PAYPAL is one of the extremely DROPSHIPPING-friendly payment gateways, you will even find articles about PAYPAL payment methods specifically for the DROPSHIPPING business. Dropshipping is accounting for a high percentage of e-commerce and obviously, Paypal has absolutely no reason to limit the growth of these businesses. In fact, Paypal has positioned itself as having the best online payment form for Dropshipping/POD.
MMO is a very promising industry today, however, MMO still has a lot of loopholes in its operation leading to many merchants taking advantage of the loophole to commit fraudulent trades. , defrauding customers, and causing damage to Paypal. In general, Paypal does not hate Dropshipping, but they hate exploitative behaviors that affect their business and customers. These acts mostly come from the lack of awareness as well as the lack of understanding and serious and unprofessional attitude of sellers, especially Vietnamese sellers.
ICOS will list some common behaviors that sellers do that make their accounts vulnerable to denial or worse, locked:
1. Ambiguous legal and policy information
At the time that the seller registers Paypal for their store, Paypal will ask for some basic information for KYC. However, as soon as you start your business, you will probably run into more problems. Legal information, shipping policy, return, and publicity on the website/store will be required and please make sure all of the above information is in the MENU or FOOTER of the site – where all customers can be easily seen.
2. No order information or fake information
With that said, Paypal has positioned itself as the best payment gateway for Dropshipping/POD services. For that reason, Paypal is very focused on providing a fast shopping and payment experience as well as protecting their consumers. PayPal also has policies and actions in place to prevent businesses from fraudulent websites or abetting commercial fraud.
Paypal is often very interested in tracking orders because it can say a lot about a business. For Paypal, you can add tracking of order ID numbers to confirm with customers as well as Paypal. This also helps Paypal keep track of the merchant’s business and minimizes the possibility of your account being limited.
Some sellers as well as suppliers tend to use fake IDs to fool customers about the shipping status of their orders, which certainly won’t lead to a good due diligence result.
3. Office address in the US
Customers in the US are more likely to buy if they find that the seller has a branch office in the US. Because of this, sellers often use virtual US addresses to bypass customers.
Even if you have a virtual branch office (PO Box) in the US but your customers can’t be contacted, you still run the risk of having your account deleted or being sued when customers can’t contact you.
Taking care of customers through speakers
For any industry, customers are considered “God”. Therefore, customer support and care services are always an important link in business, including online business. Sellers who tend to support early and take good care of customers will easily avoid unnecessary conflicts when dealing (Dispute). According to the survey, more than 90% of customers will contact the support service before they request a refund or solve an order problem. If the customer cannot contact the seller (email is not answered, email is spam, the phone number cannot be contacted or mail is sent to an unresponsive address, …) they will open a dispute with a loss rate. of the seller is more than 90%.
5. False advertising, fake products, pirated goods, imitation goods, and services that do not comply with public policy.
All of the above acts are considered by Paypal as fraud and commercial fraud (fraud & scam) as well as listed by Paypal as a serious violation of internal policies and business laws. If Paypal detects such cases, Paypal will immediately stop providing the service.
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