Sunday, November 6, 2011

Paypal as a merchant account - Yick!

For awhile, I was enthralled by the idea of Paypal as my merchant account vendor. In fact, two of my three businesses use Paypal in this way.  However, I'm over it.  They suck.   Just this week:

- On Oct 31, around 8:45pm EST, I transferred money to a new bank account.  They gave me the "this could take 3 days" message. Now, it's Nov 6th (albeit a Sunday), the money has been gone since Nov 1, and it hasn't shown up anywhere else.  Why can I pay my bills electronically and have money disappear and remove in a few minutes but they structure their withdrawals in such a way that it takes days.  My other merchant accounts move the money the same day!

-  I did get this email from Paypal today. On 11/1/2011, you linked your bank account (x-xx83) to your PayPal account. This email is just a reminder that you're not done yet.
Take a few moments to confirm your bank account. After you do, you can shop online and send money using your bank account.
PayPal has sent 2 small deposits to your bank account.
Check your bank account in 3-5 days for the deposit amounts.
Log in to your PayPal account, click Confirm Bank Account, and enter the amounts.

I've now logged into Paypal including being through their help menus, no way can I find a Confirm Bank Account link.  And while I can generate a code to a phone call (use this number and code in the next 60 minutes to talk to us), the phone lines report that they only work business hours, not 24/7 (which I expect of a real merchant vendor). This is particularly a problem since I can't tell if the original transaction was held up by a process of verification and I'm counting on having that money elsewhere. And there's nobody to speak to until Monday when I have a fully packed today.  Damn you Paypal.

- Paypal set up one of my accounts with a child account in response to questions about how to track revenues by product line.  They were clear that there were no fees involved. Two months later, $30/month fee starts appearing. We're in the process of trying to get it removed.

- The child account dumps into the parent account every night automatically. Not something that I asked for and, sicne they do this, they seem to reject every effort by us to refund money (We have a two week money-baek guarantee  that about 3% of the people use).

- I jsut learned that they are reserving 20% of our funds for 90 days.  They just aren't available. This is on the child account. Its amazingly weird. Not in any of the paperwork we signed, never notified. The support people's reaction is that this is how it has to be, there is NO chance of changing.

Yea right.  Goodbye Paypal. Despite the three weeks of programming and testing time to do the tight integration, this level of ongoing problem is just not worth it.