If you want to know how long does PayPal hold money, then as a rule it is 21 days if there are no problems with the order. However, you can explore several options to speed up access to your funds.

As you know, PayPal is the largest debit electronic payment system that allows customers to send and receive money transfers, as well as pay bills and purchases. PayPal is also a convenient platform for people who have a small business, as it provides secure payment for their services.

However, you may have noticed that sometimes PayPal holds on the transfer of funds for up to 21 days in order to make sure that you have enough money in your account (in case there are any problems with the order). Thus, at the moment there are several reasons why the payment may be pended. Explore why PayPal can put payments on hold and how can you access your money faster.

PayPal Put Payments On Hold: Why?

Oftentimes, companies pend payments to ensure the safety of buyers and sellers. Thus, even though the money belongs to you, sometimes PayPal holds on access to it. But why? More often than not, PayPal wants to make sure that you have enough money in your account to solve problems that may arise, such as disputes or chargebacks. Thus, you will be able to receive money and use it when the buyer confirms that he will receive the goods in the declared condition.

Below are some specific reasons why your payment might be pended:

  • – You sell the product that customers may not like
  • – PayPal has detected a change in the sales price for a specific transaction
  • – The payment you received does not match your typical sales pattern
  • – Your PayPal account is inactive

Why Does PayPal Put My Payment On Hold?

Of course, there are also reasons why your payment might be pended. Explore them:

  • You are just starting to sell. As a rule, newcomers to sales first need to build trust in them. After you have a successful transaction record, your status may change and your payments will not be suspended.
  • Formal customer complaint. If one or more customers filed a formal dispute, chargeback or refund complaint, then PayPal may also delay the availability of your funds.
  • You haven’t sold for a while. As with new sellers, if you haven’t sold in a while, you will need to regain trust.
  • You are selling risky items. If you sell gift cards, tickets or travel packages for example, these are risky goods as they are associated with some kind of event.
  • You have a suspicious sales model. If you have unusual activity, PayPal may notice this and withhold your funds as well.

However, don’t worry, as each of these issues is solvable. The best thing you can do if faced with such situations is to work with customers directly and solve their problems as quickly as possible. Inform customers in advance about shipping costs or shipping delays due to an emergency in order to avoid complaints and additional problems.

When Can I Access My Money And How To Get It Faster?

Often, if there are no problems with your account or transaction, then PayPal will unblock your funds within 21 days. However, there are some steps you can take to help release PayPal funds faster. For example:

  1. Print a USPS / UPS shipping label. Since PayPal is tracking your package, it will unblock your funds the day after the courier confirms delivery. This way you will be able to receive funds faster.
  2. Update the order status. For goods that have not been sent (for example, online lessons and e-books), update the order status and you will be able to receive funds in 7 days.
  3. Use PayPal’s approved carriers. If you add tracking, the block will be removed from your funds as soon as the courier confirms the delivery.