From our advice stay way clear of this device, as this can drastically affect business cash flow.
We have been using PayPal for our online transactions for over a year, and have been happy with them, until we order and activated the PayPal Here device on our account. Activating this device on our account to offer our customers more ways to pay while in store, was the worst recommendation I made to my boss, as this device simple put our cash flow back in to the dark ages! It was quicker to process cheques than it was with a debit/credit card, unfortunately our account automatically activated a Rolling Reserve on account which in turn held 100% of any transaction, for a minimum of 14 days before make them available to be withdrawn.
However this Rolling Reserve in our case was taken 2 days after any transaction to then reserve any transaction taken (should this not be instant?). This had a major effect in the way we traded, as all our orders are processed by our suppliers, as each order is tailored to our customers own dimensions. Which in turn could not be done until funds where fully cleared, as in to today’s economy we prefer to pay for goods on delivery or in advance, rather than to rely on credit.
Here is an example:
Receive order for £200.00 on 1st of the month, PayPal show funds available and cleared, and available to be withdrawn, 3rd of the month £200.00 is then moved to the Rolling Reserve funds no longer available, which now shows us in negative balance in PayPal (if we have withdrawn funds between 1st-3rd), until the Rolling Reserve clears in 14 days time (from when it enters the Rolling Reserve), so funds do not actually clear 17th of the month.
Something so straight forward, and easy, has now become, extremely time consuming and frustrating due to the delay in accessing funds, normal PDQ processing is usually complete and cleared in to your account within 24-72hrs, not 14 days +.
This clearly defeats the 14 days cooling off period that has been put in place by the EU, as we are no longer able to despatch our goods within 14days.
STAY AWAY from the PayPal Here device, unless happy to bank roll your business during the Rolling Reserve period (0-90 days).
We had no warning that restrictions where being applied to our account, which PayPal support insist should be done via email, also we have been told by some support at PayPal that this should only affect transactions by PayPal Here, and by others support staff that it will affect every transactions on the web and via card reader.
We have very little or no response from PayPal Support Emails, although they state they try to responded to emails within 24hrs I’m still waiting for response from emails I sent on the 25th Nov, and 29th Nov.
Be warned that this ROLLING RESERVE will affect any business cash flow, as there are some people that are effect for up to 0-90 days.
PayPal Here is a great idea; however in reality it’s been poorly implemented. If you have this product I strongly recommend returning to PayPal for a return kit, and ask them for a full refund, as this product is not fit for purpose.
You are probably better of trading in livestock, as it’s quicker than using the PayPal Here device.
We are now looking for other devices to perform the same role, such as the iZettle for in store transactions as funds are cleared within 72hrs.
