Why is Paypal so slow?

There are so many customers using PayPal today for various purposes. PayPal has one of the highest users in the digital payment world. Before we look at why PayPal is slow, it is pertinent to know what PayPal means and how it works.

Why is Paypal Slow?

  Since PayPal is an online platform, it is unavoidable to sometimes experience glitches with the application. PayPal can be slow due to the following reasons:

1. The problem might be caused by a poor internet connection from the user’s end.
2. PayPal can be slow due to a fraudulent activity that was noticed in your account.
3. PayPal might be slow due to a poor setup or an incomplete account setup.
4. Paypal might be slow due to a limitation that was placed on your account. This may slow down the function of your account, or even stop access to your account until it is settled.
5. Another reason why PayPal is Slow is due to the kind of system used. Most digital companies use the automated clearing house system. This automated system takes a lot of time to process funds as it needs to pass through the federal reserve before they are sent to your bank for approval.
6. Your bank may not have approved the deduction or charges.

What does a Paypal account mean?

  According to Investopedia, PayPal is an E-commerce company that facilitates payments between parties through online funds transfers. The account is linked to the user’s credit card.

How does Paypal work?

  PayPal works as an intermediary between you, your transactions, and your bank. PayPal will confirm the identity of a user. Once this is confirmed, you can begin sending and receiving payments. 

  PayPal offers payment services to both personal users and business-wise. Using PayPal, you are expected to link it to a bank account. This is to enable PayPal to easily select the account to debit.

The different kinds of Paypal accounts

  We gave two basic types of Paypal accounts:

Personal PayPal account

  The personal PayPal account is an account that is majorly for personal use. This is the kind of account you need when you want to carry out personal transactions like sending or receiving money. This kind of account helps you to access all purchase history and to link accounts. It also gives you easy access to shopping. It also allows free transfer to friends and relatives as no charges are required where money is being sent to a relative account.

Business Paypal account

  The business PayPal account is an ideal account for merchants. This kind of account creates a platform where merchants and their customers can easily accept payments for goods and services using PayPal.

Advantages of Using Paypal

1. It does not involve rigorous processes. It is easy to use and simple to register.
2. It keeps you up to date with all expenses made as it provides financial reports.
3. Paypal can help refund your money. When you make a purchase and find out it is fraudulent, PayPal can help get your money back.
4. Paypal attaches no fee when you send money to your families and relatives.

Disadvantages of using PayPal

  It is a general belief that whatever has an advantage, will also have a disadvantage. Here are some disadvantages of using PayPal:

1. If you need instant access to your money, PayPal will charge a 1% fee. Unless you want to wait until the money is made available to you.
2. Your funds can be frozen or limited anyhow without you being able to access them. When this happens, you might not be able to send or receive money.
3.  Customer service is not easily reached. It is difficult to reach and get quick feedback from the customer service.
4. For those using it for business, PayPal has a high charge fee.
5. It can be very slow to use.

How Can You Make Fast Paypal Transactions?

  Currently, ideas are being put in place on how to make fast Paypal transactions. Fast PayPal transactions can be made using a new feature which is called ” Instant Transfer”. Research shows that with the instant transfer, it takes not less than 30 minutes to make transactions.

  The instant transfer was made accessible to users in the United States alone and takes just a few minutes to access your money. If payments are delayed, it might be due to issues from a customer’s bank.

What Might Be Causing Delay In My Paypal Payment?

  As stated earlier, PayPal may delay funds to get some clarity on your account activities. These pending payments could occur for about 21 days. Other reasons why your Paypal payment is pending may be due to the following factors:

1. There are no positive Buyer-Seller transactions. PayPal accounts that are used for business purposes need to be active always. In situations where the account has not been in use for some time, payments could be placed on hold.
2. Availability of your payments could be delayed due to multiple complaints from customers about your products or other issues.
3. There is a noticeable change in your selling patterns, or what I will call unusual activity which turned out to be very suspicious. This could cause your payments to be pending.
4. Another reason why your payment is pending may be because your account needs time to prove its credibility history. If you are a new seller, it is important to build a buyer-seller history and credibility so that once you can establish a successful transaction record, your pending payments are released.

What Can Be Done to Fix The Issue of Pending Transactions

1. Ensure that your customers confirm the order once it is received. This way your funds will be made available speedily.
2. You can also add tracking information. The tracking information updates your customer on their item, how far it has gone, and the location among others. 
3. Strive to get good reviews on your items. Make sure you do all you can to satisfy your customers so they don’t complain.
4. You can also use a UPS shipping Label directly from Paypal. This way, all information like the tracking number, and the delivery confirmation will be made available automatically. This will speed up the release of your pending payments.

CONCLUSION

  Paypal is an application that is presently making rounds in our world today. It has and is still making online payments and transactions possible including receiving money in other currencies. 

Frequently Asked Questions

1. Is it possible to convert my personal PayPal account into a business account?

Answer: Yes it is. Go to your setting and click on ‘Upgrade to business account’. Then follow the instructions.

2. Why does PayPal take so long to transfer my money?

Answer: One reason is to detect fraudulent activities or a problem with the website.