Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Thu Apr 5 2012 18:21:59

Another PayPal Glitch Raises Red Flags among eBay Sellers

By: Ina Steiner

Sponsored Link

After helping eBay resolve a technical glitch involving Checkout with PayPal on Wednesday, PayPal experienced a glitch on Thursday in which many or all transactions were shown to sellers as being high risk.

Sellers began seeing PayPal payments flagged as risk alerts early on Thursday morning - one seller said an eBay customer service rep told him it was a false notice generated by a faulty update done on the PayPal system. Another seller said she was told it was a known issue that would be cleared up within 48 hours.

However, an alert reader noticed the problem started on the evening of April 3rd (Tuesday)!

Unlike yesterday's glitch, eBay did not post a message on its Systems Announcement board, leaving some sellers believing they had encountered some actual high risk buyers, and other sellers forced to call eBay or PayPal customer service.

An EcommerceBytes reader explained, "When you sign into your PayPal account, some payments may have red risk alert flags. When you call PayPal, there is a recording that tells you that it is a "technical issue" and that it is being looked into.. However, if you sign into your account and see the risk flags, unless you call PayPal there is no way to know that it is just a technical issue."



The technical glitches follow a major announcement about consolidating and re-branding PayPal products to "PayPal Payments." Of yesterday's glitch, a PayPal spokesperson said the technical issues were not related to PayPal and the announcement of PayPal Payments.

Sellers are much too busy to spend time investigating technical glitches, it was refreshing yesterday to see eBay notify sellers of a problem with checkout, but inexcusable that neither eBay nor PayPal posted anything about today's Red Flag problem.

Use the EcommerceEKG board to report whether you are experiencing this problem or not, and leave a comment!




Comments (9) | Leave Comment | Permalink

Readers Comments

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

This user has validated their user name. by: elpereles
Web Site

Thu Apr 5 20:48:18 2012

Yes, I saw the Red Flag from one payment from on of my eBay items.

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

by: dans parts This user has validated their user name.

Thu Apr 5 20:55:11 2012

Even more frustrating was that nowhere on the PayPal website does anything explain the Risk Alert red flags.  Typing ''Risk Alert'' into the Search box at the top of the page returns ''no results'', nor does searching on ''icon''.

I'm not stupid enough to not really know what that red flag is supposed to be telling me, but I wanted to be able to see it in black and white, especially since the Buyer it had flagged was a repeat Buyer.

After over 20 minutes on hold, a PP rep finally told me about the glitch.  But, she was unable to tell me exactly what that red flag was supposed to represent.  Other than what one could surmise.

Yet another pleasant experience with our eBay ''family''...

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

This user has validated their user name. by: Ric

Thu Apr 5 21:40:27 2012

Multi Order Shipping down.

Checkout down.

False Red Flag Warnings.

Faulty and inconsistent search results...

Users confounded daily by a consistent lack of announcements when systems fail...

Maybe the Wall Street Analysts can explain again how eBay is an IT company when the infrastructure is crashes and crumbles on a regular basis??

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

This user has validated their user name. by: Anonymous Annie

Thu Apr 5 22:46:23 2012

How would someone be able to tell if they had an ACTUAL risk-alert transaction in and amongst all the erroneous alerts? ~ Perhaps it was the only one without a risk-alert flag?

If the crooks were paying attention, they could have jumped-in while the getting was good... and while every seller was being told that the flags were ALL in error.

Hmmm. Who's to say they didn't already? (I guess we'll know more in a week or so.)

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

by: PaulCampagna This user has validated their user name.

Thu Apr 5 23:25:04 2012

I kid you not, this happened to me last night around 11:00pm eastern time:

I logged in to PayPal to check the progress of a transfer from my chequing account to PayPal ($50...only transaction ever made, new account). All I saw was a crap load of transactions! Payments incoming and out going! I thought I was hacked! I looked at the top of the screen and saw that it wasn't even my account! I used MY log in info! I quickly logged out. I logged back in. This time it was MY account...but it stated I had over $900 available! Then my cell died (was using my cell)! I plugged it in and logged in AGAIN! This time it said $50 was still being processed...thats more like it! WTF! What was THAT all about?!!

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

by: Henry This user has validated their user name.

Fri Apr 6 09:01:55 2012

Yes, I have 2 of 3 payments from last night that are red flagged.

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

by: Mr. Me This user has validated their user name.

Fri Apr 6 11:23:12 2012

Is it PAYPAL ?? of course it is a high risk! Chargebacks, returns, partial refunds, holds, etc etc !!!!!

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

by: eBay Ron This user has validated their user name.

Fri Apr 6 12:40:11 2012

I am just curious as to how many perfectly running ecommerce sites there are out there with 100% uptime and no issues EVER?
 One issue that lasted a whole 5 hours and all of sudden Paypal is going bankrupt and its the worse thing ever. Really?  

 

Perminate Link for Another PayPal Glitch Raises Red Flags among eBay Sellers   Another PayPal Glitch Raises Red Flags among eBay Sellers

This user has validated their user name. by: Doc
Web Site

Fri Apr 6 20:41:28 2012

How did ebay manage to win that business ethics award?

Thats a hoot!



Login is required to post comments.
To sign in to leave a comment using your AB Verify User Name, fill in the form below. If you have not yet signed up for AB Verify, or if you'd like more information, go to the Registration Page
.

Login for AB Verify
Be sure and use your email address and password to log in.

 
Email:
Password:
 
 Forgot Your Password?
 Even though you are signed in with the AuctionBytes Blog, you will have to sign in to the EcommerceBytes blog. But you can sign in with your existing AB Verify info.