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The Ultimate PayPal Issues FAQ - Look before opening a PayPal-related thread!

Discussion in 'Business & Tax Advice' started by bryanon, Jun 29, 2013.

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  1. bryanon

    bryanon Executive VIP Premium Member

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    Hey Guys,

    I'm seeing more and more threads popping up on the forum describing the same issues people are having with PayPal over and over again.

    Because of this, I decided to put together a quick FAQ that members who are having issues with / questions about PayPal could benefit from and that would in turn reduce the number of duplicate threads opened.

    1. HELP! My account has been limited!

    First off, relax. Most PayPal accounts get limited at some point so there's no major need to worry.

    The main thing that you should do when your account has become limited is seeing what documentation/information PayPal want from you to resolve the limitation. You can find this list on the limitation screen that displays when you log on to your limited account.

    Often enough they only require something as simple as a copy of an ID and address proof, in which case send them the documents and your account will be fine. Sometimes, though, their requirements are a little bit more serious, and could even be completely unreasonable, e.g. requiring "proof of shipment" for sales of digital products.

    In these cases it is important to stay calm and:
    a) Figure out which of their requests are reasonable and which aren't;
    b) Comply with the reasonable requests;
    c) Once you have (and ONLY then), pick up the phone and call PayPal's customer support, explaining the situation.

    I have had PayPal limiting my account and asking unreasonable questions more than once, and each time it has been resolved after calling their CS.

    NB! Make sure to CALL THEM, rather than emailing them. If you email them about issues with an account limitation then all you will get is an automated reply saying that this kind of issues are only dealt with on the phone.

    2. HELP! My account has been terminated!

    Getting your account terminated is quite a bit more serious issue than getting it limited.

    By terminating your account, PayPal is basically telling you that they don't want your business any longer and that they have made up their mind on this.

    To make matters worse, termination typically comes with a 180-day hold on all of the funds in your account, meaning that your money will be "frozen" for 180 days, after which PayPal will issue you a cheque or a wire transfer on the amount.

    The good news is that you still have hope. Whilst account terminations cannot be appealed, there is a slight chance that you can get your money back before the 180 days have passed. There are two options for that:

    a) The DYI approach - there are several threads here describing how people have gotten their funds out of PayPal before the 180 days through e-mailing, calling and faxing different departments of PayPal. Something like this is always a hit or miss and depends on how good your communication skills are, but certainly worth a try as there's nothing to lose.

    b) Services - there are some services out there (as well as on BHW) that claim they're able to help. Even though the success rates of these services aren't amazing, you may as well give one of them a try, but make sure to ALWAYS PAY ONLY FOR RESULTS!

    3. I need a VCC to verify my account

    Firstly, there have been a lot of people (including myself) suggesting to use EntroPay in the past. THIS DOES NOT WORK ANY LONGER! Since about a year and a half ago, most EntroPay's virtual cards stopped working for PayPal. Sometimes they don't even go through, other times they do go through but trigger an instant account limitation. Do not use EntroPay for PayPal verification any longer!

    Another thing that you should NOT do is buy your VCC from a random provider whom you can not do any research on. There are plenty of reputable VCC providers here on BHW so take a look at the BST section, find one that has positive reviews and people confirming that their VCCs work with PayPal, and order it from there.

    There is, however, another concern:

    Often enough PayPal, when limiting accounts, asks for scans of the fronts of your credit cards, as well as credit card statements and terminates the account if you're unable to provide them. This, obviously, is a major issue if you have used a VCC to verify your account as there is no card to scan and no statements.

    Because of this, it is always recommended to verify your (non-stealth) PayPal accounts using a real credit card or a bank account.

    4. Where can I get a virtual US account to verify PayPal?

    At the moment, there is one trustworthy and confirmed-to-work option out there - Payoneer.

    Their US Virtual Account service is not publicly available, meaning that you have to apply for it and wait for them to approve you, but most people don't have issues with getting approved. Payoneer's representative is also here on BHW and they have an official thread here about their services.

    5. Can I send PP fake documents?

    This question never gets old and is one that can't be easily answered. There are a lot of threads about this (such as this one here) and different people have very different opinions on the matter.

    My personal suggestions is as follows:

    Government issued documents - don't go there. Faking government issued documents is, in most jurisdictions, a criminal offence, and I highly doubt that anybody would want to find themselves getting fined (or worse - locked up!) for the sake of lifting their PayPal limitation.

    Utility bills - go crazy! As long as you do a good job, there is little harm that faking a utility bill can do. As long as the utility bill looks exactly like an original would, there is no way for PayPal to check whether it is legitimate or not. PayPal can't and won't call your telecoms company or your electricity provider to check whether that particular bill exists or not. Even if they had the manpower to do it, these companies are most of the times under a contractual obligation not to reveal this kind of information to 3rd parties (such as PayPal).

    Bonus tip - when sending PayPal "self-made" utility bills, make sure to print them, then scan them and then send them off. Most image altering programs leave a footprint so without the print+scan operation it will be relatively easy to tell that the bill in question isn't an original.

    6. Can I have more than one PayPal account?

    You are officially allowed to have one personal account and one business account.

    Open more than one of each and you'll quickly find yourself in a trouble.

    7. Should I upgrade my account to a Business Account?

    There is a very good comparison of different account types (Personal, Premier and Business) here > https://www.paypal.com/cgi-bin/webscr?cmd=p/pop/choosing_account_type_signup-outside

    As you can see, having a business account is pretty much a no-brainer (assuming that you're using your account for selling). In addition, having a business account is appealing to many due to the fact that then your clients see the name of your business, rather than your own first and last name, when paying you.

    HOWEVER -

    What many people do not realise is that in order to have a business account, you need to actually have a registered business.

    It doesn't have to be an actual company. You can also be a sole trader and have a business account, but even then you need to be REGISTERED as a sole trader, have your registration number and a certificate for when PayPal asks for it.

    Whilst the upgrade from a personal account to a business account is a very straightforward process and many people are inclined to just come up with the company name and other details, PayPal VERY often limits your account shortly after the upgrade, asking you to upload your company's registration documents. Needless to say, without having an actual registered company, this means trouble.

    --

    That's it for now. I realise that this FAQ doesn't cover a whole lot of questions but it should cover the main ones that people are having.

    Take care!
    Bryan
     
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  2. mikeoff

    mikeoff Junior Member

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    Great tutorial, mate! +Rep from me.

    Do you know can we still withdraw money from PayPal to NetSpend cards?
    It used to work earlier and has been actively advertised on NetSpend.com site, but now I can't find it anywhere...
     
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  3. chad362wiley

    chad362wiley Supreme Member

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    Great post.

    Fuck those monkeys at paypal.
     
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  4. bryanon

    bryanon Executive VIP Premium Member

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    Thanks!

    I haven't experimented with NetSpend cards myself so can't give an accurate answer. Hopefully someone else can jump in and answer this for you.

    With that said, I see no reason why it shouldn't work as whilst PayPal have blocked many VCC ranges, NetSend's cards are actual plastic cards and PayPal have no reason to not allow them.
     
  5. Nut-Nights

    Nut-Nights Jr. VIP Jr. VIP

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    very usefull thread . i just open paypal account .
     
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  6. abhi007

    abhi007 Jr. VIP Jr. VIP

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    Does that mean one is at a risk while buying stealth paypal accounts?
     
  7. bryanon

    bryanon Executive VIP Premium Member

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    Stealth accounts are always a risk, which is why it's important to be extremely careful with these and never have them hold an amount that you aren't comfortable to lose.
     
  8. TheWhiteGroup

    TheWhiteGroup Newbie

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    Thanks for this information, was a good read.
     
  9. unclemike

    unclemike BANNED BANNED

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    Nice guide for people Bryanon.

    May I say that stealth PayPal Accounts can in fact be a solid way to move money if you know what you are doing
    and have a solid account. I hear Entropay mentioned a million times a day which is funny since it has not worked in forever.

    You can have as many PayPal Accounts as your heart desires as long as your willing to provide a VPS for them.
    And yes never keep to much in a PayPal Account. But do not just empty it quick too.

    Again nice information for people!

    Cheers,
    Unclemike
     
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