Power Sellers Unite

discountuniverse · Joined: 01 Jun 2005 Posts: 61

I need someone to assist me. Charge.com AKA pipeline data processing has decided to hold over $5000.00 in funds for 180 days. Their so called "reason" is to see if any chargebacks will occur during that time. However, I have provided invoices, proof of shipment,tracking documents,previous merchant statements, & even my domain registration. So basically, according to their logic, they would have to hold all funds from every one of their merchants for 180 days because of the risk of chargebacks. I could understand if I wasn't keeping in touch and providing any information but I gave them everything accept my birth certificate. Is it legal for them to hold these funds even if I have provided adequate proof of shipment? If anyone has had a similair experience with this company please contact me. If you think you can help please share your opinion. This is extremely important. I spent money up front to have these items delivered. It is crushing my business. I plan to contact a lawyer tomorrow but by the time the case gets started I will allready be out of business. Please help! :cry:

kw101966 · Joined: 04 Mar 2005 Posts: 495 Location: North Carolina

I am not sure if this would be legal or not, Did you go back and reread their policies small print to make sure they had not slipped it in somewhere? If not I dont think they can hold your money without a viable reason such as problems with your account in the past or other large charge backs. JMHO it sounds as though they are drawing an awful lot of intrest on other peoples money, I am sure the funds that are channeled through them have to pass through a bank account of theirs some home. I am not positive on how the pay sites work, but if they are doing this to you and who knows how many others they could be making a killing on intrest from free money (Your money) I just dont think they can do this without prior acknowledgment . I would def make some calls.

Good luck

discountuniverse · Joined: 01 Jun 2005 Posts: 61

I have never had a chargeback with them. These funds have been held for over 30 days allready and still no chargebacks on the transactions in question. Yet, they have made their "final decision" to wait for the chargebacks to come in even though A) I have provided thorough proof of shipment including tracking documents, B) I have never had a chargeback,C) this is the only problem I have encountered with my account, & D) they actually billed me for my merchant account for the month of December while holding the funds! This is absolutely crazy. They also said something about my return ratio being around 50/50 because I had to process credits for xbox 360 preorders that I wasn't able to secure with my microsoft authorized reseller. Who hasn't had problems securing the 360s though? Anyway, he also said that on their application I answered yes to this question " Are the products you sell in stock"? I did indeed answer yes. Supposedly he had a problem with this becuase I told him I was a dropshipper. I said I did nothing wrong because the question asks if the products I sell are in stock not "on hand." that is an entirely different question. All I know is if this isn't taken care of soon I am contacting a lawyer and taking this scum bags to court.

PKC Direct

I'm not sure but I think PayPal got into some kind of trouble over that type of situation right after they started up. I remember getting some kind of notice on a class action suit against them back in late 1999 or 2000. You might research it and see. I think the outcome was a settlement for everyone they did it too without a good reason.

AtomicVideo · Joined: 16 Jul 2005 Posts: 1232 Location: winter pak, fl.

CONTACT the federal trade commission
1-877-ftc-help
they would love to hear about this.
also notify any state agencies for the state they are located in.

goodstuff4you · Posted: Fri Dec 30, 2005 7:52 pm Post subject:

Hey! Discount sorry to here your having issues with a payment company. I do think most of these type companies are just trying to make excess profits by holding your funds. I would contact a lawyer and have them send a letter right away by email, fax, and certified mail. Sometimes when a company understands a person is going to file a suit they act to prevent that action. Multiple lawsuits against companies can actually de-value the companies worth and can adversly effect many areas they may hold dearly.

lotsofgoodstuff · Joined: 02 Jun 2005 Posts: 282 Location: CA

I have a merchant account since several years, I think 9 years so far. As I signed up I had to submit an estimated monthly sales volume and an estimated ticket amount. Which I did. Very soon I got way over my estimate as I started wholesale and funds for a sale of over $1,000 was held until I submitted the invoice. We then corrected the etimates, and I never had any problem again.

Merchant accounts do not hold funds unless
a) see above
b) they think something is suspicious.

I did have maybe 3 - 5 chargebacks over the years, but never have funds been held. They do have access to my checking account, and withdraw the money - after a sufficient notice to resolve the issue - or deduct it from the daily batches.

I think there is more to this story, discountuniverse. Merchant accounts do not hold money for 180 days, no way. My friend is a representative for a merchant company since years, I just called him if this is possible because I had my doubts. His answer was - never seen that before ...

Did you sign up with an agent, a representative? If yes, call him. This guy is as eager to get his commission from your sales as you to get your money. (And yes, agents receive a percentage of sales, for as long as the merchant is in business :) )

lotsofgoodstuff · Joined: 02 Jun 2005 Posts: 282 Location: CA

One more thing -
The charges for these $5,000 - was this Visa, Amex, MC or Discover charges? Because you could complain with them also.

I just checked with charge.com. They also had you fill out an estimated monthly and individual ticket sale. Did you ever mention that you will make $5,000 in such a short period?

https://www.charge.com/application.shtml

teapotdee · Joined: 28 Sep 2005 Posts: 550

Atomic Video! That's my line! :D

To think I have had to push myself to tell my clients to wait 30 days for payment! sheesh!

discount, you might consider insisting that you at least get the interest, too!

Is it perhaps co-incidental with rising interest rates that these people see that it might be worthwhile to hld money back? Their gain is your loss, because the interest-earning power of that money is yours by right, IMHO. My bank pays 4.15% annual, btw, so how much would that be on $5,000 for six months?

mojavelyn · Posted: Fri Dec 30, 2005 9:08 pm Post subject:

Ooppss Better do this right...

I don't think they can hold it for 180 days, because of the chargeback time limit.

(Thanks Teapotdee!! And the same to you... don't I know you from a previous site, other then Bidville? ...pm me please)

teapotdee · Joined: 28 Sep 2005 Posts: 550

(Thanks Teapotdee!! And the same to you... don't I know you from a previous site, other then Bidville? ...pm me please)

I love it!!!
I have captured the power of the [you] code! mwahahahaha!!!!!!!!!!

goodstuff4you

Quote: › docWrite("quote")I have captured the power of the goodstuff4you code! mwahahahaha!!!!!!!!!!

Ok! What did I do this time :?: :lol:

grannysuze · Posted: Sat Dec 31, 2005 7:33 pm Post subject:

not to worry GoodStuff ... it's that silly "you" code ... when I read it, it said "GrannySuze Code" ... I thought someone had let loose of my Top Secret decoder ring, but then realized what it was.

:-)

Discount ... I trust you have quit selling anything that puts more funds INTO that account, correct? Heck, paypal would be better than someone who isn't going to give you your money !

Hope it works out for you

discountuniverse · Joined: 01 Jun 2005 Posts: 61

Thank you for your kind words ladies and gentlemen. I have cut all ties with that scandalous interest earning company. I am not accepting credit cards at the moment. It simply isn't worth the risk as a seller. Pretty soon we may be out of business. I will do all I can to salvage the business but without any working capitol and cash flow, it will be extremely difficult. Does anybody know a good lawyer that is especially equipped to handle a case like this & that doesn't charge until the outcome?Your help is appreciated. Thank you and happy new year!

discountuniverse · Joined: 01 Jun 2005 Posts: 61

Hello everyone. It has now been 7 months since charge.com/pipeline data processing inc./ CTS holdings started to hold my funds. I called them 1 month ago (after the 180 day period) and they told me my funds were eligible for release. I told them to send the check to my new address since I got evicted from my old apartment. They said no problem. After 1 month of waiting for the check I decided to call today. Guess what? Now they are saying they feel the need to hold it until August! I asked why and you will not believe what these pricks said. "Sorry I can't answer that question." Please is there anyone that can help me defeat these lying scumbags?