Comments on: Paypal anti-laundering safety regulations http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/ A technology blog covering software, mobile phones, gadgets, security, the Internet and other relevant areas. Tue, 24 Nov 2009 06:19:01 -0600 http://wordpress.org/?v=2.8.6 hourly 1 By: Daniel http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-557213 Daniel Thu, 04 Dec 2008 05:33:38 +0000 http://www.ghacks.net/?p=8651#comment-557213 Hi Lt. Dan. This is the one thing I will never understand. If you are not dealing with illegal stuff, who cares who builds a profile of you? They have my picture, my address, my phone number and my birth date. Seriously, what can they do to you? If someone wants to look at my personal dealings I invite them too. Hi Lt. Dan.

This is the one thing I will never understand. If you are not dealing with illegal stuff, who cares who builds a profile of you? They have my picture, my address, my phone number and my birth date. Seriously, what can they do to you?

If someone wants to look at my personal dealings I invite them too.

]]> By: Lt. Dan http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-556642 Lt. Dan Wed, 03 Dec 2008 15:34:30 +0000 http://www.ghacks.net/?p=8651#comment-556642 What I don't like about having to provide so much personally identifying information is that I find it quite invasive and it allows them to build an intrusive profile of who you are and where you are, build on that profile over time, and share the information with people you would rather not have your personal information. It's like giving them a web cam into your personal finances and dealings. It's actually quite scary to me. What I don’t like about having to provide so much personally identifying information is that I find it quite invasive and it allows them to build an intrusive profile of who you are and where you are, build on that profile over time, and share the information with people you would rather not have your personal information. It’s like giving them a web cam into your personal finances and dealings. It’s actually quite scary to me.

]]> By: Daniel http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555867 Daniel Tue, 02 Dec 2008 21:32:20 +0000 http://www.ghacks.net/?p=8651#comment-555867 Just to clear things up, I am finishing university and getting an MBA soon, I actually do know what money laundering is, it was just my sad attempt at some humor :) Anyways, it is just a show and they ask for it at a quite low level, I can't remember what it is, but I can assure you I am not rich (yet) :) I have no problem trusting Paypal despite what Mike is saying. I've also heard reports that Paypal was not the best on customer servce though :( However, I wish I could have losses of $6900, that would mean I actually earn that much :D Just to clear things up, I am finishing university and getting an MBA soon, I actually do know what money laundering is, it was just my sad attempt at some humor :)

Anyways, it is just a show and they ask for it at a quite low level, I can’t remember what it is, but I can assure you I am not rich (yet) :)

I have no problem trusting Paypal despite what Mike is saying. I’ve also heard reports that Paypal was not the best on customer servce though :( However, I wish I could have losses of $6900, that would mean I actually earn that much :D

]]> By: Marc http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555684 Marc Tue, 02 Dec 2008 17:00:25 +0000 http://www.ghacks.net/?p=8651#comment-555684 This anti-laundering law is just a bureaucratic show. All financial institutions must comply and "investigate" any "suspicious" activity. the only goal of the letter you received to is to get the paperwork filled so that Paypal is clean if you are actually laundering money. Since they are not the police and cannot contest the validity of the provided documentation and in shot, it is a useless law which is only a bureaucratic overhead and a show. This anti-laundering law is just a bureaucratic show. All financial institutions must comply and “investigate” any “suspicious” activity. the only goal of the letter you received to is to get the paperwork filled so that Paypal is clean if you are actually laundering money. Since they are not the police and cannot contest the validity of the provided documentation and in shot, it is a useless law which is only a bureaucratic overhead and a show.

]]> By: Leandro http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555496 Leandro Tue, 02 Dec 2008 12:41:14 +0000 http://www.ghacks.net/?p=8651#comment-555496 It may seem nonsensical that they ask for the info in that way (scanning and emailing), and as you point out, it is easily forged. However, PayPal is clearly doing this just to cover their own butts and comply with whatever relevant legislation may exist. If they don't ask for anything, they're not in compliance; if they ask and you send the real info, they're in compliance; if they ask and you send forgeries, you're subject to prosecution for forging documents, but they're in compliance for having asked. It may seem nonsensical that they ask for the info in that way (scanning and emailing), and as you point out, it is easily forged. However, PayPal is clearly doing this just to cover their own butts and comply with whatever relevant legislation may exist. If they don’t ask for anything, they’re not in compliance; if they ask and you send the real info, they’re in compliance; if they ask and you send forgeries, you’re subject to prosecution for forging documents, but they’re in compliance for having asked.

]]> By: Joshua http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555456 Joshua Tue, 02 Dec 2008 11:46:02 +0000 http://www.ghacks.net/?p=8651#comment-555456 Oh, I've been though that same process. It was a bit annoying, but nothing too bad. @Mike: I'm sorry to hear that! I'm glad you found a payment gateway that suits your needs. Oh, I’ve been though that same process. It was a bit annoying, but nothing too bad.

@Mike:

I’m sorry to hear that! I’m glad you found a payment gateway that suits your needs.

]]> By: Martin http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555356 Martin Tue, 02 Dec 2008 09:41:34 +0000 http://www.ghacks.net/?p=8651#comment-555356 Oh yeah, money laundering is not what you are describing in the article Daniel :) The relative low sum that initiates the money laundering process at PayPal (was it 12K ?) suggests that they are not doing this because they have to at that point. Oh yeah, money laundering is not what you are describing in the article Daniel :)

The relative low sum that initiates the money laundering process at PayPal (was it 12K ?) suggests that they are not doing this because they have to at that point.

]]> By: Martin http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555354 Martin Tue, 02 Dec 2008 09:38:08 +0000 http://www.ghacks.net/?p=8651#comment-555354 It was not me, that's all I can say. But I had to go through the same process back then in 2007 :) I only did send my ID and nothing else and that seemed to have been sufficient. Their wording on that page is kinda weird. One could think they want you to send all of it. But then again I'd say that PayPal is nice if you are the buyer and bad if you are the seller. It was not me, that’s all I can say. But I had to go through the same process back then in 2007 :) I only did send my ID and nothing else and that seemed to have been sufficient. Their wording on that page is kinda weird.

One could think they want you to send all of it. But then again I’d say that PayPal is nice if you are the buyer and bad if you are the seller.

]]> By: Mike http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555339 Mike Tue, 02 Dec 2008 09:14:56 +0000 http://www.ghacks.net/?p=8651#comment-555339 I do not know why everyone thinks PayPal is the ultimate payment gateway. I used to be a merchant but no more. Not after a loss of $6900 and they made no effort to help in recovery. Now I use 2Checkout and ClickBank and don't get hassled. My final opinion is that PayPal cannot be trusted because they will find a way to totally screw their customer. Just give them an inch and they take a mile. I went through the same thing having to send them information TWICE! This was before I got screwed. My advice? DO NOT trust PayPal. I do not know why everyone thinks PayPal is the ultimate payment gateway. I used to be a merchant but no more. Not after a loss of $6900 and they made no effort to help in recovery. Now I use 2Checkout and ClickBank and don’t get hassled.
My final opinion is that PayPal cannot be trusted because they will find a way to totally screw their customer. Just give them an inch and they take a mile. I went through the same thing having to send them information TWICE! This was before I got screwed. My advice? DO NOT trust PayPal.

]]> By: Daniel Pataki http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555318 Daniel Pataki Tue, 02 Dec 2008 08:39:24 +0000 http://www.ghacks.net/?p=8651#comment-555318 No it was ok :) The email didn't have any suspicious links and you had to prove everything signed in, I checked the certificate too :) No it was ok :) The email didn’t have any suspicious links and you had to prove everything signed in, I checked the certificate too :)

]]> By: Arvin Bautista http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555316 Arvin Bautista Tue, 02 Dec 2008 08:37:18 +0000 http://www.ghacks.net/?p=8651#comment-555316 I think you are mistaking money launderer for counterfeiter. While they certainly have intersecting circles in the criminal world, a money launderer does not print their own money; they actively transfer funds from one source to another in such a way as to not leave tracks as to where the money came from. Using paypal, a money launderer might be able to divert funds that would otherwise be taxed in their country into an account seemingly located in another country, where taxes might be lower. Likewise, if a person is selling goods illegal in their country but legal in another, they might set up a paypal account in the other country but through other accounts have eventually get to their real account. The movie Office Space has a hilariously classic scene in which the hapless heroes have to launder money, but realize none of them know what laundering money means :) I think you are mistaking money launderer for counterfeiter. While they certainly have intersecting circles in the criminal world, a money launderer does not print their own money; they actively transfer funds from one source to another in such a way as to not leave tracks as to where the money came from.

Using paypal, a money launderer might be able to divert funds that would otherwise be taxed in their country into an account seemingly located in another country, where taxes might be lower. Likewise, if a person is selling goods illegal in their country but legal in another, they might set up a paypal account in the other country but through other accounts have eventually get to their real account.

The movie Office Space has a hilariously classic scene in which the hapless heroes have to launder money, but realize none of them know what laundering money means :)

]]> By: Jojo http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555313 Jojo Tue, 02 Dec 2008 08:36:35 +0000 http://www.ghacks.net/?p=8651#comment-555313 Strange! ummm, are you moving large sums of money through PayPal regularly? Getting rich blogging Martin? [lol] Out of curiosity I did a Google search and found some info including: http://antimoneylaundering.net/GroupInfo2006/modules/news/article.php?storyid=39 And a bunch of hits by doing a Google site search using: "laundering" site:www.Paypal.com Strange! ummm, are you moving large sums of money through PayPal regularly? Getting rich blogging Martin? [lol]

Out of curiosity I did a Google search and found some info including:

http://antimoneylaundering.net/GroupInfo2006/modules/news/article.php?storyid=39

And a bunch of hits by doing a Google site search using:

“laundering” site:www.Paypal.com

]]> By: Paymun Ghaemi http://www.ghacks.net/2008/12/02/paypal-anti-laundering-safety-regulations/#comment-555296 Paymun Ghaemi Tue, 02 Dec 2008 08:20:27 +0000 http://www.ghacks.net/?p=8651#comment-555296 Hey are you sure it wasnt a phishing email? Did you try contacting paypal by phone regarding this issue? Hey are you sure it wasnt a phishing email? Did you try contacting paypal by phone regarding this issue?

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