Forum

problem with limitation and blizzard RMAH
 

Sometime ago I started bringing in high volume sales on PP, I was withdrawing a lot of money daily. Long story short, my account was limited and now I cant withdraw or send money on PP. If i make another paypal the same thing will happen, they will link and ban me.
Furthermore, I was using real information, and all of my information checked out. When they asked for more identification, I provided it, and they ended up limiting my account for 180 days and said they will no longer do business with me in the future. They will not provide a reason and give me scripted responses over the phone. It is apparent this company has now been running a long time scam. How they get away with this I sure as hell would like to know.

Either the high volume sales or act of withdrawing money daily (or both) was probably what got my account flagged, whatever it is they won't tell me. I absolutely did nothing wrong, all of my money came from the real money auction house, operated by Blizzard Entertainment, with whom they have a contract with, and even receive a 15% cut of my profits, yet they deemed me as "high-risk" and locked my account for 180 days. Their reason for this lock was to prevent chargebacks; chargebacks from who, a multi-million dollar business client?


I am new to the virtual goods industry, so I did not prepare for nor expect this. PP has a monopoly going, so I can't exactly not use them.

My question to the experienced sellers here that are bringing in $5k+ per month from virtual currency sales,
how do you deal with this problem of avoiding an account limitation with paypal?

I've only just found out about stealth accounts, is this the way to go, and how exactly does it work? Do you have multiple stealth PP accounts to spread out the money that's coming in, or is there a simpler method? Also, if you're using multiple PP accounts with ⊗⊗⊗⊗ names, how do you report taxes?

virtual sales are very hard to do with paypal. VERY few have had success and they are very wise and have been around for a while. paypal might hold a large share of the market but there are plenty of merchant accounts you can start that work with ebay. i would try to figure out a way to add tracking information to your orders to have a chance.

i see, but then why the hell did they form a contract with blizzard entertainment if they aren't going to allow virtual sales to go through?

I guess they thought I was money laundering, which I'm not. I had a chance to talk to someone who's been in this business for years and he told me the way to get around it is to register as an actual business if you're going to sell virtual currency.

Welcome to the forum. There's your first error.

You did not do your homework on paypal. What background did you have in IM before starting to do business? Guidance should have been sort prior to going near paypal. More than one opinion was needed too.

You are not the first user to fall victim to their ways. And you will not be the last.

paypal dislikes 'digital' goods. paypal likes only themselves. You will need to find out what suits your plans to see if paypal should even be considered.
Options should exist.
:peace:

well I assumed that they didnt have a problem with virtual goods, after all they have a freaking contract with blizzard entertainment, they essentially handle all of blizzard's virtual item to cash transactions in diablo 3.

Not only that, but they collect a 15% fee for items that are sold in Diablo 3's auction house that are transferred to paypal.
read up on this if you don't know what I am talking about.

yea i think I may just have to become a supplier now and collect my money through western union or bank transfer. I found a reseller who is willing to purchase off me, but i'd be getting a much lower rate than I was before