How to Avoid PayPal Limitation - no way to avoid it until you provide social security

[biohazard]

I've had a PP account for 5-6 months been selling on ebay, and my transactions have been under $500, I've never withdrew more then $500 or tried too in any month. My PP account is under a address in the next city over from me. I verified with a bank account. A savings account I started with $500 bucks, I can go in anytime and change the account numbers and say someone may have my account I wish to change it. That sets me up to open another PP account if the one I'm using gets suspended or limited.

I think when you sell on ebay and create the transactions where they do PP holds on the amounts until you ship out, PP looks at that and says your trustworthy. I believe this releases the possibility of any red flags. However you start pulling in $1,000 a day using your PP account, you may then get limited again and be asked for your SSN. Just give them a variation of your SSN number. Find out how SSN's work and apply that info. If the number you give them doesn't come up in their system, then your good to go.

I would also say that anytime they attempt to verify you over the phone, just tell them that you don't feel right giving out your information and that you have already verified yourself with your bank. If they don't like that then they either shut you off (limit you), or they release the limitation. At that point, move on and start a new PP account.

[GrannyT]

It would seem that unless they can verify you by electronic means you will need to supply documents

[Road-Kill]

The new IRS code applies to US sellers. No way around this with just one account. I know this is old news, but this thread is even older.


"The IRS changes will apply to all payment providers. They will take effect for sales that occur on or after January 1, 2011, with the first reports going to the IRS in early 2012.

Before your payment volume exceeds the reporting thresholds, you will be required to verify your identity by adding a Tax Identification Number,such as a Social Security Number (SSN), or Employer Identification Number (EIN), to your existing account(s).

A seller has to exceed BOTH thresholds ($20,000 in gross payment volume and 200 transactions) in 2011 to be affected by the new requirements."

[kwb]

Originally Posted by Lyda

I am buying way less than I am selling and I am selling designer items, (NOT ⊗⊗⊗⊗!) and they are not cheap..and I am not even making big profit.I had no problem with PayPal so far, but I worry that if I sell $2000 item and try to transfer the money they may ask my social.. So far they did not... and I have business account and tax number.. What should I do if they ask SS? The PayPal is in business name, not my own. If I give them my EID number do I still need to give them my social? Does anyone know? Thanks.

You only need to issue you them the EIN number. If questioned, EBAY will ask the IRS if the EIN on file matches the business name, that is it! UNLESS, EBAY or PAYPAL suspect anything fraudulent on the accounts, then they may require a SSN on the account also.