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Tue Apr 27 2021 16:08:55

eBay Says It Can't Release Seller's Funds Due to a Glitch

By: Reader

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Dear Ina,
I know it's a long shot, but I have a nightmare scenario with eBay.

I sold an item for $1629 that was returned March 11th. eBay managed payments put a hold on the funds, as they always do, posted that they released the funds March 16th and refunded the buyer on March 23rd. All the while the hold for the $1629 remained on the account, putting my account in a negative balance status, despite continuing to sell more items. 

On March 26th, due to the faulty Hold on my account, eBay then went into my bank account and took $1629, but again did not release the hold of this same $1629. 

I've called at least 3 to 4 times per day, speaking to the horrible customer service reps that all put me on extended holds while they looked into the issue. 

I was transferred to High Value Claims reps, Managed Payments reps, supervisors and all of them gave me different excuses. 

Most importantly, one of the risk managers told me specifically that eBay has a known technical glitch that started on March 1st, 2021, whereby a handful of sellers, including me, have their funds being held despite the system on the backend showing that there are no holds. But when the sellers and eBay reps look at these accounts, they see these faulty holds, some reps of which have screen shot the sellers pages and opened up tickets with eBay IT. 

All the while, eBay continues to operate as normal, doing millions of transactions for hundreds of millions of dollars regularly, yet they continue to have their customer service reps skate around this known issue for those, like me, who it's affecting, and they have absolutely no resolution. 

They are choosing not to help each individual seller that this is affecting, leaving us to fend for ourselves through the black hole that is eBay customer service. eBay is, in effect, stealing the monies owed to me, to the tune of $1100 to $1200 because they will not resolve the issue. 

I've sold over 1000 records over the last several years, and I can assure you that with the customer service processes they have in place, if you are one of the victims of this reported technical issue, you are in for long days of anguish, frustration and outright stress. At the end of the day, this is a class action lawsuit waiting to happen and, at the very least, a small claims lawsuit that I will be pursuing, effective immediately. 

When you have representatives actually email you saying that this is a known issue, that they themselves can't believe this isn't getting fixed, that they apologize profusely for what's happening to you and give you specific dates when the issue will be resolved, at the latest, then you have a serious problem. 

I don't expect to ever get the money they owe me, but if you know of any way to help me so that i can actually get to a manager/leadership person at eBay, I would be eternally grateful.

Thanks,
John



Comments (16) | Permalink

Readers Comments

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: lessthanthreerecords This user has validated their user name.

Tue Apr 27 16:51:06 2021

eBay frequently puts holds on the same money twice, but thankfully in my case, never for as long as is occurring to this individual.  Unfortunately, due to eBay's arbitration clause, class action or small claims are not an option for sellers.  However, given the large amount of money involved and the time it has been unjustly held for, I would strongly recommend binding arbitration.  Although I have never done it, my understanding is that it is somewhat similar to small claims but with an arbitrator rather than a judge.  There are some differences, namely that only individuals may take a company to arbitration, not groups of people (such as with class action lawsuits).  This is why big companies like eBay have that clause in their terms and why you rarely, if ever, hear about a class action suit against them, despite nearly non-stop issues that would be worthy of class action.

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This user has validated their user name. by: iheartjacksparrow

Tue Apr 27 17:20:08 2021

@John (the O.P.); File a complaint with the California Attorney General's Office. The forms are filled out and submitted online. Then file a complaint with the Federal Trade Commission (regarding bad business practices). You could also post on Twitter at @AskeBay and demand answers.

You might also consider filing a complaint with the Department of Financial Protection & Innovation which oversees money transmitters. Here is the link:

https://dfpi.ca.gov/money-transmitter-division/

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: Snapped This user has validated their user name.

Tue Apr 27 18:34:47 2021

Grand mal seizure of CS, JV IT ‘teams’ fumbling every play, skim scheme culture - set all that aside. Those are just popping rivets in the spit-glued abomination of the mechanism that is an eBay selling relationship today.

But there is no excuse, none, especially when the scope if not the cause is entrenched in the archives, for eBay not to immediately credit this seller what they have acknowledged is owed and overdue. They can always reverse/recoup whenever it is, if ever it is, rectified by their clown circus.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

This user has validated their user name. by: The End

Tue Apr 27 19:30:37 2021

"grand larceny refers to amounts of at least $1,000."

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

This user has validated their user name. by: Ric

Tue Apr 27 19:42:11 2021

I would not expect eBay to jump very quickly to resolve their all too convenient technical issue.

eBay has been proven to act in their own financial best interests first, buyers second, and sellers last in all cases.

Holding funds is fraudulent, but also was baked into eBay's managed payment program as a matter of assuring rosy quarterly reports.  The falsified numbers derived from illicit holds not only defrauds sellers, but intentionally misleads wall street investors by making the bottom line look artificially better than it really is.

Sadly, nothing will change, when John gets his funds restored, eBay will simply find other sellers to repeat the process.

A top to bottom audit of the fraudulent practices by the eBay corporation is long overdue, but likely will never happen.

eBay executive leadership needs a corporate enema.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

This user has validated their user name. by: toolguy

Tue Apr 27 23:27:53 2021

eBay lies!

You can't believe anything they say.

(former ebay cheerleader, now just another disgruntled seller)

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: Silver Ice King This user has validated their user name.

Wed Apr 28 00:47:12 2021

Ebay has no intentions of fixing the "known issues" in their system because that is how they are making their money at this point in time.  All they care about is being able to pay out those ridiculous CEO salaries and the golden parachutes when they leave, whether its for cause or not. Wenig never should have gotten a penny in severance pay, but instead walked away with stolen funds in the amount of $53 million for going after people who criticized the company he was running and the way he was running it.  Then they went and paid Schenkel another $20 million or so for his short term time in the hot seat so they have to continue to steal from the Sellers in order to pay their bills and keep up the appearance that they are a profitable company,

When a friend of mine tried to recover money that Ebay had taken from them in error, it was nothing but a nightmare trying to recover the funds and Ebay CS kept trying to invoke a policy that they had 30 days AFTER the payment finally gets posted to show a credit balance before they need to refund it.  They had already had their money for 30 days and now wanted another 30 days, and that was with them openly admitting they owed the money.  The company has become nothing but a bunch of crooks whose programming is coded to purposely steal money from Sellers and if they catch it stall the refund as long as they can but if they neve notice it Ebay gets to keep the money as a reward for successfully stealing it from them.  Its nothing but a game to them with no concern about the effects it has on their customers.

I would never sell a high end item on Ebay because they would naturally try to shift the blame to the escrow company if they backed a seller at all.  I am sure if the buyer said the item was fake and sent back a piece of junk that Ebay would back their buyer and tell the seller to take it up with the escrow company, but of course we will not give you, the seller, any information about the escrow company or who happens to own it.  Anybody want to lay odds that some executive at ebay has their hands in the cookie jar with these escrow companies?  I remember when they had them many years ago the high end items started disappearing at the escrow companies with them saying they never received the high end item and Ebay told the Sellers, sorry but thats a cost of doing business on the internet which is why that service went down the drain so fast back then.  Thats why Ebay wants new sellers, not old ones that remember all of these fiascos that Ebay shoved on them..  This entire service will be gone by the end of the year with more complaints about items being stolen and Ebay once again telling the Sellers oh well take one for the team, which Ebay never seems ready to do.

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This user has validated their user name. by: Rexford

Wed Apr 28 07:59:06 2021

A glitch on eBay?  Glitch is what they do best.   And apparently there are no manual processes to override a glitch at eBay.   How convenient for them.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: zeek6228 This user has validated their user name.

Thu Apr 29 07:58:29 2021

I just had 5 Samsung phones I could have sold immediately for $900 each. Sold them locally for $800 each instead. Ebay is just not worth the risk on items over $400 or so.  

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: ttesty This user has validated their user name.

Thu Apr 29 08:20:17 2021

eBay f*****d me as well. A seller paid for an item, then Mangled payments put a hold immediately on the funds saying it was reported unauthorized. Buyer and I setup another transaction with the same item relisted using a different payment method and I got a payment paid without a hold. Meanwhile, buyer's first transaction is on hold indefinitely (they're out of money). They left me negative feedback as well, which they meant to leave eBay, and they then removed it. I'm also out for $20 on shipping from the first item due to the hold, even though buyer and seller requested to cancel the first item - eBay refuses.

All this bs because of Mangled Payments. If it were Paypal, none of this would happen. Just file legal action with the State and Federal Govenments.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: ttesty This user has validated their user name.

Thu Apr 29 08:26:25 2021

What you should do is use a cheap online-only bank account that has a 0 balance at most times and does not charge NSF nor does overdraft. Then when eBay sends the funds, transfer them immediately to your regular bank. Then when eBay's Mangled payments commits fraud by trying to pull money from your cheap bank (i.e. for fake disputes, holds, other fake charge crap), they won't be able to get the funds and you can let them keep repeating that for over a month or so. If you need to see something, you can use a friend's eBay account or sell elsewhere.

And fire Jamie Iannone.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: postbuster This user has validated their user name.

Fri Apr 30 17:57:52 2021

Sounds to me like corporations are using MP like an 'agent' in an attempt to operate as a 'bank'.  While they hold your money, they toy around with it, making illegal maneuvers that they were not allowed to do in the USA.  This kind of abuse will escalate.

I can see now that they are big enough to afford no-sales as long as they keep ripping people off through their lop sided polices.
I wouldn't doubt by now that they, (and etsy too) will have fake buyers just to implement returns to drain peoples personal bank accounts.
There are fake members in their boards. (possibly this one too)

People already have to transfer money to them for lack of funds for a return.
Etsy keeps the tax by charging the seller for the refund.

It's a very weak and dirty retaliation to sellers because they want to intimidate sellers into thinking that corporate owns them.
My advice for anyone who still has to use any venue that mandates MP, is to GET OUT NOW!
No one wants to see the next level of corruption that this scum will resort to.
They have proven that they will come to your house, and vandalize, defame, and threat anyone who disagrees with them.
Sound like Russia to you?

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: Toledo Maude This user has validated their user name.

Fri Apr 30 19:20:35 2021

Ugly story that happens all too often with eBay caught with their sticky fingers in the sellers' cookie jar.

With the ''Death Sentence'' of Mangled Payments looming over my head, I deleted my listings this month.  Glad that I did!  

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

This user has validated their user name. by: Bill

Sat May 1 01:11:06 2021

I was told that I have until 5-21 to sign up. Well that ain't happening. I don't need eBay after over 21 years.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

by: Silver Ice King This user has validated their user name.

Sat May 1 10:43:16 2021

@Bill

This is exactly what Ebay wants, the old sellers who know just exactly what they are doing so they can replace them with newer Sellers who just do not realize that they are getting ripped off and stolen from.  This corporate culture started with Wenig and has continued to grow under Iannone.  This is why it took Ebay so long to find a new CEO, they were looking for another crook who they felt they could pass off as a legitimate CEO, at least to newbie Ebay sellers.  I also closed up shop on Ebay after 22 years when they tried to force me into Mangled Payments and then they "accidentally" overbilled me for another months fees on a store.  Getting that theft refunded took over 30 days as they are trained to put the funds into pending and then credit your account.  Then they want another 30 days after that finally shows up before they refund your money.  Desperation has set in at Ebay and if the DOJ or Banking Officials ever start looking into their games more indictments will follow.

Perminate Link for eBay Says It Can't Release Seller's Funds Due to a   eBay Says It Can't Release Seller's Funds Due to a

This user has validated their user name. by: Bill

Sat May 1 23:31:06 2021

Silver, I hope so but it probably won't. The politicos are into eBay's deep pockets.



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