Why does PayPal have to keep accessing bank accounts when there are funds in PayPal to cover debts?

[funandfoxy]

I sold an item, the Buyer paid for it AND the shipping, as well.  PayPal put a hold on the funds, refusing to even release enough to ship it.  I had to go through three reps before they would graciously allow me to ship it, but then... they'll take the money later... FROM MY BANK ACCOUNT.  Why???  The funds are in PayPal, why wouldn't they just deduct them from your account?

I'll tell you why.  Because even though they have no explanation for their bank-dipping, and it makes no sense, it DOES cost the Seller more money in bank fees.  Also, don't you love it when they go in and you're not expecting it?  

I ended up cancelling the sale, removing the rest of my items from Ebay and now, am seeking alternatives for doing business.  Things were great until they amalgamated, and now, they won't leave people's bank accounts alone.  My boyfriend just closed his Ebay store, same problem.  😕  Too bad, it used to be a great way to make money on the side!

[reallynicestamps]

Things were great until they amalgamated,

That was around 2005 I think.

it DOES cost the Seller more money in bank fees.

Which does PP no good, but helps your bank make more money.

Go to your PP agreement and see if you have set up your agreement to take payments from your bank rather than from your PP balance.

Or add a credit card, and use that instead, paying it off at your leisure and adding a second layer of Buyer Protection.

[reallynicestamps]

 PayPal put a hold on the funds, refusing to even release enough to ship it.

Yes. PP has a 21 Day Hold on customer payments for new sellers, sellers in some high value/high fraud categories, and on sellers with violations or defects on their accounts. The first is probably the one that is affecting you.

I am surprised that you couldn't print out a shipping label though. Normally, that would be to PP's advantage, proving that the transaction is moving smoothly.