bump

How else is eBay going to keep snowing investors by posting profits in the 3rd quarter?

By eliminating losses via reserve holding? When a chargeback occurs and the seller doesn't have the funds to cover it, paypal covers it.

If you're thinking interest, think again... at least for those with paypal money market accounts... sellers get to keep the interest earned on the reserves.

I wonder whether the ebay corporation will hold the rolling 10% in a non-interest bearing account. If not, then I think all of the interest earned on holding a seller's money should be returned to the seller. It is only right. The money being held belongs to the *seller* not to ebay.

I just got mine, have no chargebacks or disputes, only sold about 60 items so far.

"A reserve is like a security deposit for your PayPal account and is standard practice in the payments industry, especially for retail segments like Pottery & Glass where there is a higher-than-average risk of reversals or chargebacks. This does not mean that you have done anything wrong. We are requiring a small reserve in your account because you sell in a category that has a higher risk of reversals and chargebacks and because you are relatively new to PayPal as a seller. "

So from what they are saying Pottery & Glass category is a bad (high risk) category to sell on Ebay. I guess I will have to find a safer venue to sell on with better buyers. This message is telling me Ebay is not a safe place to sell on. I did not think selling Pottery & Glass was high risk, but I guess I was wrong.

> Yes I am one that received this email as well! I am just beside myself with all this happening. That is really going to take a dig into my income when I am barely making it right now. How would they like it if that percentage was taken out of their PAYCHECK and held for 60 days. I am at a loss as to what to do. I still have to ship the items, pay for ebay fees and paypal fees and now they want to hold that percentage. I have been on ebay since June of 2000 and I have had one charge back where the woman claimed to her credit card company that it was an unauthorized charge, when I spoke to her mother on the phone stating that she was sick and that (her) the mother was sending everything back. Tried and tried after that to tell her she needed to pay for the shipping (we shipped it free) and restock fees which were quoted in the auction. (of course we know most do not read) but could never get a response after I spoke to them on the phone. Anyhow again that is a long story. Oh Yeah I forgot to tell you. I did talk to paypal on the phone last night about and they said all the categories were going to be hit by this. And I also asked them if I ME would earn the interest on the funds being held! LOL They told me to open up the money market account!!!! So they are going to be sitting on millions of dollars a month earning interest or investing our money and we earn nadda! But what do we do now?

Sad, just sad. With the many fees they already collect on every aspect of the sale, a 10% margin of profit is about all many see. What they also don't note with the paypal 'reserve', that they don't mention when they equate that to merchant accounts, is that with many merchants, the 'owner/seller' does earn a small interest percetage on the money they have held. It sure doesn't look like paypal plans to pay any to it's members. Wonder where all that interest acrued on held money will end up? Hmmm

I'm having difficulty finding another payment processor or credit card that uses rolling reserves and pays any interest on it at all.
I keep running into the term 'non-interest bearing'.

I own a brick and mortar store and my credit card processing company does not even do that!

Do you know how many retailers would switch to another processing company if one attempted to do this?

THERE IT IS!

"NO COMPETITION AND A MONOPOLY" ....

YOU MUST USE PAYPAL OR NOTHING!

This is how they get away with it.