Paypal holding payments

[Jack]

Over the past month I've had this problem with four clients, where the payment is held by PayPal for 'investigation. Does anyone else have this same issue? Do you suspend their service until the payment is cleared, or just let them have a free server for a up to a month waiting for PayPal to deal with it.

[ECF]

We see a few of these come through every now and then. Usually it is because Paypal suspects the transaction is fraudulent.

 

 

However we have had a few where it seems like Paypal is just checking on the info. Of course we deactivate licensing until the payment is cleared.

[Jack]

We see a few of these come through every now and then. Usually it is because Paypal suspects the transaction is fraudulent.

 

 

However we have had a few where it seems like Paypal is just checking on the info. Of course we deactivate licensing until the payment is cleared.

 

I'm guessing way less frequent for you guys, though, due to you not allowing public emails.

[ECF]

Few and far in between.

[adamnp]

This typically happens when a customer pays with echeck, or with zero fund available within their paypal account and a checking account linked to it.

 

What is happening is the potential clients bank is flagging the transaction as possible fraudulent and requesting a review. They place a hold on the funds to paypal until a response is garnered, and then paypal places the hold on your funds accordingly. Typically the 'smaller' charges throw up red flags as 'pre auth' charges that carders usually use to test if the stolen cards are working.

 

A way to help alleviate any of these issues is to ensure you have all your proper identification filled out within paypal, and as you already stated make sure you select who you are accepting orders from. Try a fraud protection service such as Maxmind or telesign also to prescreen orders.

 

We always typically let the user retain the services until the payment is cleared, and if it doesn't clear we suspend the services -- basically in our eyes it becomes a pain in the ass trying to keep the customer happy (typically it isn't their fault for the delay) and also fixing subscription dates/automatic recurring payments become a pain--so if we end up boned over a couple bucks, whatever.....It's worth the comfort knowing I don't have to deal with an irate customer over something out of both of our control.

[GS-Liam]

Paypal also pick transactions at random i believe just to check... One of my payments to my datacenter was marked under investigation (Despite paying regulaly for over a year to them), As we both contacted paypal to tell them everything was okay paypal closed there investigation,

[frbnet]

In case of payment by paypal twist, we always suspend services until the case is closed

[ryanb213]

Paypal is usually bad with these things.