[DeTomaso] Paypal/eBay

[detomasoregistry at gmail.com]

I have used eBay (and thus Paypal) a lot.

Paypal makes it seem like being "Verified" is so a buyer (or seller) will know you are 
a good guy, and can be trusted.  But this is not the case.

Allowing Paypal access to your bank account (and they test it) is so they can withdrawal
YOUR money at THEIR will.  I tested this.

I create a Paypal account, linked it to a "sweep account" (one I sweep empty regularly).

I added money to the bank account, then transferred it to a Paypal account and bought
something.  I paid.  When the transaction was complete (and a few months later) I
disconnected my bank account from this "test" account.  I was no longer verified, and
the bank account did not show up as being associated with this Paypal account.
I later added a credit card (for the REAL buyer protection).

I bought something, and naturally Paypal first sucked out the small Paypal cash balance,
and then I expected them to charge my credit card, as it was the ONLY other source of
funds.

When the transaction completed, I found that they had drawn cash from the BANK ACCOUNT!!!

The same account that was no longer connected!!!!

Now being that the bank balance was not sufficient, MY BANK charged me an insufficient
funds fee!!!!

ONLY THEN did Paypal charge my credit card!!!

So although you THINK they no longer have access, they do!

When Paypal has a dispute with a seller, they will seize funds from whatever source they
can.
They retain the money for as long as they like.

REMEMBER Paypal in not a chartered bank, or ANY financial institution, so NO RULES APPLY,
You have NO PROTECTION, except what you set up.

I have 100% feedback, and the only time I had a problem is when a crook tried to cheat me
using PAypal, and (thanks to me being paranoid) he was only partially successful.  He
stole $1,000.  Whereas HIS American Express tried to honestly resolve it (he flaked on
them and ran...) Paypal just gave him the money, and then charged me $35 (twice) for a
"Charge Back" investigation, ending with them doing nothing, but collecting fees from me.

So if you allow them to connect to your bank account, you are at risk, even if there is
only a few bucks in the account, they can run up your tab with withdrawal failure fees.

With eBay and PAypal currently the only game in town we are basically screwed.  Although I
still
occasionally sell on eBay and thus required to take money thru Paypal and pay their
fees... I am not the motivated seller I once was.

eBay and Paypal typically make more money that I do on every sale, so what is the point?

So unless you have LARGE margins (profit) on what you sell and are willing to accept all
the risks, it is no longer the level playing field it once was.