Someone made a mistake and I have to pay

PayPal Warning

While we do not have the resources to verify each and every complaint we receive, we do believe that all reports posted here are true based on our own experience with Paypal and the growing number of corroborating horror stories we receive every day. The main subject of the majority of these horror stories is the following:

Your Paypal account can be frozen at any time, without advance notice, leaving you without your money for months (if not forever), and there isn't much you can do about it.If you would like to submit your own PayPal horror story, we would be more than happy to post it for everyone to read, providing that it is truthful and void of inappropriate language. Please feel free to submit your story by clicking Here

If you are searching for an alternative to PayPal, we strongly suggest acquiring a Real Merchant Account. CLICK HERE FOR OUR TOP PICK.

How Does PayPal Make Money With My Money?

According to the San Francisco Chronicle, there are approx. 100,000 complaints outstanding at PayPal (Are any of these yours?). In many instances disputes can run on for months leaving people frustrated and out of pocket as they are unable to access their accounts. So what happens to the millions of dollars tied up in frozen accounts and disputes? Well, here is a clip from the San Francisco Chronicle that basically sums it up:

U.S. District Judge Jeremy Fogel of San Jose refused to dismiss a lawsuit that seeks class-action status on behalf of thousands of PayPal customers nationwide. A common allegation is that the company brushes off or stalls customer grievances for months and meanwhile freezes the customer's account and pockets the interest (So that's how they make their money!). No wonder they freeze so many accounts!

Someone made a mistake and I have to pay

I just had to write this after dealing with Paypal, and their “great” account practices. While on vacation recently I was traveling with my PayPal Debit cared which I had a few thousand dollars on. Somewhere during the trip, I tried to use the card for a gas purchase. The authorization was placed for $100.00, but it did not let me pump the gas, so I tried again, where it again placed another $100.00 hold on my card. A few days later I noticed this amount missing from my account. Well after a week, I saw the money appear back on my card, so as most anyone would, I used it, assuming it was my cash. Well Not So!

After another two weeks, I received a letter telling me they had overpaid me with these debits, and the gas company had also posted two $100 credits as well. The numbers did not add up, so I contacted the company where we went through the transactions after a number of individuals agreed, but had no power to do anything about it. Finally a few days more, I got another letter justifying their position and stating there were some missing entries, which they told me shows I now owed that $200 as over payment. Upon my new view of the transactions, they had added additional entries to justify their position.

So now I am being sent collection letters to collect the over payment. It is obvious to me I have no choice but to pay this, but I am convinced they are just covering their butts because someone mad a mistake and feels it is just easier to get it from me.

I will never use PayPal again, and would recommend you not either!

Posted: August 31, 2012 at 3:42 pm