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PayPal Inc. is licensed as money transmitter, who is only licenced to hold funds for 10 days!

Here is the letter I have sent to Florida’s attorney general, and senator Bill Nelson.

As of April 9th 2013 PayPal has placed a 15% 90-day rolling reserve on our funds in our PayPal account. We have notion to believe this is an illegal action under our jurisdiction. PayPal Inc. is licensed as an FT2 license #FT20800093 money transmitter. Under chapter 560 part 2 a money transmitter licensed in the state of Florida is not allowed to hold funds for more than 10 days from receipt. Hundreds of other PayPal businesses are suffering due to this absurd practice. Just search on google “PayPal rolling reserve” and you will find thousands of instances. With our current rate of growth we just cannot afford to let PayPal hold at any given time more than $50,000 of our operating capital. This is illegal. PayPal makes no indication that they will be paying us interest on these funds. Please help us stop PayPal’s illegal practices.

Thank You so much for you attention to this matter.

Posted: April 17, 2013 at 4:53 pm

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One thought on “PayPal Inc. is licensed as money transmitter, who is only licenced to hold funds for 10 days!
  1. Chris Hammerling on

    Hello I have been a member with PayPal Since 2000, Now they have Placed a Limitation on my account for them telling me that i am a high risk business .When there are hundreds of thousands of other people selling the same identical services as i am on Mr. Scott Thompson site Ebay. To where also Mr. Scott Thompson other site PayPal has limited my account and now they tell me that i must get a lawyer to gain the real reason for them placing the limitation on my PayPal account .I am fully aware of the reason to why they have placed the limitation on my or used to be PayPal account is due to what Scott Thompson’s Ebay site had told me to do so that myself and my business partner could accept Payments on Ebay .So we did what Scott Thompson’s Ebay site had told us what to do with them stating that PayPal CAN NOT PLACE A LIMITATION on our PayPal account .So what happens PayPal Places a limitation on our PayPal account with around $1,500.00 in it and now they are stating that we are not allowed to get our funds from our PayPal account with in a 180 days and myself and my business partner in which has a 100% Feed Back on his Ebay account and we both live in Florida to where it is illegal for a Merchant Provider to hold our funds for longer then 10 days Maximum . So we Are going to be file a Class action law suite against Mr. Scott Thompson and His company PayPal for what he is doing to us illegally in the state of Florida. So if you have anything to commit on these please feel free to do so. Thank you, Christopher Hammerling and Michael Pinter E: 2AppleUnlockingCompany@gmail.comP: (407)412-8459 P: (305)497-0777