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Glitch between eBay and PayPal fails to release funds

By Chris Dawson October 19, 2017 - 2:37 pm

Do you regularly reconcile your eBay sales with your PayPal account? If not it might be worth doing so as we’ve just heard of a glitch which appears to affect payments where an INR or SNAD has been opened by the eBay buyer.

As you would expect, if you get a case opened against you on eBay, Paypal immediately freeze the funds until the case is resolved. Assuming that you win a case (or the item is proven as delivered etc), eBay then instruct Paypal to release the funds. This does happen, however there appears to be a glitch which means that the funds are immediately retaken by PayPal.

This glitch is easily resolved – a quick call to PayPal and they will instantly release the funds. However it’s slightly worrying that PayPal may accidentally leave funds on hold from people that don’t check their account daily.

eBay customer support in Dublin don’t appear to be aware of this glitch. Paypal advise that it’s a problem from eBay when an incorrect status code is returned when the case is closed. Either way, it’s always a good idea to reconcile your accounts regularly and especially if you have a case closed in your favour.

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