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Tuesday, 22 January 2013 09:18

Ebay fraud filters get rethink

Written by Nick Farrell



Speeding things up


PayPal's overzealous fraud filters with Byzantine verification requirements have hacked off customers for ages. Some have seen money frozen for months.

While Paypal has the system in place to make sure that fraudsters aren't using its system to transfer ill-gotten gains, countless legitimate businesses and charities in its are being trapped and proving you're no scam involves a ton of paperwork and time. PayPal is promising to roll out a massive overhaul of its system within the next several months.

Anuj Nayar, PayPal's senior director of communications said that the changes will be fundamental and aggressive. He is not saying what they are, but hinted that it means that Paypal will be clearer about how people can get out of the frozen funds situation. The company routinely freezes funds for 21 days if it thinks there's a fraud risk, and its terms give it the right to extend the freeze for up to 180 days.

But to get access to their money, users are often asked asked to jump through so many hoops it is not practical. One is that you have to provide several months' worth of sales records which many fundraisers don’t have. The appeals process can take months to resolve.

Last modified on Tuesday, 22 January 2013 09:20

Nick Farrell

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