posted on July 17, 2001 07:30:30 AM new
I tried to sign up for the Merchant Rate using the form and noticed my SSN was required. And I also noticed that the form is smart enough to refuse the known invalids.
Why are you asking for the SSN on this form?
I do not disclose my SSN number to anyone (including but not limited to Paypal) unless they have a valid reason to need it - and any reason resembling "It's our policy to ask for it" does not cut it.
posted on July 17, 2001 08:40:10 AM new
From the FAQs on the Social Security Administration's website:
If a business or other enterprise asks you for your SSN, you can refuse to give it. For example, utility companies and other services ask for a Social Security number, but do not need it; they can do a credit check or identify the person in their records by alternative means. Giving your number is voluntary, even when you are asked for the number directly. If requested, you should ask why your number is needed, how your number will be used, what law requires you to give your number and what the consequences are if you refuse.
So... as the Social Security Administration recommends, here are a few questions:
1) Why does PayPal require a SSN?
2) If a SSN is provided, how will it be used by PayPal?
3) What law requires PayPal to collect a user's SSN?
4) What happens if a user refuses to provide their SSN?
posted on July 17, 2001 09:08:56 AM new
Don't these type accounts earn some nominal interest on your balance? Doesn't that have to be reported to IRS and a form sent to you at the end of the tax year? Aren't you required to provide a ss # to open/maintain an interest-bearing account?
Gerald
"Oh but it's so hard to live by the rules/I never could and still never do."
posted on July 17, 2001 10:33:21 AM newDon't these type accounts earn some nominal interest on your balance?
Actually, the question was regarding PayPal's request for a SSN from somebody applying for their Merchant Rate, which according to their website, is a rate that the account is charged, not a separate kind of interest paying account.
Premier and Business Accounts are assessed either the Standard or Merchant Rate to receive payments. All members are assessed the Standard Rate unless they qualify for the Merchant Rate.
posted on July 17, 2001 02:43:44 PM new
I realized I was thinking about the Pay Pal option to leave payments you receive in an interest-bearing money market account which, you are correct, has nothing to do with payments that sit in your regular Pay Pal account until you spend or withdraw them.
I would imagine Pay Pal would run some sort of credit check on potential merchant accounts which is usually done with a SS# (although as pointed out in other threads there are other ways and you do not HAVE to give anyone your SS# for credit check purposes). Just a guess and I understand some people's reluctance to give out their SS# to everyone who asks. I just don't ascribe some sort of nefarious purpose to the request.
Gerald
"Oh but it's so hard to live by the rules/I never could and still never do."
posted on July 17, 2001 08:07:53 PM newNYN, you are correct according to email I have been exchanging with paypal support. They desire to run a credit check.
I agree with vargas as well. They have no need to run a credit check, as I am not asking them to extend me credit. If I was asking them for a merchant bank account then I could possibly see their point. But as we all know, paypal is not a bank and is not offering me any type of bank service with this "merchant rate".
I have already provided evidence of my billpoint merchant rate, and of course, numerous people have reported they got the paypal merchant rate right off the bat. I presume at least some of those people have not provided a SSN to paypal.
I am already "verified" and "confirmed" and have both a CC and a checking account # on file with paypal. That with my ebay feedback and my PP history from nearly day 1 of their operation, and I think they have quite enough information on me to establish my legitimacy.
posted on July 18, 2001 04:38:33 PM new
My third complaint to [email protected] got this great response ....
Dear Mr. XXX,
Thank you for contacting PayPal.
These are the requirements that PayPal has in place for the merchant rate. Everyone that has or will have the merchant rate has to follow the same set of requirements. We are not aware of Billpoint's policies that they have in place for their merchant rate but I am sure that you have to follow their requirements as well.
Thank you for your interest in our Merchant rate. For a Business or Premier account member to apply for the Merchant Rate your account must be ... <boilerplate info on how to fill out the merchant rate request form>
