If you are making money in the music industry odds are you are making money through PayPal. Unfortunately they are starting to get a little cocky with their near monopoly over the payment system and quietly unveiling some shady new features. Consumerist has the dirt on two new schemes these guys are up to that you should watch out for!
- PayPal Takes Bite Out Of User’s Funds, Calls It ‘Rolling Reserve’ – Taking 20 percent off of monthly sales and keeping it in reserve in case a customer initiates a chargeback.
- Assessing A Fee of 2.9% On Purchases – Transactions marked “goods” or services” in personal accounts are now seeing a new fee.