January 23, 2001 5:00 PM PST

PayPal, BBB come to terms on customer service rating

PayPal and Silicon Valley's Better Business Bureau have agreed to improve their lines of communication and conduct a series of high-level talks in an effort to improve how PayPal handles customer complaints.

The two sides met Wednesday after the watchdog agency labeled PayPal's customer service record "unsatisfactory" based on the 30 to 40 PayPal complaints it said it receives every month. Most of the complaints claim PayPal is too slow to respond to questions and too quick to freeze accounts if it believes fraud has taken place, according to Erin McCool, a customer service representative for the San Jose, Calif., chapter of the BBB.

PayPal spokesman Vince Sollitto said that the BBB, which had forwarded complaints to PayPal by traditional mail service, agreed to start sending them via e-mail. The two companies also agreed to a series of meetings between executives in coming weeks.

"We certainly wished they had not given us the label they did but we are committed to improving our service," Sollitto said.

One of the fastest-growing financial service Web sites, PayPal has amassed almost 6 million customers in the 14 months since its launch, Sollitto said. It's gone from performing one transaction a day to facilitating 150,000.

To speed up its response time, PayPal has increased the number of customer representatives to 500 at its Omaha, Neb.-based service center. It has assigned an executive to act as a liaison between the company and the BBB.

"They have made a real effort to respond to each of the complaints," McCool said. She added that listening to the complaints is not enough, however.

"They know what the complaints are," she said. "But they have failed to eliminate the causes of the complaints."

One target is PayPal's policy on freezing accounts when it suspects illegal activity, McCool said.

If, for instance, PayPal suspects that someone has used a stolen card number to buy goods, the company will put a hold on the transaction until it investigates. Likewise, if a merchant is accused of taking money without producing the goods, PayPal will stop any further sales and freeze the merchant's account.

The practice paid off in a case last month involving a Fountain Valley, Calif.-based company claiming to have the popular PlayStation 2 video game consoles for sale, Sollitto said. PayPal security personnel investigated, and that led to a hold put on the account. PayPal eventually returned much of the money to customers.

But customers have complained that PayPal often doesn't inform people that their accounts have been frozen or explain why they have been frozen.


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PayPal worthless to me
I have spent 3 days trying make a transaction through PayPal which they repeatedly refused to process. I can only guess that because the payment was going to another country, they thought it was some kind of security risk. This has been a total waste of time and energy and I will never use PayPal again. It has been embarrassing for PayPal's client and infuriating for me.
Posted by gopherhill (1 comment )
Reply Link Flag
Paypal is a big scam!
I haven't used my Paypal account in quite awhile, and not too long ago I got an email from them stating that my balance is negative. This shocked me as there was about $120 or so available balance in my account there is just no way it would become negative. So I checked the transaction history and found 2 people that bought stuff from me filed complaints against me one claiming that I shipped him the wrong item and the other claiming that I shipped him a defective product, and I refused to assist them. Which is just complete BS as I know for sure that everything I sold/sell are in perfect working order and I never ship out a wrong item. So what happened was that Paypal only listened to their sides of story and reversed the charges immediately without my acknowledgement, and then updated me AFTER the reversal had been made. I emailed them to complaint about this wrongful action and they said I could file an appeal with their headquarter and it would take up to 90 days before I get a case#.

Then recently I've got some more stuff that I must sell so I decided to just pay off the negative balance so that I could sell again. Then about 3 days after I made a transfer from my bank, Paypal locked my account without any type of notifications. I emailed them 3 times regarding this issue but no responses from them. So now Paypal has my money and I do not think they intend to return it. I will seek legal actions against these big time scammers very soon.
Posted by KrazeDiamond (1 comment )
Reply Link Flag
Paypal Very Big Scam
Paypal is such a fraud and scam!!!!!!!!!
A fellow classmate purchased some books from me via paypal. She insited that i use media mail to ship the books so I di. 2 days Later she put in a complaint to paypal saying that I didnt send her books however she sent me an email 3 days later saying she got her pkg but nothing was in it paypal immediately refunded her the amount without a thourough unvestigation. I am out of my books and my money.
another thing is they took the refund amount 2 times from my bank account, it took them only 3days to give hermoney from one of the transactions however on 11/6/07 they took both amounts and til this day I am still waiting for the other amount to be refunded to me. they are scammers. here is the story from paypal resolution I was trying to send information to them and they told me that they wouldnt listen to my side only the buyer was their concern they only want to make themselves look good with the buyer/thief
The following is from their site and our school message board and even original emails (less names and email addresses)
For sure BEWARE of folks getting materials and getting their money back as well. She could have put my name here I wouldnt have cared becasue I have a clear conscious and if I really wanted to warn my fellowclassmates I would want them to know who to beware of if indeed this is what really happened...................................................................

I am so hurt behind this I am a single parent of 3 and I work and I am trying to finish school I can't afford to lose out like this .. Please be careful and not as trusting as I have been.

Ms. Hill is talking about me and to those who have purchased any books from me THANK YOU. If I never ever sell another book here behind this it is fine Just know that I did send her her books.

This is the history of this transaction I am not ashamed to tell you about it so I will post the whole entire story from beginning to end.
The only reason she won was because I didnt follow paypals guidelines and send the books through their site which is connected to automatic shipping from USPS. Ms. Hill deliberately gave me the wrong zip code knowing I couldnt print a reciept from the paypal site and so I went to the post office to send them I sent them media mail because I couldnt afford to send them expedited to her free. well here goes you decide...

Note: She never even told me that she didnt get the books she went straight to Paypal to open a claim against me.

Non-receipt - Case ID: PP-355-075-794

Status: Waiting For Seller's Response

Transaction ID: 4W9807622F4928937

Buyer Name & Email: Celeste hill, cigichick97@yahoo.com

Transaction Amount: $70.00 USD

Transaction Date: Oct. 15, 2007

Package Status: USPS tracking # faxed postage receipt

Files (1) [ Add ]
Date Sent Type of Evidence File Title
Oct. 26, 2007 Proof Of Shipping Mailing Receipt for ms Hill Books

Faxes (0) [ Add ]

Notes (2) [ Add ]
Date Sent Subject
Oct. 25, 2007 She didnt try to reach me to let me know
Oct. 26, 2007 track number


Dispute History Log - Most Recent 5 of 18 Last 5 Show All
The Dispute History Log displays all actions related to your claim.
Date Actor Action Details
Nov. 4, 2007 PayPal Seller?s action requested
Nov. 4, 2007 PayPal Claim granted
Nov. 4, 2007 PayPal Email sent to seller
Nov. 4, 2007 PayPal Email sent to buyer
Nov. 4, 2007 PayPal Refund initiated


Total Messages: 4
From PayPal: PayPal on 10/24/2007 10:45 PDT
Seller escalated this dispute to a Claim.
From Seller: Monica Franklin on 10/24/2007 10:45 PDT
The buyer is outright calling me a fraud. On 10/15/07 I got an order for the books On 10/16/07 I received payment and attempted to print the label from paypal service but the zip code didn't match I emailed Ms. Hill to get correct address so I could ship it promptly and precisely on 10/16/07 and I shipped the books to her via USPS the same day I sent an email to her letting her know that the books were shipped. I received an email from her on 10/22/07: Subject book From nikki hill cigichick97@yahoo.com Date Monday, October 22, 2007 9:06pm To monicafranklin@optonline.net Hi Monica, I recieved your package today but unfortunately someone between your house and mine decided to open the package and take the book. The package was empty when my postman delivered it. Did you happen to insure the package? Thanks for any help. Celeste Hill So immediately I called the post office where I sent it from at 718-455-8743 I was told by the clerk 16 to call 718-493-611 and spk to a supervisor I spoke to Christopher who said that in NY they will not give an empty pkg to any recipient at any given time they instead will send notice to the recipient that the pkg was damaged and how to procede, then I explained that I was not the recipient that I was the one to send it, he then told me to call the destination post office to inquire so I did I called 813-672-4562 Riverview station in Fl 33578 I spoke to Louie told him what the buyer/recipient said to me in an email he laughed and said that their policy is to stamp pkg as "received damaged, pkg damaged etc. he then went on to say " a pkg that noticibly had or has contents in it is never given to a carrier in that condition (cut opened or damaged to certain extinct) he said it is just not possible. He also said ," If we receive a pkg damaged while in transit we notify the originating post office of the damages. " He even went through some pkgs while I was on the phone to assure me of the labeling that was put onto pkg
From Seller: Monica Franklin on 10/24/2007 09:32 PDT
I received payment and sent pkg to Ms. Hill on 10/16/07. pkg was 5lbs 3.50oz sent at Halsey Street station 11207 USPS phone number 718-455-8743
From Buyer: Celeste hill on 10/24/2007 06:57 PDT
Monica, I've tried to reach you at all emails given for two days. Your package was empty and the Post Office is stating fraud by shipper. I've filed a fraud report with the US Post Office and now a dispute with pay pal. If you have any information your immediate response would be appreciated, I'm simply trying to get my purchase or money back.

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What is a temporary hold?
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Date: Tue, 16 Oct 2007 11:23:25 -0700 (PDT)
From: "Monica Franklin" <monicafranklin2@yahoo.com> View Contact Details Add Mobile Alert
Subject: RE: textbooks for sale
To: "Nikki Hill" <NikkiHill@outback.com>
Your package should arrive by US parcel post by Saturday this week no later than Monday of next week. shipped from 11207 Brooklyn, NY

Nikki Hill <NikkiHill@outback.com> wrote: No my address is correct, the post office just added our zip code, use my old zip code it will still get to me xxxxxx


From: Monica Franklin [mailto:monicafranklin2@yahoo.com]
Sent: Monday, October 15, 2007 4:10 PM
To: Nikki Hill
Subject: RE: textbooks for sale

I am trying to print a shipping label but i cant printit the USPS Says that your address is incorrect , please be careful check spelling, digits, dr. cir. st. ave. ln etc. and send me your address again so that I can get them out to you ok........thanks a million

Nikki Hill <NikkiHill@outback.com> wrote:
Great thank you, Im doing the paypal now.


From: Monica Franklin [mailto:monicafranklin2@yahoo.com]
Sent: Monday, October 15, 2007 3:40 PM
To: Nikki Hill
Subject: RE: textbooks for sale

.....again I am sending The art of Seeing w/ time magazine, lecture guide, and DVD just wanted you to know what was on the packing slip ok . I will send you information from the post office ok

Nikki Hill <NikkiHill@outback.com> wrote:
My address is xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx (X'd for privacy purposes)thank you.


From: Monica Franklin [mailto:monicafranklin2@yahoo.com]
Sent: Monday, October 15, 2007 3:28 PM
To: Nikki Hill
Subject: RE: textbooks for sale

PAYPAL monicafranklin@optonline.net
send your info and i will put it in the mail tomorrow afternoon on my lunch break.....

Nikki Hill <NikkiHill@outback.com> wrote:
Ok I can do 70.00 for both, how soon can you mail it and do you have a paypal account?


From: Monica Franklin [mailto:monicafranklin2@yahoo.com]
Sent: Monday, October 15, 2007 2:51 PM
To: Nikki Hill
Subject: RE: textbooks for sale

$50 is fine however, I wont have much use for the lecture guide and CD why not take all the lecture guide is #1 source to taking the exams I kid you not it is key to passing the exams for sure I passed my tests with the lecture guides cause all the answers are there. I will give the bundle to you for $70 if not again $50 is fine I guess....

Nikki Hill <NikkiHill@outback.com> wrote:
Oh that stinks! Yeah unfortunately all I need is the textbook, what do you want for it?


From: Monica Franklin [mailto:monicafranklin2@yahoo.com]
Sent: Monday, October 15, 2007 1:30 PM
To: Nikki Hill
Subject: Re: textbooks for sale

Hi Nikki,
Is it the text book only that you want?
I have the full set unopened. includes: The Art of Seeing,7th ed. Time-special Ed. the study guide as well as lecure cd.
funny thing is I paid over $200 for these worthless books...
Let me know time is running out....I can ship to you soon as all sales final
Nikki Hill <NikkiHill@outback.com> wrote:

Hi Monica, my name is Celeste Hill I currently attend Saint Leo. I saw on the message board you had the ART123 textbook for sale. Is it still available? If so I would like to offer you 50.00 for it. I begin ART 123 on Monday so if you could let me know as soon as possible I would appreciate it. Thank you for your help.
Posted by monicafranklin1 (1 comment )
Link Flag
Snake Bit By PayPal
Buy A Counterfeit Item, Pay For It Through PayPal, And PayPal Will Tell You You May Be Eligible For A Refund, But First You Must Return The Item To The Seller. HUH? That's Right! Since When Do You Hand A Counterfeit $20 Bill Back To The Counterfeiter? PayPal Protects It's Source Of Revenue - The Seller. Even With Expert Counterfeit Substantiation Letter, PayPal Will Tell You To Provide Return To Seller Tracking Number With No Guarantee Of Refund. Don't Buy Using PayPal If You Are A Buyer. It's Great For Sellers. They Can Get Away With Fraud And A Host Of Felonious Activity. SANCTIONED BY PAYPAL AND EBAY. YEH, THAT'S IT STUPID!
Posted by 1966WorldCup (1 comment )
Reply Link Flag
On September 6 of 2008 I bought a laptop that was damage by some kind of liquid (coke or coffee) there are so many evidences to conclude that the seller was a scam artist for example, the laptop had several tamper stickers, the seller canceled his or hers eBay account few days after the sell was completed, the seller did not reply to email messages. PayPal is aware of the fraud but I do not know what steps they are taking to prevent this from happening again. Please see pictures of the internal condition. http://photobucket.com/paypalfraud PayPal will not intervene or honor my claim as they stated on the following email:

Transaction date: Sep 6, 2008
Transaction amount: -$419.99 USD
Your transaction ID: xxxxxxxx
Case number: PP-593-168-xxx

Based on our definition of significantly not-as-described, this claim does
not qualify for a refund. The claim was not classified correctly.

For more information about the claims process, please review the User


Thank you for your cooperation.


Protection Services Department

PayPal does not tolerate fraud or illegal activities. Your complaint has
been noted in the record of the PayPal user you reported. If we find this
user has violated our policies, we will investigate and take appropriate
action. If this occurs, you may be contacted in the future about the status
of this complaint.
To make sure future transactions proceed smoothly, we suggest you visit the
PayPal site and click the Security Center link located at the bottom of any
page. There you will find tips on how to avoid fraudulent sellers in the
"Fraud Prevention Tips for Buyers" section.

Please do not reply to this email. This mailbox is not monitored and you
will not receive a response. For assistance, log in to your PayPal account
and click the Help link in the top right corner of any PayPal page.


PayPal Email ID PP628
Posted by victoro68 (1 comment )
Reply Link Flag
For over a month I have been trying to obtain a refund from PayPal for a cancelled pre-paid address label. I have complied fully with all their terms and conditions but the refund is still not forthcoming. Numerous e-mails have been exchanged and I get a different operator each time and each person appears unaware of the history of the matter. Without a shadow of a doubt they are the worse Internet firm that I have had the misfortune to deal with. With the amount of opportunity hours lost it would have been cheaper to have paid me my refund weeks ago. The battle (and it is a battle - if not war) continues.
Posted by mcalister47 (1 comment )
Reply Link Flag
Pay Pal has become the worst. Customer Service Representatives are Rude and unable to answer questions. I spoke to Mr. Gerald in the Financial Department he is very Rude and Nasty. I have had a PayPal account for 1 year and after 6 months of selling on ebay they come with a new Rule of holding your money for 21 days and wants the buyers to harrass the customer to leave feedback in order for us to get our money released, you can not make a customer give feedback. I think paypal became the worst company after Ebay bought PayPal out. Now that Ebay own Paypal it is the Worst. It should not be legal for PayPal to hold our money. PayPal hold our money but they take their fees out first, then put our money on a 21 day hold. I am about to take my business some place else, those two companies together (PayPal & Ebay) has chased me away from wanting to ever do business with them again..PAY PAL IS NOT A GOOD COMPANY TO DO BUSINESS THROUGH. I have been searching for other merchant accounts, I will be ending my business with paypal. It is so sad we don't have no one to complain too about this. My Lawyer is working on it. I will never suggest PayPal to no one to do busisness with, they are the WORST. They hold your money for 21 days, I guess to get intrest on our money. They are losing alot of business. It seem like by Ebay buying Paypal it has made paypal go downhill..
Posted by FRIEND4LIFE2010 (3 comments )
Reply Link Flag
Yah just Thursday I randomly had been limited, no idea why. So when I got home I called in and they told me my account will be permanently limited within 24 hours, I was furious and asked why. They told me it's because I am associated with Money Laundering, Using Stolen Credit Cards, and Identity Theft. All three of which I had not committed. The rep told me I was linked with all three because I had sent a payment of $25 to a friend of mine about a month ago!!!! Now they closed my moms account, my brothers account, and my account. Three false accusations, three accounts closed.

I honestly feel like PayPal closed all of our accounts because I was due to be paid my PayPal BugBounty exploit payment.

I've reported them to the BBB and IC3. Phone support now tells me they just chose by random not to work with me and they don't want to disclose why they did that to me to the "general public". Apparently I am the damn general public.

I told the rep that I am using PayPal just like everyone else in a legit way. They said we just think you are high risk. What a BS excuse.

Email: txjisgod@gmail.com
Posted by travis_ingram (1 comment )
Reply Link Flag

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