1.Paypal is a illegal operating bank. They offer merchant account's which makes them a bank..
2.Reason paypal is not getting touched yet is they donate etc millions of dollars to politicians funds and campaigns, The same politician once elected in protects paypal. They payoff big people
3.Alot of politicians also use paypal for donations which is basically tax free because Paypal dont report taxes to IRS as of yet.
3. PayPal heavily protected because they pay the big wigs off and contribute money..
4.Last, Paypal makes Millions of freezing accounts. Let do the math.
As of December 2008: more than 153 million accounts worldwide. So lets say in 2010 they probably have about 180 Million by now..Ok, 180 million members. Lets say roughly 5% of members get there accounts frozen with average of $1,000 stuck in it.So 5% of 180 million is 9 million members. Okay 9 million times $1k each equals 9 billion dollars! Yes 9 billions dollars in held funds For 6 months at a time..So times 9 billion times interest rate of .10% equals 900 Million dollars per 6 months!!!
Paypal is clearing almost a billion dollars every 6 months, now granted some people even have higher amounts then 1k frozen such as the dude with 750k so I assume paypal makes more then 900 million dollars every 6 months.Also take int o account some people dont even claim there money after 6 months for whatever reason.
Even with 2.5% frozen rate they still make half a billion every 6 months,,So please when u get your account frozen now u know why.. Get a merchant account fellows. PayPal is clearing almost a Billion dollars free money every 6 months and I dont think they gonna stop
Paypal swears the money is not making intrest but we know the truth!
