Question:

How can PayPal KEEP my fundraising $ for Gustav relief??

by  |  earlier

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I simply cannot believe it. I work for an IRS registered non-profit organization which operates an orphanage in Haiti. We recently suffered devastation at the hands of Hurricane Gustav and are in desperate need of relief funds. Due to this, we started collecting funds through our website via PayPal.

Thank God, we were able to raise almost $5000 in about four days, so that we could begin the clean-up process. However, I attempted to access my account today to withdraw the funds and was met with a "Notification of Limited Account Access". The statement reads as follows: "PayPal requires accounts within the charity / non profit category to provide us with some additional information regarding their organization. Upon a recent review, your account was identified as falling within this classification. Although you are fundraising, we would like to ask questions regarding the collection of donations. Until we can collect this information, your access to sensitive account features will be limited."

So... PayPal recognizes that I am not a charity, myself, but am only fundraising. However, until I provide the following information (to PayPal's satisfaction), I am restricted from accessing the funds in my account.

1. A brief organizational summary.

2. Information about the nature of your organization and the type of payments you intend to process with PayPal.

3. Method(s) of disbursement to the beneficiaries.

4. The names of any charitable organizations for whom you are collecting.

5. Subordination letter on official letterhead from [the organization] signed by an officer/director/trustee of the parent organization clearly stating that you are an authorized fundraiser on behalf of the parent organization.

6. How do you separate private business funds from collections?

Basically, this means that our orphanage will remain under eight feet of mountain rock and our 36 children will continue to be housed in a single house UNTIL PayPal decides to release these funds to us.

I truly do not understand how what I do with money I collect is ANY of PayPal's business? Does my bank ask me where checks I deposit come from? Do they require me to provide PROOF of where I work before I can deposit my paycheck? It's simply ridiculous.

Honestly... Does this sound legal to you?? Does it sound ETHICAL??

Surely it is NOT.

But... WHAT CAN I DO??????????

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1 ANSWERS


  1. Sorry to hear that, they effectively shut down our Charity here in the Philippines for medical help the same way.

    About all you can do is to go to http://www.nopaypal.com and try to find suggestions there.

    It is not a cure-alll, but has helped some charities and businesses recoup some of their money.

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