List Of Suppliers PayPal Has Suspended

**markarich159** · 08-05-2009, 08:35 PM

Originally Posted by jexmex

Well two things on this point

1.) Paypal says its not against their terms of use, and its ok to sell the products

2.) We have seen 3 suppliers within the last few (days?) who have had their accounts suspended.

Paypal can be a bit tricky at times, because they suspend accounts when too many chargebacks are done, or they feel your business has became a risky venture. Any of those 2 reasons could be the reasons for the suspensions, but then again Paypal could be saying one thing and doing something else. Really without having seen the accounts of the suspended suppliers, its pure speculation.

BTW, a real merchant account is by no means a guarantee that you will not get suspended from that processing method, because visa and mastercard have the ultimate say so. And if Paypal is suspending accounts because of e-cigs, I am betting the CC companies are having at least a hand in that.

That's 4 suppliers(who've never had a problem for months) suspended within 2 days. Go to Cigtechs forum to see the letter and communications he received(It's quite obvious what PayPal's doing). And, from my understanding, the CC companies have nothing at all to do with this. Paypal is not a bank(it's a money transferring service) and therefore, doesn't have to follow Federal banking regulations. There is a member on this forum(and I can't remeber his username) that works in merchant services and is offering assitance to these suppliers. That is why I started this thread, so that these suppliers could get in touch with this person(or other forum members in merchant services).

**happily** · 08-05-2009, 08:38 PM

Ryle is the member in merchant services

**mamacat** · 08-05-2009, 08:41 PM

Originally Posted by markarich159

/snip
There is a member on this forum(and I can't remeber his username) that works in merchant services and is offering assitance to these suppliers. That is why I started this thread, so that these suppliers could get in touch with this person(or other forum members in merchant services).

Luckily, I remembered who she was and phoned her right away. I'll PM her this thread.

**jexmex** · 08-05-2009, 08:43 PM

Originally Posted by markarich159

That's 4 suppliers(who've never had a problem for months) suspended within 2 days. Go to Cigtechs forum to see the letter and communications he received(It's quite obvious what PayPal's doing). And, from my understanding, the CC companies have nothing at all to do with this. Paypal is not a bank(it's a money transferring service) and therefore, doesn't have to follow Federal banking regulations. There is a member on this forum(and I can't remeber his username) that works in merchant services and is offering assitance to these suppliers. That is why I started this thread, so that these suppliers could get in touch with this person(or other forum members in merchant services).

That is right paypal is not a bank (but the government wants them to be), but they still have to follow the guidelines set by there processor, which has to follow the guidelines that visa/mastercard and the banking industry give to them. I am not fully aware of how the entire processing structure of paypal works, and I am not saying I do, or that it is there processor that is causing this issue.

Ebay owns paypal sure, but Ebay does not directly dictate paypal terms. Ebay stopped selling e-cigs because it probably put them in a precarious situation, just like selling used underwear did (yes there were people selling these items on Ebay, until they made it against their terms of use).

Again, I think its pure speculation. Until my e-check order for my e-cig gets cancelled that is, lol. (Well actually thats not very funny).

**markarich159** · 08-05-2009, 08:53 PM

Originally Posted by jexmex

That is right paypal is not a bank (but the government wants them to be), but they still have to follow the guidelines set by there processor, which has to follow the guidelines that visa/mastercard and the banking industry give to them. I am not fully aware of how the entire processing structure of paypal works, and I am not saying I do, or that it is there processor that is causing this issue.

Ebay owns paypal sure, but Ebay does not directly dictate paypal terms. Ebay stopped selling e-cigs because it probably put them in a precarious situation, just like selling used underwear did (yes there were people selling these items on Ebay, until they made it against their terms of use).

Again, I think its pure speculation. Until my e-check order for my e-cig gets cancelled that is, lol. (Well actually thats not very funny).

Yeah I'm not sure how the whole process works myself either. I just wanted to make sure suppliers who lose their Paypal status have a place to go to contact someone who can get them up and running as fast as possible. I know Ryle(thank you happily and mamacat) was offering to help any supplier who ran into this issue.

**DigDreams** · 08-05-2009, 08:59 PM

Originally Posted by markarich159

I thought it may be a good idea to start a list of known suppliers on the forum who have had their PayPal accounts shut down. I know there is a forum member who works in the merchants service industry who offers assistance in this matter should the supplier not know where to go after being suspended by Paypal. This centralized list would provide merchant service vendors knowledge of which suppliers need immediate assitance. Also, it would allow buyers to know vendors who can no longer accept Paypal for their transactions. It would also give those vendors suspended by Paypal a venue to inform buyers on how to go about completing and paying for transactions in the interim between payment processors. To my knowledge the following suppliers to date no longer accept Paypal:

Johnson Creek Smoke Juice(already have new CC vendor)
The Vapor Station
Cigtechs.com

I would ask that any forum member that is able to offer merchant service assitance would try to contact these suppliers so they can continue to provide the vaping community with their products. Also anyone who knows of other suppliers suspended, please add their name to the list. We need to ensure that all e-cig suppliers can remain open for business with minimal disruption in this tough time for the industry in general.

I am a certified Authorize.Net e-commerce developer, so if anyone needs help just PM me or contact me through my site here: Digital Dreams, Inc.

**ntshclr** · 08-05-2009, 09:01 PM

Originally Posted by markarich159

Regardless of what you may think, I have seen some the letters(they have been posted by the suppliers) that PayPal has sent to these suppliers. Yes, PayPal is specifically suspending accounts of suppliers who sell eliquid. Just because it hasn't happened to you yet, doesn't mean it won't. Now myfreedomsmokes has just been added to the list, a bit too coincidental for my tastes. In any case, these suppliers need assistance to get back up and running ASAP.

Sorry, I didn't mean to come off harsh. I just don't think it's productive to call Paypal terrorists when they haven't taken a public stand yet.

**Rockbassray** · 08-05-2009, 10:32 PM

If anyone knows a CC Merchant that can beat 2.09%+.25 per Trans., and monthly statement for 17.95$ let me know! Otherwise i have a great CC merchant other suppliers might be interested in using/ I explained to them what i sell and what Paypal did to me.. they didn't have any issue.