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We are writing to inform you that PayPal has modified its Acceptable Use Policy. As of May 12, 2003, PayPal will no longer support transactions for adult content or products.
After a careful review of the financial factors relating to the processing of adult transactions, we concluded that this change was the best course of action for our business.
We understand that payment processing is a critical component of any business, and hope that this two-month notice will provide you with sufficient time to transition to an alternate payment system.
Summary of the New Policy
Under the terms of the Acceptable Use Policy, effective May 12, 2003, PayPal will no longer allow accounts to send or receive payments for adult content or products that are not sold through the Mature Audiences section of eBay's website. PayPal will continue to process payments for eBay-hosted items that are in compliance with eBay's listing requirements and restrictions because eBay listings are easier to monitor than website-based transactions. Click here to read the full terms of the Acceptable Use Policy.
You may keep your PayPal account open after May 12, 2003, on a good faith basis. Your transaction history will still be viewable online, and you may continue to withdraw funds under your current account guidelines. Reserves for accounts with rolling reserves will continue to operate, with reserves ending 180 days after the receipt of the last transaction. Because you are not being required to close your PayPal account, your account access may be limited if it is determined that your account activity violates PayPal's new policy on adult content.
PayPal customers affected by the new policy who paid the Visa, MasterCard High Risk registration fee will have their registration fee refunded. The fee will be refunded no later than June 13, 2003.
Thank You for Your Business
We apologize for any inconvenience this change will cause to you, and would like to thank you for your business.
If you have any questions about the Acceptable Use Policy, please feel free to contact your account manager.
Sincerely,
The PayPal Team
__________________ "Chaos is the law of nature, order is the dream of man."
~Henry B. Adams (Historian) 1838-1918
All of the above use PayPal for alot of small transactions... might be that this time they will be seen as pure b2b, but what happens when PayPal do their "random" surfering at their merchant sites, and sees "adult content". PayPal is known for putting peoples/companies accounts on limited access - meaning that you can receive money, but you can not pay.
Could http://www.epassporte.com/ be the right product at the right time - a product made by a ADULT processor FOR ADULT companies/webmasters (and ofcourse also ADULT surfers)... Epoch, Epassport & KimmyKim - nows your chance!
Last edited by Rolo at Mar 13 2003, 06:56 AM
__________________ "Chaos is the law of nature, order is the dream of man."
~Henry B. Adams (Historian) 1838-1918
Word of advice, if PayPal limited your account, then get ahold of your lawyer - donīt waste weeks/months with their custormer department, which is only there to have you run around pulling your hair.
Also if you decied to pull the plug to PayPal and get all of your money out now, then beware that they will probably limited your account.
Best option is lower the rate of transactions you do with them over a few weeks, and never at anytime have more than a few cents in your account.
Have backup billing ready, when/if they limited your account, and quickly let all your clients/members etc. know that the paypal option is no longer an option.
My 2 cents
__________________ "Chaos is the law of nature, order is the dream of man."
~Henry B. Adams (Historian) 1838-1918
i still haven't received this email notification?
any other content providers get this?
can it be that they need to clarify more what they mean by adult transactions or which type of transaction, i.e b2b - for buying content or a hosting acc't for an adult site...?
IT was a matter of time before paypal pulled plug on adult. Once Ebay bought them, they were going to make it clean as possible.
As far as B2B, I do not know how they could police that... so should be ok.
I really never used paypal much, and when I did it was a cluster fuck.
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Under the terms of the Acceptable Use Policy, effective May 12, 2003, PayPal will no longer allow accounts to send or receive payments for adult content or products that are not sold through the Mature Audiences section of eBay's website. PayPal will continue to process payments for eBay-hosted items that are in compliance with eBay's listing requirements and restrictions because eBay listings are easier to monitor than website-based transactions.
Blah - blah- blah - blah - blah - blah - blah!
Translated to:
We are waging a monopoly on ALL adult transactions completed via PayPal. You must sell your adult products via our sister site eBay (where we benefit as well) or we just won't allow it. Sure they have super tight restrictions on what can be sold and you'll have to comply if you want to play - but that's just part of the fun and games we offer to our valued customers when you play "jump through the hoops" at PayPal! F*ck you very much and have a nice day!
epassporte is a solid replacement from a technical standpoint. however, that's only half...or less...of the battle.
the reason paypal was so appealing is because so many users out there already have one of those accounts. thanks to the popularity of ebay, there were however many million users our there surfing around that already had a nice alternative payment method. they had already gained comfort, trust and acceptance by virtue of these guys using it to pay for auctions.
paypal was really in the right place at the right time. ebay was hot, but people wanted instant gratification and most sellers were not equipped with merchant accounts. you cant really recreate the circumstances that made paypal take off. now if suddenly adult cant process mc/visa at all, then epassporte may be in a similar position. not that i dont wish them success, but i hope that doesn't happen.
i'll miss paypal. that's gonna hurt. their technical implementation of managing memberships was a royal pain in the ass. they are stoneaged compared to the processors we all know and love in adult. however, it typically boosted sales on my sites by 15-20% when I would add it.
Could http://www.epassporte.com/ be the right product at the right time - a product made by a ADULT processor FOR ADULT companies/webmasters (and ofcourse also ADULT surfers)... Epoch, Epassport & KimmyKim - nows your chance!
I just had to repeat that.....let's see it guys!!!
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Originally posted by Hell Puppy@Mar 13 2003, 10:03 PM the reason paypal was so appealing is because so many users out there already have one of those accounts. thanks to the popularity of ebay, there were however many million users our there surfing around that already had a nice alternative payment method. they had already gained comfort, trust and acceptance by virtue of these guys using it to pay for auctions.
Actually one of the primary reasons epassporte should do quite well is the fact that it's got a tremendous platform to grow very quickly on -- people already understand the model on which Paypal is used to move funds around to others, and with the flexibility that epassporte offers (way more than the competition with the corporate account especially) it really makes an attractive way to pay or receive money online.
The addition and implementation of a true reseller program also puts epassporte into the spotlight and encourages people to get others on the system --
One of the biggest pluses, as I see it is a simple one -- since epassporte is backed by one of the largest third party processors, and going to be implemented by at least two of the others, it's a solution that crosses over the traditional competitive boundaries and gives the adult industry, as a whole, a much safer payment option than Paypal ever had been -- as evidenced by the horror stories you read on boards all the time about frozen accounts, unresponsive csrs, etc...
In an age where the normal way to increase business is to ADD services and bring IN new features and innovations... paypal chooses to remove services once again. It seems to me that it is their attempt to ensure users be closely tied to Ebay instead of what paypal was originally intended for... that being a convenient way to move money around. I believe time will tell, and the owners of paypal will come to realize they are travelling in the wrong direction. Idiots.
But I'm hearing good things about epassporte
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Well - I do not work for Epassporte, but with the changes this week, then I wouldnīt mind if I did... must be very interesting times ahead
If Epassporte can get most of the adult processors, service providers, sponsors and webmasters to use their service on some level (ex. b2b), then b2c will be much more easy.
Adult traffic is a major part of the internet, and even if it will be a struggle getting surfers to open accounts, then just the pure promotion of Epassporte on adult sites will be worth millions! BUT before Epassporte will be ready for the really big times (b2c), then I see some issues which needs to be solved - mainly in these areas:
translation/local branding
ways of funding/using/banking the account
affiliate program
+ many more areas/isuess...
Oh well - Iīm just glad that there are someone from the ADULT sector who are able to pickup the business from PayPal, so Iīm sure they are already working on most of the above areas/isuess
__________________ "Chaos is the law of nature, order is the dream of man."
~Henry B. Adams (Historian) 1838-1918
03-13-2003
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