What to do when your Paypal Account Gets Limited?

Most of the bloggers and webmasters use Paypal for sending and recieving money online. However, in some cases the Paypal account may get limited. Read this post for some common reasons behind Paypal getting limited and their solutions.

Paypal is one of the most commonly used payment processors. In fact, if you are involved with internet marketing and do online transactions, you cannot afford to live without a Paypal account. One of the common problems faced by Paypal users is the account getting limited. The Paypal account limitation can occur because of a number of reasons. Though it can be a headache for an internet marketer, this problem can be solved by taking appropriate remedial measures. This post discusses the causes of Paypal account limitation and the possible solutions to remove those limitations.

Causes of Paypal Account Limitation and their solutions

A Paypal account can get limited because of following reasons:

Cause 1: Sudden increase in number of transactions in personal account
This is common problem especially with newbies. When people start in the field of blogging or IM, they think that a personal Paypal account is sufficient to do the online transactions. This does not create any problem in the beginning as the number of transactions is indeed less for majority of new bloggers. However, as they become experienced and get exposed to new methods of making money online, the number and value of Paypal transactions also increase. The personal account is meant for small transactions. Thus when the value of transactions increases all of sudden, the Paypal team may limit your account.
Solution: Once the account gets limited, you will have to contact the Paypal support team and they will ask about the transactions. They will advise you to upgrade the personal account to business and as soon as you upgrade, the limit is removed. If you are still using a personal account and do transactions with high values (above $1000) in a month, it is better to get upgraded to business account. Remember, that the $1000 figure here is just for an estimate, you may even get limited for getting two consecutive payments of $100. The main thing is that the Paypal team does not want you to use a personal account for business transactions.

Cause 2: Fraud transactions or a number of charge backs
If the Paypal team notices suspicious transactions in your Paypal account, they may limit the account. This can be due to fraud transactions, a number of disputes filed against you or any other illegal activity. In fact, I have heard from Paypal users that even suspicious notes from the buyers while making payments can get your account in danger.
Solution: The only thing you can do in this case is contacting the support. They will ask you about these transactions or disputes and if you are able to satisfy their doubts, you may get your account back. An important thing to remember here is that the reputation and the age of the account also matters. For instance, if you have a new Paypal account and a number of disputes are filed against it, there are less chances of the removal of account limitation.

I hope this post helped you to understand the causes of Paypal account limitation and methods to get your Paypal account back. If you have any doubts or problems regarding your Paypal account, you can post a comment below.


Author: Mahesh21 May 2016 Member Level: Gold   Points : 3

There is also one more reason for limiting paypal account even if you upgrade to business or premier account. That reason is paypal doesn't allow certain business under it's transactions. Those business include sales of some items and also category of business which are monitored by governments around the world. Paypal avoids the legal issue by banning or limiting such accounts and denying their transactions.

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