Newly registered eBay used car dealer sells this rare 1986 Dodge Conquest Technica. (Dodge branded Mitsubishi Starion.) Seller collects $1,000 Deposit by PayPal, who immediately put a 21 day hold on sellers money.
Seller is rightfully upset. PayPal is covering their own butt making sure the deal is good and the buyer isn’t using a hijacked PayPal account or stolen funds.
From the eBay Motors Community Forum: Car sold, deposit made, ebay now tells me they are holding the deposit for 21 days? **bleep**?
Just sold my first car on ebay with a $1k deposit. Checked my paypal account and they’ve placed a hold on the deposit for 21 days? The buyer wants to pick the car up and doesn’t understand the hold, neither do I. Certainly only an idiot would release a car without it being paid for. What’s the point of using paypal if they hold the funds for weeks?
Some eBay forum members provided correct answers to the original poster (OP.) The snide responses are not how building an online community works. The idea is to make new posters feel welcome so they return again. We archived the discussion here. 🙁
For starters, there is no way Doc would accept $1,000 through PayPal. The rule of thumb is don’t accept PayPal for money that possibly could be charged back. Accepting no more than $200-300 vehicle deposit via PayPal is acceptable.
Never take PayPal for vehicles. Have the funds Bank Wire Transferred into your account. There is no reversal or chargeback with that method. 😉
Under this situation Doc suggests contacting the buyer and request the full sale amount be bank wire transferred. Tell the buyer when full payment is received his PayPal payment will be refunded. Makes for a more financially secure transaction, and PayPal can stick their funds hold. Motor Vehicle Sellers should CYA!