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doubts about paypal

Discussion in 'Business & Tax Advice' started by gurispopis, Nov 19, 2009.

  1. gurispopis

    gurispopis BANNED BANNED

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    Hi,

    I have some doubts about paypal:

    - Currently I sell wholesale clothing and I want my payment method is via paypal, as the bill works:

    - When someone pays me via paypal should I wait for the money reaches my bank?
    - How long it takes money to reach me?
    - Only do business with people I checked?

    I hope I can help.

    Greetings.
     
  2. nantaprong

    nantaprong Junior Member

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    I dont think the money would reach your bank if someone pays you.

    The money would show up as your paypal balance, and you will withdraw it to your account after that.
     
  3. stung

    stung Regular Member

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    Be very careful as a seller on paypal. Even if the money is in your bank after you taking it out of paypal, if someone does a chargeback and you have your bank account linked to your paypal account (direct debit etc) they can take the money out of your bank!

    If it's someone you are very suspicious of, ask them to do a bank transfer.

    Otherwise, always withdraw the money to your bank account as soon as you get it, and make sure you don't have direct debit set up (you can remove limits on withdrawals without needing this).
     
  4. gurispopis

    gurispopis BANNED BANNED

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    Hi,

    What happens is that I have never used a paypal account and not as is the handling.

    Let's say someone sends me money via paypal, automatically sends my clothes?
    or should I wait for this money is in my bank account?
    Greetings.
     
  5. stung

    stung Regular Member

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    No way! If you are the buyer, absolutely don't do a bank transfer. It's the least safe way to buy!!
     
  6. gurispopis

    gurispopis BANNED BANNED

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    I do not understand me, paypal account is associated with a bank account right?
    I am the seller, the buyer sends me money from your paypal account to my paypal account, what should I do after this?
    Wait until I can download the money to my bank?
    Send garments to the buyer and when the newly downloaded resived money?

    Do not know much about the operation of paypal. My fear is to send the clothes and the money never arrives.

    Greetings.
     
  7. stung

    stung Regular Member

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    I'm having trouble understanding all of what you said, but basically, yes - wait until the money has gone through to your bank account and then send the goods.
     
  8. MasterSavant

    MasterSavant Registered Member

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    Disagree.

    It depends on where the money is coming from.

    If the buyer pays you via e-Check (through Paypal), then you cannot send them the item until the e-Check fully clears (takes about six business days, or up to two weeks, maybe more).

    If the buyer pays you via Paypal (through their credit card and/or their bank account), then it should say "Instant Payment". At this point, the money is yours. You can safely send the buyer the merchandise.

    What is NOT safe is dealing with Paypal... ALWAYS ALWAYS keep your Paypal balance at $0. When you make a sale, get an instant payment, IMMEDIATELY withdraw the money to your bank account. You can withdraw money to bank account an unlimited number of times per day (as opposed to a merchant account, which will charge you $.30 per transfer).

    As the poster said above, once the money has hit your bank account, IMMEDIATELY remove the funds from your bank account.

    You should have a single bank account associated with each Paypal account. Make CERTAIN that this particular bank account is always empty (I keep a balance of $5 in mine).

    edit: I just re-read the OP's question, and just realized that he mentioned that he is a wholesaler. Please note that Paypal has a bad habit of freezing accounts if the amount of money moving through your account is large (say, over $1,000.00). I've heard way too many stories of people receiving $2,500 payments and then suddenly getting their accounts frozen for six months while Paypal "investigates".

    I would recommend that you structure payments so that you don't receive more than say, $500 at a time. You may want to set up several Paypal accounts if you deal in large amounts of money. You really have to watch out for Paypal - remember, they are a private company and NOT a bank, which means that they are not overseen by anyone (and can do whatever the hell they want).

    Again, I have to mention how dead serious I am about constantly making withdrawals and keeping your Paypal balance at $0. Even if I receive a $10 payment, I'll immediately withdraw it (seriously).
     
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    Last edited: Nov 19, 2009
  9. gurispopis

    gurispopis BANNED BANNED

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    Thank you very much for the answers are clear to me many questions.
    I have another query: I have read in some cases it is necessary to send the tracking number to paypal for them verify that the object is being sent. It is true that I can not withdraw money until the package reaches its destination? Is that correct?

    Greetings.
     
  10. MasterSavant

    MasterSavant Registered Member

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    No, you don't have to answer to Paypal in regards to shipping information (unless your deals are being made through eBay). They'll ask for shipping confirmation, however, if you don't give it, they won't care.

    Just make sure that your account is properly verified and that you have no withdrawal limits.

    Unless this is an ebay transaction, Paypal does not require any shipping proof (even though it may say so in your control panel).
     
  11. mr.breakit

    mr.breakit Jr. VIP Jr. VIP Premium Member

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    if your doing business with the people that you already checked out then you should be fine. but there is no way of being 100 percent same on a charge back
     
  12. JamesAtlas

    JamesAtlas Jr. VIP Jr. VIP Premium Member

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    Yea, people can do a charge back and rip you off. I think there is a way around it using a credit card though.
     
  13. JamesAtlas

    JamesAtlas Jr. VIP Jr. VIP Premium Member

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    *Damn, I just saw I double posted, sorry if this was against the rules.* D:

    Generally, I send the product/services and transfer the money into my bank account. I've heard there is a way to link something other then a bank account to your paypal. I'll let you know if I find the info again.

     
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    Last edited: Nov 29, 2009
  14. suga051982

    suga051982 Regular Member

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    SELLER BEWARE!!!!! Paypal is notorious for freezing accounts and then taking forever to "investigate" and holding your funds while they do so. Also, if the buyer does a chargeback after receiving the goods, you are out of money and your product. Please listen to others and have multiple bank accounts so that PP wont take money from you it doesnt deserve.