Mods - Hopefully this is an ok forum to post this. Please let me know if I have made a mistake. I figure this thread could probably go anywhere in marketplace, but this is the forum I use and the PayPal transfers here are strictly cash. I also think it is important information that everyone in this forum would like to have.

I was just wondering if anyone has any information or experiences regarding multiple "fee free" money transfers on PayPal. Obviously when I transfer or receive money for a stake, we always choose "send to friends or family" because there is no fee for the service. However, it occurs to me that at some point PayPal may realize my account is essentially being used as a business, and either freeze the account, or demand I (or the other person) pay a fee for these transactions. I couldn't blame them if they did, they are providing a service after all.

Is this a legitimate concern? Does anyone have an experience where their account got frozen?

Any info on the topic would be very appreciated.

In my opinion just mix it up and have different options like lock poker, bank of America, chase quick pay etc on top of PayPal..I have had PayPal since like 2004 I have only used it just the past year on the marketplace last week there was 1 day I was trying to send After I got done sending to 6 other people and it charged me, I cancelled the transaction waited a day so I can try again and didn't get charged the fees..

They seem to always charge for foriegn paypal exchanges.i worry to but they seem to charge me alittle something on all my transactions except the first couple to a new person after that its a couple pennies a dollar.

I believe someone said that if you send as "gift" there is no charge. Since I have done that I've had no charges other then when its been a foreign exchange. I doubt there is anyway around those fees.

Right, I think that's OP's question - will PayPal take any action if he continues receiving and sending a large number of non-fee "gifts." From my experience, PayPal has reached out to me and asked me to confirm payments that I have sent as "payment owed" were indeed payments owed rather than purchases, but that's all so far.

I guess I am unsure of that then, as I have not been using the sending in "gift" in large volume yet. Although by my standards I have used it a decent amount and have not had any troubles with it thus far.

I've never seen the "send as gift" option, only, "sending money to family and friends" which does indeed have a daily limit. I'm more interested to know why they allow someone to send as a "gift" and cancel the transfer. Is this true?

I have heard that you can cancel a transfer, but I don't know if that is when you send "to family and friends". Interesting question.

Thanks for the input guys, I think this is a pretty important thing to be aware of. Any other info is appreciated. I am going to try not to abuse the paypal option where possible, because it does seem like there is a good chance they will eventually question multiple transfers, especially if it's to the same person.

Don't put any comments in the note section. Send a pm or email letting them know that $x is coming to them from whatever email address you are sending it from. Paypal will check if you put anything in there that brings a red flag. I've seen accounts frozen because of this on other forums for gambling etc.

This. Don't ever put a comment on a payment, and don't ever put your PP email address in this forum and you should be fine.

If they didn't want people to send money for no charge, they wouldn't offer the service. They have a near monopoly on ebay transactions which they collect fees on each and every one.

busto23 mentioned in one of his threads that paypal was getting "upset" that he was sending so many gifts. Not sure exactly what they said/did as he didn't go into any detail but I do remember him mentioning it.

Yea I quit using PayPal completely , I recd money from all over the world. But it's when I rec a gift and another gift etc.. They sent me an email saying all money recd will be held for 21 days before I can cash out total bs. I'm done with PayPal

It truly depends on your account and the length of your account. I have used PayPal for over 12 years, and have also been a Beta Tester for some of their services. I have two accounts and direct phone number to personal account team. Anywho, enough brag there.

There are Normal and Personal type of Transactions. If you send as Personal, you can select gift, money owed, etc.. This is based on your account, sometimes the sender will still be charged to use this fee (basically they eat the fee) and most other times, there is no fee total.

PayPal as a merchant service now is required by law to send 1099 forms for any account that gets 200 transactions and/or $20,000 in transferred money. If your going to do PayPal with someone, I would recommend doing it not daily but settle up monthly or bi weekly (Something like 1st & 15th).

Just a last note, Please be safe when sending PayPal payments. PayPal is strict on their policy and they are also a material based company. What i mean by that is, the sender can pull back the charge within I think 45-60 days for multiple reasons. If they use a credit card they have a lot longer to file a charge back. If a physical object is not shipped and their 'rules' are not followed. You will lose your dispute and be out money. I have over 25k transactions with PayPal and know the rules well. Anything non tangible or electronic does not protect you. They even tell you not to delivery in person, because you can not provide proof of shipment.

If i can help any more let me know,

Mike K
KTeller

Bill me Later, Paypal, Ebay and now Verisign are all owned by the same parent company. There is no Near Monopoly about it, they own the internet at this point lol.

I got the email from them after a lot of activity on the MP on paypal. I stopped using it completely, and using Chase Quick Pay instead.

For anyone in the US this should be the number one method of payment. It's secure, simple and if you both have chase it's like instant.

I've never had a problem with PayPal but my account is a business account that is about 15 years old. Dates back before eBay bought them.

You pay any fees for transactions on paypal? Cuz that's what they said, all the "gifts" are actually business transactions and you gotta pay some fees for them.

Only paid fees on items sold on eBay not on gifts. At one time that told me thru an email that I had to pay fees on all transactions but I called them and got that stopped.

Wells fargo has a similar program like quick pay as well works great!

chase QP is def the nuts....i believe BOA has a very similar feature as well