, and we greatly appreciate your cooperation as we work to resolve this issue.
Then as I went to proceed to my account, I got this message:
Payza Announcement to Customers
Due to circumstances beyond our control, Payza’s account platform is no longer accessible to members in the United States. Therefore, you cannot add, send or receive funds to or from your account.
Unfortunately, the third party relationship that enabled U.S. members to access their stored value account services was terminated. It is with great regret that we have had to withdraw from the U.S. market.
All withdrawal requests will remain pending until further notice. We are working diligently on resolving this matter and will update you immediately with any developments.
When I clicked the link Payza provided it took me to the US Dept. of Justice website. I guess this "Obopay" who was facilitating payments for US Payza members must be in some kind of hot water if they have had their funds seized.
The money in my account is now frozen and not available for withdrawal. Luckily I only had $4.76 in there anyway!
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