Need help w/ E-Bay 21 day hold on funds

Discussion in 'Off Topic' started by machiasmort, Oct 4, 2011.

  1. machiasmort

    machiasmort Active Member

    I apologize for not being around much, but ask my Brothers help with this. I go by the same screen name on E-bay and briefly cornered the market on Beretta 21 A grips. Nobody was bidding on the other grips and I suspect other vendors were complaining about not hitting their quotas. Where else could I market these fine grips and could you believe this really happened? Leave it to me, right! Any advice appreciated, they've left me to starve.


    I wish this letter to be submitted as formal complaint and have E-bay/ Pay Pal charged Federally with the following outlined unfair Business practices.

    As an American producer of 100% USA made products, E-Bay and their proprietary means of online payment, Pay-Pal are engaging in the unfair holding of my account for 21 days although my customers have been 100% happy with all products received.

    This practice keeps the small guy such as myself (a home based manufacturer) at serious disadvantage over drop shippers of foreign products. I have contacted Pay-Pal and E-bay four times explaining the need for access to MY money as was in past practice (instantaneous), when the customer paid. I further explained the need was in direct relation to overhead in the manufacture of my goods.

    Pay-Pal representatives Jenny and Gus could only say that Pay-Pal considered my account to be high risk because I didn't sell more than 30 items per month and presented a lie that I was some sort of new seller despite being with E-Bay since it's inception. I was hung up on three times while asking for a Supervisor. Neither E-bay nor Pay-Pal could give reason as to why the change in their previous practice of instant payment availability was changed into the freezing of my account for 21 days. Both cited a clause in a user agreement that has never been enacted as proven by account statements.

    Pay-Pal boasts that they are the fastest way to send and receive money VIA the Internet. HOG WASH to say the least as E-bay makes their service a necessity.

    Also a bone of contention is the fact that E-Bay is charging fee upon my USPS mailing expenses, giving unfair advantage to foreign goods being drop shipped. They receive bulk rates, import and export tax exemptions not to mention their employers don't pay SS in some parts of the World where these goods originate!

    Pay-Pal is a financial institution with means of destroying my credit and access to my accounts. How is it legal for you to pay me for a good or service (being 100% satisfied as a customer) and Pay-Pal to withhold my pay from me without just cause?

    All of this comes at a time when we are supposed to be creating American jobs, I think? What more can a Representative expect from a constituent? I've created a product competitive with the Chinese. I've been getting an unfair E-Bay tax put on my USPS mailing expenses, and now a proprietary financial institution is holding my customer payments that I'm using for overhead. I also wanted to note that both E-bay/ Pay-Pal have declared and taken their fee from the amount I'm owed while withholding these monies from me.

    I thought this might interest you. Thanks sincerely for your attention on this matter.
    Last edited by a moderator: Dec 15, 2015

  2. richirich1113

    richirich1113 Member

    ebay and paypal did the same to me . it took 2 weeks of talking to supervisors and pretty much phone harrasing them every day to realese my funds. it is bs. this is what i think... if they put this hold on millions and millions of dollors then they can collect the interest on it while screwing the customers over. its the only way i think it would make sense doing this to good customers. its a scandalous move on their part.
  3. machiasmort

    machiasmort Active Member

    Rich, I would tend to agree if they did this to everybody... If you don't mind I ask, what were you selling at the time? I've been selling for years, and because I cornered the market of something a larger dealer was making, I think I got the squeeze put on me...

    Get what I'm saying? The foreign marketer didn't make quota, so he threatened to withdrawl from E-bay, forcing them to take illegal action against me.

    I call it illegal because this has not been their previous and past practice, even if it says that in the contract. What are your thoughts on the possibility?
  4. richirich1113

    richirich1113 Member

    Well i was only selling hobby items , paintball supplys and remote controll cars and parts. i was up to i think my 30th sale with an absolute flawless feedback then on my last sale that was $295 they put ahold on the funds and tried to say the same thing as you -i was a high risk- and they had deducted their fees out of my account. I was freakin ****ed . i called them almost every day demanding that they release my funds since they had no reason , i had no claims ever against me and a flawless feedback from every buyer, so finally after 10 days of me calling and going off on every supervisor i finally got one that realesed my funds. since then ive found other avenues to sell stuff ,like the local paper and garage sales and the local swap meet. but for you it might not be that easy. I dont think that they are picking on you specifically for what you are doing. i think it is an act on them to increase their revenues by screwing people and holding their money while they are collecting the interest on it. im just tring to look at the bigger corporate picture on why they would do this.
  5. machiasmort

    machiasmort Active Member

    Thanks Rich. I appreciate your opinions. They still won't let me talk to a Sup. This was only a $35 auction, so I can't see interest on $35??? Enough to jam me for supplies tho..

    I'm about to specify that I only ship after payment is cleared, and Pay Pal has been enacting random 21 day holds on money recieved from my customers for no reason. If you'd like, pay me by USPS money order or take your gamble w/ Pay Pal...

    I wonder what E-bay would say? If they started ****, I'd tell them I lost the grips, cancle the auction! LOL!
  6. richirich1113

    richirich1113 Member

    yes, yours might have been $35. mine was $295. now just think if they do this to a million customers spread out around the world.. your in Ney York, im in Washighton.
    See my picture? Anyway good luck..
    Oh yea , ijust rememberd ,this is how scandalous they were. when i saw the money in my account from the buyer i printed the shipping lable and shipped the item. it wasnt till about 4 hours later i went back to the account to check my funds then there was the hold placed on it.
  7. darwin

    darwin Well-Known Member

    Google CEO of paypal and find his email then contact him, I would only state facts and keep it all business.
  8. bideronit13

    bideronit13 Member

    Just cuss them out and throw the phone.
  9. bideronit13

    bideronit13 Member

    You know China's Government runs sweet shops. So ebay looks at it like well we'd rather deal with a Government as a whole then a small up and coming cut throat single buisness.
    Thats the new ebay like it or not.
    Im not trying to say that your a cut throat buisness but that's the way they look at it.

    Look at this. I was looking for a bicycle phone mount so my phone could record my speed when I go 73mph in a week or so.
    How can you beet this deal. It might take a week or two or three to get here but this is unreal.
    Ebay add number below
    I was thinking to put some velcro between and phone and mount for added security
    Last edited: Nov 6, 2011
  10. loquin

    loquin Active Member

    As I understand it, the money is 'in' your account, but it's a hold that's applied. So, you should collect any interest made. Granted, they use the funds (as would a bank) to get a higher return than they give you.

    Also, when you ship the items, if you enter the tracking number, your funds get released much sooner than the 21 days... Typically within two business days after the items are received. If you use ebay or paypal to print the postage labels, the tracking number gets updated automatically, and they will release postage payments when you buy postage through them...

    I'm a new ebay seller - (I've sold 10 items over the past couple of months) and the longest delay I've seen, between selling and getting the money, is a little more than a week after shipping. (But, I've shipped using priority mail, so there's only a 2-day transit time.) Most of the time, the delay was 4 or 5 days, ship to payment.
    Last edited: Nov 7, 2011
  11. machiasmort

    machiasmort Active Member

    Thanks for all of the replies! For some reason, my account is showing all of my threads as already viewed??? I'm wondering if somebody hacked me?

    Loquin, Is there extra fee at all to print/ use labels generated by e-bay?

    They would not allow release of funds, although the buyer left good feedback!!! Totally satisfied with the product received! No such thing as interest, and the whole unfair trade thing is what frosts me!

    Come up w/ anything that you could sell at profit on e-bay after 25% fees and postage! As if that ain't hard enough!!!
  12. KilroyCD

    KilroyCD Active Member

    Marty, I'm not loquin but I can answer your question. Unless things changed recently, they do charge a fee for doing the shipping label through eBay/PayPal. That's why I've never used their labels.
    A bit OT - do you produce any other grips? Specifically do you make grips for the Taurus PT-94?
  13. loquin

    loquin Active Member

    At eBay, the postage cost is less than you pay at the post office, and the same as at other on-line postage printing sources. And, you get free delivery confirmation (which you pay a buck for, if you buy at the post office.)

    But, eBay DOES charge commission on the money paid for postage. As does paypal. (The total 'commission' is apx. 14%, spread between eBay and Paypal. So, divide your actual shipping cost by .86 to get close to the amount needed to 'break even" on shipping. If you buy labels, include the cost of the label, and any packing material, when calculating your cost to ship. So, the total 'break-even sell price' for shipping is Box Cost, + packing material/tape cost, + label cost, + 'commission' cost.

    So, I charge 5.75 for priority postage if it'll fit in a small box, and I only 'lose' a few cents. (the receiving department at work is always throwing out boxes (which I usually don't need) and bubble-wrap packing material (which I get for the asking) when I need it.

    But, in any event, when you buy the prepaid postage label through eBay, (and you account for the cost of their service, which IS convenient to use,) they automatically shoot an message to the buyer, with the tracking link included, and they update paypal with the tracking info as well. This ends up shortening the 'funds available' time to 10 days, and then, a day or two after the package is delivered, the funds are made available. Also, Paypal releases the money to pay for postage at the time it's needed by eBay.

    As I understand it, the funds available date is the latest day it should take for the funds to be made available. If you DO choose to pay for postage separately, make sure you get a tracking number, as you can always enter that tracking number manually at paypal, and your funds available date gets shortened (the same as if eBay supplied the tracking number automatically.) Paypal monitors the tracking link, and when it indicates a status of 'delivered,' then the funds get released. It may take up to two days after delivery though... The post office reporting may lag by up to a day, and then paypal's system may not catch it until the next day. (I believe their monitoring process only re-checks the delivery status once a day...)

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    Last edited: Nov 29, 2011
  14. sparky

    sparky Active Member

    Encourage people to use instead of Paypal!!!!

    $0.25 per every transaction, no matter how expensive.

    This service especially shines when it comes to, say, someone needing to collect a $900 rent from his tenant every month.
  15. eastwoodo4

    eastwoodo4 Member

    ive recently started selling some stuff on ebay.once you ship the package with delivery confirmation the funds are usually available with in a few days.

    its b.s that ebay charges a percentage of your shipping even if they have nothing to do with it.
    i shipped out of my own pocket,that was a risk i took.i went to the post office,i packaged it,i did EVERYTHING and ebay still took a percentage of the shipping fees!!thats B.S!!!
  16. rawly old

    rawly old Member

    Get used to it cowboy, everyone wants a finger in the pie. When I buy something,
    I'm lucky if the handling end of shipping & handling is less than the shipping.
    Some one always does the work; some one else always makes the profit.
  17. machiasmort

    machiasmort Active Member

    Great replies Gents! Appreciate the advice. I started using webstore, which is free! Free set-up and listings with NO commission! Follow my flashing link!

    Kilroy, I could make just about anything (Taurus PT-94), if you get a chance, photo the grips (front and back), I'll be able to get a better idea! Arthritis has me slowed down quite a bit... 40, who'd figure?

    Beretta 21a grips! Check these out, I've got a fan! LOL!

    If you guys seen the machine I made, you'd die! Wish that I had a way to patent it but don't have a penny in my pocket! Accurate to .015" and could be built in every basement in America for under $400... Way faster than CNC!
  18. machiasmort

    machiasmort Active Member

    P.S. Those grips sold for $35 including shipping! They are very involved with pockets in the back side. I'm working on some Rohrbaugh 9mm now.

    If anybody ever needs anything precision carved from wood, keep me in mind!