ext_14119 ([identity profile] ankewehner.livejournal.com) wrote in [community profile] crowdfunding2011-12-06 08:41 am

Paypal Account freezes over Donate button

Since a lot of people use the Donate button for crowdfunding or tipjars, this seems important:

Paypal froze Regretsy's account because they used the Donate button for something that was not a "worthy cause". (The fact that their representative said that while collecting money for a sick cat was a worthy cause, collecting money for poor people was a charity, and not worthy, just adds to the WTF-ness, but, either way, I suspect collecting tips would not be considered "worthy", either.)

As far as I can tell, they pulled that policy out of thin air. It's not mentioned on the site where you create buttons, and the "Which button should I chose?" help site describes Donations with "Let customers choose a fixed or variable donation amount" - "customers" implying it's OK for business use, doesn't it?

Anyway, if someone knows of an alternative that does not require you to live in the US and/or to have a credit card, I'd love to hear about it.