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PayPal requests to upgrade to business account??
 

I got the following message from PayPal on a transaction I just completed:

"You have received a pending credit card payment. However, to reduce credit card processing costs for accounts that do not pay fees, the ability to receive credit card payments is limited to Premier and Business accounts.

If you upgrade to a Premier or Business account, all of your pending credit card payments will be completed. With your upgraded account, you will receive a range of premium features, including the ability to accept unlimited credit card payments.You must pay fees for accepting money with a Premeir or Business account. The fees on incoming payments are low -- just 2.9% + $0.30 USD to receive payments. For more details, go to:
http://www.paypal.com/us/cgi-bin/?cm...y-fees-outside

If you would like to keep your Personal account, you may log in and deny this payment. Personal accounts may still accept payments funded with a bank account or PayPal balance at no charge."

Do I need to upgrade to a business account or what? Has anybody run into this before?

Re: PayPal requests to upgrade to business account??
 

PayPal is telling me that they will release the payment only if I upgrade to a business account otherwise I can deny the payment? Any help would be appreciated. Thanks.

Re: PayPal requests to upgrade to business account??
 

Pretty self explanatory I think.

Re: PayPal requests to upgrade to business account??
 

Is this a normal procedure for a stealth account? To upgrade to a business PayPal account?

They want full contact details i.e. Business name, address and phone no.

Does this happen often just because a buyer decided to pay w/credit card?

Is there any way I can limit the buyer payments to PayPal only for now?

I'm not ready to jump into merchant accounts just yet....:shocked:

Re: PayPal requests to upgrade to business account??
 

It does not have to be a business account. You COULD upgrade to a Premiere account instead. It just means that you have to pay fees to receive certain payments. It does not require setting up a business or anything.

From what I remember (hopefully someone else will chime in if I am incorrect) if your account is in good standing, it is just a click of a button to upgrade, there are no additional verification requirements. As long as you have a verified bank account attached (meaning that they did the 2 small deposits thing).

With a business account, there IS an approval process, although it is a fairly easy one. It requires a business account and an EIN. But it is doable.

Re: PayPal requests to upgrade to business account??
 

I signed in and checked for the Premiere account option but all I can see is a link for the Business account option.

Do you know how I can sign up for the Premiere account?

Re: PayPal requests to upgrade to business account??
 

I'm not sure. It has been a LONG TIME since I have done this. The last few accounts I created were all business accounts from the beginning. They seem more solid for me that way. I sell a large variety of items, so I keep them all separated. But nothing high-risk. My biggest category is books.

In any event, maybe someone else can chime in and advise???

Re: PayPal requests to upgrade to business account??
 

All my accounts are business accounts, they're no big deal to setup. And as jeffweico mentioned they're more solid the regular accounts (fewer problems).

Re: PayPal requests to upgrade to business account??
 

So if I upgrade to a business account I can basically just use the stealth name and address?

When they ask for business name I can just put in the stealth name? and basically I won't be bothered again with cc payments until I hit the $20K limit where they will ask for an EIN, correct?

At that point I have a choice of whether to EIN that business name or not, correct?

Am I on the right track with what I just said?

Re: PayPal requests to upgrade to business account??
 

Stealth business name is fine to use your stealth first / last name. The 200/20k limits are still imposed. Up to you whether to add an EIN once you get close to those limits.