Quote:
Originally posted by -=HUNGRYMAN=-:
PayPal Has far more security measures in place than most payment processors ... they have to ... they are being used 10 times as often ...
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That's totally inaccurate. PayPal is the LEAST safe and MOST RISKY of all payment processors ...
They do absolutely NO SCRUBBING AT ALL ... as evidenced by one widely reported fraud incident last quarter which cost them $6 million alone ... and the lack of scrubbing has been confirmed by other posts on other boards ...
Mostly because of fraud incidents like the one mentioned above, PayPal lost more than $30 million last quarter ...
They are not a chartered financial institution ... because they decided NOT to become one ....
Consequently, they are not regulated by the government like banks and other financial institutions, so there's no protection there ...
So seizing of account monies has become common BECAUSE OF THEIR MASSIVE FRAUD PROBLEMS ... As evidenced by this article, among many others that I could cite ...
http://www.salon.com/tech/feature/20...pal/index.html
Sure, PayPal is cheaper than other payment processors. And people use them because of that, as well as the fact that they don't have to go through the normal screening process to obtain merchant accounts and the like ...
But don't kid yourself about the substantial risks involved ... Or, their future prospects.
[This message has been edited by erotictrance (edited 01-20-2002).]