The Paypal Report. Mistakes, Saving Money and Securing Your Paypal! For Downloading This Report You Now Have MMR (Master Resale Rights)

Transcription

1 Mistakes, Saving Money and Securing Your Paypal! Bonus Gift For Downloading This Report You Now Have MMR (Master Resale Rights) That Means You Can Sell, Or Give This Report Away Anyway You Want! Suggestions. Send It To Your List Upload It To Websites Offer It As A Bonus Product Etc etc etc By: Lewis Turner

2 1 The Required Legal Stuff! I am not an attorney This is a report based solely on my testing, understanding and interpritation of paypals TOS (and other programs) If you have question then call paypal or your attorney Make sure you read paypal's TOS yourself too - Marketer's respect! When I first started out with paypal I copied what other people were using paypal to sell, more often than not what was selling well was against their TOS and I ended up questioning them about all the other sites that were doing the same and were not banned. Do NOT do this! It doesn't help you and it doesn't get you anywhere by doing it and also out of respect to the other marketers why don't you tell them about the problem and approach them personally rather than going to paypal and trying to get them shut down? I know you would much prefer if that happened to you. Or else just refer them to this report and they can make an educated decision themselves. Finally! I am in NO way affiliated with paypal or any of the other companies I mention, paypal is and has not endorsed this product or are associated in any way at all! Now with all that being said... lets get going

3 2 Table of Contents Introduction...4 The Morning After...8 Paypal's User Agreement Address All Refund Requests Promptly Paypal And Multi-Level Marketing Paypal And Affiliate Marketing Secret $1 Fee Payment Method Paypal Alternatives - Third Party Shopping Carts Alternative Payment Processors How To Prevent Paypal From Limiting Your Account... 25

4 3 Chapter 1 Introduction Most Internet Marketers don't even give it a second thought. They've just spent weeks, maybe even months, getting their own product ready to launch. They've got the site ready, and a money sucking sales page. They've got everything loaded up so that at the click of a button the customer receives the product. They have set up and an autoresponder. The last thing they need to do is put a Buy It Now Button on the page. So they just naturally log on to their Paypal account, enter all the necessary information and generate a button. Insert that little snippet of code onto your sales page and it's launch time! Let the selling commence! And in most cases everything will roll along so smoothly you'll just move on to your next project. After all, Paypal is the number one choice for sellers and buyers alike. Their reputation for secure transactions is impeccable and the services they provide for sellers are unmatched by any other payment processor out there. And let's not forget how easy it is to set up that BIN button. Within minutes, you're in business and you don't have to worry about things like verifying identification and credit card numbers, waiting for personal checks to clear, or gathering shipping address or addresses for the download link. All you need to do is put that button on your page and everything else is taken care of. You can go to bed safe and secure in the knowledge that Paypal is in full control of your money. Wait a minute. Did I just say Full Control Of Your Money? Why, yes, I believe I did. Perhaps you missed these two little lines of legaleese in the Paypal Terms Of Use Agreement that you signed:

5 4 PayPal, at its sole discretion, reserves the right to close an account at any time for any reason, including but not limited to a violation of this Agreement, upon notice to the User and payment to the User of any unrestricted funds held in custody. And This One... PayPal, at its sole discretion, also reserves the right to limit access to sending money or making withdrawals from an account for any one of the events listed below. And This One... PayPal reserves the right to hold funds beyond the normal distribution periods for transactions it deems suspicious or for accounts conducting high transaction volumes to ensure integrity of the funds.

6 5 Pretty vague, aren't they? Paypal uses a lot of at it's sole discretion and it deems in their user agreement. And you can bet that vague terminology is for their benefit, not yours. Paypal takes great pride in the fact that they provide security to both buyers and sellers. Their reputation depends on it. So, if you've been going about your business selling a hundred dollars here and a hundred dollars there, and then you finally launch that new product you've just created and thousands of dollars pour into your Paypal account over night, don't be surprised to wake up the next morning and find that Paypal has limited your account. Or, worse yet frozen it entirely. And once your Paypal account is frozen, you have no access to the funds that are in there for up to 180 days! That's 6 months, folks. Six months that you'll have to wait before you can get to that money IF Paypal says you can have it, that is. I know plenty of Internet Marketers who have had accounts with tens of thousands of dollars in them closed and they've never seen a nickel of those funds. Now, don't assume that I'm just exaggerating here to sell this ebook because it happens much more frequently than you realize. And it could happen to you. In fact, there are plenty of other reasons, too, that Paypal can use to limit your account. More than one Internet Marketer has logged into his Paypal account in the morning and found out he's locked out. Paypal monitors every transaction, in every account, whether buying or selling, even more closely than you do. (Which is why your account may be limited. But we'll get to that.) They do this, not to penalize you for using their service to sell your products, but to protect you AND the buyer from fraudulent transactions.

7 6 If you've been trudging along at a hundred or so dollars a day and all of a sudden they see $10,000 pop into your account over night, it sends up a lot of red flags. They haven't limited your account because they don't want you to make sales. They've limited it until they can make sure everything is legitimate. Now, you may be thinking that you don't need to read this guide because you're not planning to launch a product and you certainly don't anticipate $10,000 popping up in your Paypal account over night, but, regardless of the amount of sales you do, at some point, Paypal is going to take a look at your account. It may be because you've done a certain dollar amount, over a set period of time, or it may be because your account has reached a certain age. It could be any number of reasons. But rest assured, everyone is at risk for having their Paypal account either limited or frozen forever. This guide will help you avoid this unfortunate occurrence and help you get your account back should it happen to you. This guide is in no way meant to suggest that you should pull your funds from Paypal, find another payment processor and change all of your BIN buttons. On the contrary. I firmly believe Paypal is the best option out there when you compare security, costs, services and flexibility. However, anytime someone else is handling your money, you need to know how to protect yourself. To a certain extent, Paypal is only looking out for your best interests and the best interests of the buyer if it limits or closes your account. But let's face it folks Paypal is a business. When it comes right down to it, Paypal is looking out for Paypal. YOU need to look out for YOU!

8 7 Chapter 2 The Morning After If you wake up the morning after your new product launch and can't get into your Paypal account, go to your . You've probably got a notification from Paypal that your account has been limited, asking you for information. Don't immediately panic or fly off the handle. Remember, Paypal makes it's money off of transaction fees. They don't want to stop doing business with you as long as you're following their agreement. They just want to make sure that the business you are doing with them is legal. So your best bet is to remain calm and give them everything they ask for. Yes, it's your money they're holding. But remember, you're using their service because of all the protection they offer. The first thing you need to do is try to figure out what reason they have for limiting your account and it generally falls under these two categories, as stated in their agreement: Reports of unauthorized or unusual credit card use associated with the account including, but not limited to, notice by the card issuing bank Reports of unauthorized or unusual bank account use associated with the account This just means that they've seen an excessive amount of activity in your account. Probably due to that new product you just launched. And it doesn't have to be tens of thousands of dollars, either. If your account is less than 6 months old, OR, you've been doing less than one hundred dollars a day in sales, as soon as you go over that $100 mark, your account is at risk.

9 8 To avoid waking up some morning to that dreaded If you don't already have a Paypal account, get one now. It's free and you will probably need it at some point during your Internet Marketing career. If you don't, it didn't cost you anything anyway. But this way, your account will be aging until you DO need it. Start using it. Even if it's only $7 here and $17 there, start building up some sales and history and work your way up gradually to that $100 per day mark. And then start building your sales even more. Paypal will be much less inclined to limit your account if they see you increasing your sales gradually rather than in one lump sum. Don't withdraw excessive amounts. You can keep money in your Paypal account and withdraw it gradually. Until your account is over 6 months old, keep your withdrawals at under $500. If you are getting ready to launch a new product, call Paypal, before you put their button on your page, and let them know about it. Be prepared to tell them how you intend to handle the sale the type of product, the transfer of product, your guarantee, and your estimated sales. Make sure you get the name and ID number of the representative you speak to just in case. Consider using a third party provider, like Clickbank or ejunkie. They will still accept Paypal payments from your customers PLUS you'll have the added benefit of being able to pay affiliate to also promote your product. You may not want to use a third party provider because you won't have immediate access to your money. If that's the case, use them for the first day or two of the launch, when your sales are the heaviest, and then switch to Paypal. But you should still alert a Paypal representative before you start selling.

10 9 Chapter 3 Paypal's User Agreement Paypal has several other reasons they will use to limit your account. So let's take a look at some of them and see what you can do to avoid losing access to your funds. Complaints received regarding non-shipment of merchandise, non-delivery of services, merchandise not as described, or problems with merchandise shipped. Sometimes we just get in such a hurry to launch that new product that we forget little things like testing all links to make sure they work and that they're set up in the proper order to take the customer from the payment button clear through to receipt of the product. It's also a good idea to get a second or third opinion on your product and your sales page before you launch. Does your product do everything the sales page says it will do? Does it provide all the information your sales page says it will provide? Will it meet or exceed your customers' expectations? Eliminate customer complaints before they happen. It's only common sense. With the new laws that have recently been introduced, I'm sure you're aware that you can no longer guarantee that someone who purchases your product will Make $10,000 in only 12 Hours! or any other outlandish claim. If you're using that as part of your sales pitch, make sure you include a statement that says those are YOUR results and they won't necessarily be the same for everyone. Better yet find a different way to pitch your product.

11 1 Another good way of eliminating complaints is to make sure that your contact information is prominently displayed, every step of the way, for the buyer to contact YOU first, instead of Paypal. This should be an address that you check frequently, not one that's tied to one of you sites that's doing nothing but gathering dust somewhere in cyberspace. The best way to help eliminate customer complaints, and to help build trust with your customer, is to include a customized message on their Paypal transaction. You can include a Customer Service Message by going to your Paypal account and clicking on 'Profile', then, under 'Selling Preferences', click on Customer Service Message. Including this message on your transactions will not only help you with the customers, but Paypal will be less apt to look upon you as a scammer, too. Anything you can do to help build trust between your website and your customer will help in reducing customer complaints and refund requests. A lot of people are still new to shopping on line and their first thought is generally to NOT trust you, simply because they can't see your face or reach out and touch your product. So, you should consider yourself quite the salesperson if you've managed to convince one of these Nervous Nellies to purchase your product in the first place. But, while we're on the subject of trust, one thing that you can do to help cut down customer complaints, and actually increase your conversion rate, is to include on your Paypal page, along with that Customer Service Message, the header from your website. Many customers are put off from buying, or they gain a measure of distrust, simply because they go from your eye-catching website to that Paypal logo. There's nothing in between that lets them know they're still on the same site. To add your logo to your Paypal page, all you need to do is click on your Profile link at the top of the page, then, under 'Selling Services',

12 1 click on 'Custom Payment Pages.' This feature will allow you to customize up to three different payment pages with a 750 px X 90 px image of your own design so your Paypal page can now match the look and feel of your website. The only drawback to this system is that you only get the 3 pages. That's fine for someone who only has a couple of products, but a lot of marketers have products scattered all over the web. If that's YOUR next question, then here's a solution for that, too! You'll first need to create your 750 X 90 image and host it at a secure site. You can host it free at SSLpic, which is a service provided by Ejunkie. After you've uploaded your image, you'll get an that includes the link. Copy that link to your notepad for now. Now, you'll need to open up the settings.php file in the root of your installation and copy the following code at the very end: $cpp_header_image = ' here.jpg'; Note: Make sure you've inserted the code before the?> characters at the end of the page. Now, you also need to open up the index.php file installed in the root and edit your paypal form. Insert the following line of code anywhere in your Paypal information but be sure you're not breaking any of the other lines of code. <input type= \ hidden\ name=\ cpp_header_image\ value=\ $cpp_header_image\ > Save both files and upload them and you will now have customized Paypal Payment pages that will help put your customers' mind at ease and cut down on future complaints and refund requests.

13 1 Chapter 4 Address All Refund Requests Promptly This is a must! If Paypal does limit your account for excessive complaints, you'll have a much better leg to stand on if you've been taking care of refund requests. Too many marketers take refund requests as a personal assault. It simply means that your customer was not satisfied with the product, not that he doesn't like you or that he's trying to take you for a ride. First of all, go back and review your sales page to make sure you're delivering what you're promising. In most cases, it's going to end up that you need to refund that customer's money, whether you like it or not. If it's a digital product you've sold, then you're really not out anything anyway so just bite the bullet and refund the customer's money. Why waste time arguing about it, alienating a customer and possibly getting yourself in trouble with Paypal? If you're concerned about that customer going on to pirate your digital product, then take steps to protect it. There are all sorts of programs out there to help you brand your product and protect it from piracy. And if it's a physical product, then simply ask the customer to return it. But when that customer requests a refund, he is not taking money out of your pocket. He is simply asking for his money BACK. Don't risk your Paypal account over a refund request. It's just not worth it.

14 1 Opening multiple Personal accounts; Name on the bank account associated with the PayPal account does not match the name on the PayPal account; Reports from credit agencies of a high level of risk; You need to understand that, while you may not be using that Paypal account right this very minute, you will, at some point in the future, need that account. So you need to do everything to protect it at all times. While there are lots of tricks you can use to open multiple Paypal accounts, why take the risk? There are other payment processors you can use to supplement your needs, and we'll get into that in a bit, but Paypal is the most trusted processor on the Internet. A lot of buyers will use nothing but Paypal because of it's reputation for secure payments. If you try to scam Paypal and get caught, you may end up losing the privilege of using their services entirely. You'll need to make sure that the name on the Paypal account matches the name on the bank account. You'll need to provide either a Social Security Number or an EIN number. You'll need a phone number and address. And you'll need a mailing address whose zip code matches the zip code on the credit or debit card you use to verify your Paypal account. If you've been using Paypal for years, it's possible you have an older account out there that you don't remember and now is a good time to go find it and cancel it so you don't get caught with multiple accounts.

15 1 Receipt of potentially fraudulent funds; The account has been used in or to facilitate fraudulent activity; Make no mistake - Paypal WILL shut you down forever when they catch you in any type of fraudulent activity. And they will catch you. They stake their reputation on it. If you're following all of Paypal's terms, and following basic good business practices, the biggest concern you should have is that burst in unexpected sales when you do a product launch. But one area, other than a sudden burst in activity, that a lot of marketers have their accounts limited or closed for is MLM, Multi-Level Marketing. Sometimes called Pyramid Schemes. And this can sometimes be very vague and difficult for you, the seller, to recognize.

16 1 Chapter 5 Paypal And Multi- Level Marketing Paypal clearly states in their agreement: You also agree not to use your PayPal account to sell goods with delivery dates delayed more than 20 days from the date of payment, or to sell securities, business opportunities, franchises or multi-level marketing A lot of marketers don't understand the difference between Affiliate Marketing and Multi-Level Marketing. Affiliate Marketing -> You pay someone a commission for each sale that is generated when they refer a buyer to your website. Multi-Level Marketing -> You pay someone a commission for each sale that is generated when they refer a buyer to your website, and you also promise to pay them a commission on the sales of other people who they recruit to also sell your products. Promising payment for recruitment of more sales people can involve anything from money to additional traffic to free products. You have to be extremely careful how you conduct this type of business.

17 1 It's one thing to state on your site that you'll pay people for each sale that is generated when they refer someone to their site. But Paypal will, in no way, allow you to state that you'll pay people simply to send someone to your site, or, that you'll pay people to refer more sales people to your site. For example: Acceptable: Become an affiliate! For each referral you send us that results in a sale of my $27 ebook, I will pay you $10 directly into your Paypal account. Unacceptable: For each person you send to my site, I'll pay you $10. You will be shut down for sure: Become an affiliate! For each referral you send me that results in a sale of my $27 ebook, I will pay you $10 directly into your Paypal account. And then, when THEY sell the ebook, too, I'll also pay you an additional $5!

18 1 Chapter 6 Paypal And Affiliate Marketing Paypal does allow you to pay affiliates. However, they will not allow split payments. They think you're trying to skip out on your processing fees. You're really not because you're just paying out the fee along with 2 payments instead of one, but to be on the safe side, here's what they're saying: Acceptable: When an affiliate refers a customer to your site, and that customer purchases your product, the full amount of the purchase has to go into YOUR Paypal account and then you create a second transaction to pay your affiliate his or her commission. Unacceptable: When an affiliate refers a customer to your site, and that customer purchases your product, you have 25% of the sale directed to your account and 75% directed to your affiliate's account. (Or whatever commission percentage you're paying.) Now, it might sound like Paypal is trying to make it more difficult for you to sell your products, but they're really not. They're actually protecting you by not allowing you to split your payments by making it easier to track your sales versus your payments. Each complete sale is recorded and then each accompanying affiliate payment is recorded making it easier for you to justify your records should a problem occur. However, it does seem like it would take a bit more time to go back and pay

19 1 each affiliate individually. And it does appear that Paypal will be making out like a bandit when it comes to transaction fees. Each time you receive a payment from the sale of your product, Paypal is going to deduct a fee from that payment, starting at 2.9% +.30 for each transaction. These transaction fees will vary depending on the average monthly sales you do through Paypal: And, while Paypal does not charge a fee for you to transfer money to your affiliates, it will charge your affiliates a fee to receive their commissions. If you want to keep them happy and keep them selling for you, you need to pick up that fee. In order to make it easier and more cost effective for merchants to use their services, Paypal has a Mass Payment Option that not only allows you to pay all your affiliates at once with the click of a button, but it will also save you a substantial amount of money in fees.

20 1 Chapter 7 Secret $1 Fee Method Paypal's standard rate for receiving payments for goods and services is 2.9% per transaction. Which means, for every $100 you send out to your affiliates, Paypal is going to keep $3.20. You can see where that fee will quickly add up. For example, if you have 20 affiliates and you owe each of them $100, the fee will be approximately $ But. This Is A Secret Chapter! In order to get this chapter you need to do the following Visit

21 2 Chapter 8 Paypal Alternatives Third Party Shopping Carts If you've had a Paypal account shut down in the past, or you and your significant other each have your own account, or maybe you've used some of the tricks to open up multiple Paypal accounts, you may want to hide your domain name or at least avoid linking directly to your Paypal account. Be aware that Paypal tracks all sorts of information domain names, SS numbers, bank account numbers, and yes, IP addresses. To avoid connecting your domain with a Paypal account that may be under suspension, or suspicion, I highly recommend the use of a third party shopping cart. These programs process your payment fees and then the money is transferred to your Paypal account. So transactions that appear on your account come from the third party processor, NOT your domain. One processor that I enjoy working with is ejunkie.com. Not only does using Ejunkie allow you to hide your domain from Paypal, but they also allow multiple payment options, Paypal and Google Checkout. So if your Paypal account should be shut down for some reason, you can immediately switch over to Google. Ejunkie also allows you to set up affiliate programs and coupon codes. Another processor that I like to work with is DigitalProductDelivery.com. They also offer multiple payment options and they're a little bit easier than Ejunkie when it comes to the set up process. Either of these services, though, will allow you to hide your

22 2 domain from Paypal, which is really what you're looking for. Chapter 9 Alternative Payment Processors Instead of all of that 007 stuff, though, I like to try to work within the system. It's just easier and it saves a lot of time and aggravation. Google Checkout Google Checkout transfers payouts directly to your bank account. However, until your account is at least 60 days old, you'll have limited access to your funds and each of your transactions will be on a 2 week hold. This service has the benefit of the Google name behind it, so customers already recognize and trust it, too, overcoming one of those barriers to buying that you always need to be aware of. Clickbank Click bank transfers payouts, either via check or by direct deposit into your bank account, every 2 weeks. And you have the added benefit of being able to set your products up as affiliate products so other people can sell them for you, too. There's a $49 set up fee, per product, but it's well worth it for the ease of use. Clickbank accepts all credit cards and Paypal as well, so it's just as easy for your customers to use as a Paypal button. And, if Paypal, for some reason, says they don't want you to use their button anymore, you can simply turn off their button and Clickbank will continue to handle credit card payments. Clickbank also makes it very easy for you to handle recurring payments for membership sites and they take care of paying your affiliates. Clickbank is quickly becoming the premier payment processor for a lot of Webmasters who are getting tired of tap dancing around Paypal's TOS. The only drawback is that Clickbank is only a viable alternative when you're dealing with digital products.

23 2 Chapter 10 How To Prevent Paypal From Limiting Your Account If you were to call someone at Paypal and ask them what you need to do to prevent your account from being either limited or shut down entirely, they'd probably tell you the same thing I'm telling you Follow The Rules. But Paypal, as I've already pointed out, is very vague with a lot of it's terminology. You may talk to someone named Joe one day, who tells you it's perfectly fine, go ahead and launch that new product, and then the next morning you wake up to a limited account. And when you call back, Joe's supervisor says that you should have gotten an authorization number first, or you should have submitted some form first, or blah, blah, blah... And Paypal is a lot like Google in that they don't publish exact figures they're not going to tell you that they'll limit your account if XXX amount of dollars are deposited in one day, or if you withdraw XXX amount of dollars over the course of XXX number of days or months. There are a log of very grey lines. The best thing you can do is..

24 2 This Is A Secret Chapter! In order to get this chapter you need to do the following Visit

25 2 Chapter 11 Conclusion Now that you have gone through the whole the paypal report and now that you know exactly how to use paypal safely, securely and to save some massive amounts of money along the way! I really do hope you enjoyed this guide and keep your paypal accounts safe now and in the future as I know for many of us without our paypal accounts we would loose a large chunk of our payments. P.S. Remember if you want these very important secret chapters you need to visit P.S.S. Also don t forget you have MMR rights (master resale rights) with this report so use it to help you and your business!