payouts from Shopify Payments are on hold while we review your account

[Hengyulou]

 Shopify, I need assistance with this. This is not acceptable. There should be a notification as to why. If this is your standard procedure, you should include notifying your customers as a top priority. You can't just freeze money when it's needed. This is not acceptable. I'm considering changing if this doesn't get resolved as soon as possible. This is not helping the flow of our operation. We are very honest no questions on your charges in us. We can do better than this.

[Hengyulou]

Shopify, I need assistance with this. This is not acceptable. There should be a notification as to why. If this is your standard procedure, you should include notifying your customers as a top priority. You can't just freeze money when it's needed. This is not acceptable. I'm considering changing if this doesn't get resolved as soon as possible. This is not helping the flow of our operation. We are very honest no questions on your charges in us. We can do better than this.

[aliciavterrible]

I'm going through the exact same thing right now.. with zero explanation of why.. or how to fix.. or any communication at all. I've been a small business owner for ten years and have just migrated my old store to Shopify.. and now this. What a kick in the guts.

Did you get yours sorted yet? My money has ben on hold for a month... and noone even replies to my messages. I get the same responses you mentioned when I am in chat, but no support message response. This is daylight robbery. 😞

[Hengyulou]

My friend, I'm waiting too. I assure you they constantly say that there are many requests you are in the queue, but lie constantly I do not know what they do with our money that they can not solve the problem in 1 week.

[HUNTEDFOX]

US Electronic Fund Transfer Act (EFTA) and Regulation E
EFTA: The Electronic Fund Transfer Act (15 U.S. Code § 1693 et seq.) establishes the rights and liabilities of consumers and the responsibilities of all participants in electronic fund transfer systems.

• Regulation E: Implements the EFTA and includes requirements for:
• Disclosure of Terms and Conditions: Payment processors must clearly disclose the terms and conditions under which funds may be withheld.
• Error Resolution: Procedures must be in place to resolve errors promptly, including those related to withheld funds.
• Unauthorized Transactions: Handling and reporting unauthorized transactions and notifying the consumer promptly.

1. Unfair, Deceptive, or Abusive Acts or Practices (UDAAP)

• Enforced by the Consumer Financial Protection Bureau (CFPB), UDAAP prohibits financial service providers from engaging in unfair, deceptive, or abusive acts or practices. Withholding funds without proper cause or clear communication can be considered a violation.

___________________________________________________________________________________________________________________________________

[Disc72]

This is what Shopify does, they keep our money and at best make fake excuses.  Then refuse to answer support cases or give us any reason.  There are a lot businesses having the same issues.

[Summer]

Hey, @Hengyulou and @aliciavterrible! 

I understand that you're currently facing issues with your payouts, and I realize how frustrating this can be. Just to provide some context, when you completed the Shopify Payments setup, you were notified about the verification process. By agreeing to the Shopify Payments Terms of Service, you also consented to our right to hold funds while waiting for you to submit any necessary documents or information for verification. This procedure is detailed in Section B.3 of the Shopify Payments Terms of Service.

While we do aim to notify you about the verification immediately, either through your admin homepage or an email, there are occasions where these notifications are missed. In such instances, I encourage creating a support ticket and getting in touch with our support team so they can guide you on the next steps. Please feel free to visit our Help Center and start a chat with the AI assistant to connect with one of our support advisors.

If you've already gotten in touch with our support team and/or have supplied the necessary documentation, we ask for your patience and understanding as our verification team works on your request. We are unable to provide a specific timeframe for the response as this is dependent on the volume of requests, however, I can assure you they will get in touch as soon as they can.

[Hengyulou]

Every day the same answers are given by your services. Don't you understand the seriousness of our business?  Every day they said they would reply in 2 days and still they have not replied, they have not asked for documents They constantly give such answers as if we do not understand anything 

[aliciavterrible]

@Anonymous 

My payment have been on hold for a month.

I have received ZERO communication from the Shopify team. No reason why this is happening, no email, no admin notification, no request for verification documents, I don't receive replies to my daily messages.

Any time I reach out on chat I am told the same thing, it has been escalated and someone will reply. But every day the same, NOTHING.

I have even gone ahead and submitted any documents I "think" you might want via support chat... but nothing.

Surely I at least deserve an explantion as to WHY this is happening and better yet, a chance to fix it!!! But with ZERO communication no matter how many times I reach out.. WHAT AM I SUPPOSED TO DO!!?!?!?!

[mrsmir]

Same here. Over a month now. Talked to them via chat multiple times and they are saying that they are working on it. Does it really take this long to check business docs that were submitted?

I am seriously considering moving my two businesses (one of them is 4 years with Shopify now) to a different platform where there is better support. I am not able to grow because of this and I am advising my customers to use our Etsy shop instead of the website at this point. 

Shopify, you are digging a hole for a lot of business owners.

[HUNTEDFOX]

Shopify fails to provide help for the small businesses that have built their empire. 

Shopify is BREAKING THE LAW.
Their actions are Unfair, Deceptive, & Abusive

This is absolutely unacceptable. 

[HUNTEDFOX]

SAME: Shopify, 6k+ of our monies are still on hold, I'm getting frustrated.

Aren't there laws surrounding the handling of monies? 

YUP, there are- on both sides of the coin.   
In this case: Shopify is the Payment Processor- while WE are the Consumer. 
______________________________________________________________________________________________________________________________
US Electronic Fund Transfer Act (EFTA) and Regulation E
EFTA: The Electronic Fund Transfer Act (15 U.S. Code § 1693 et seq.) establishes the rights and liabilities of consumers and the responsibilities of all participants in electronic fund transfer systems.

• Regulation E: Implements the EFTA and includes requirements for:
• Disclosure of Terms and Conditions: Payment processors must clearly disclose the terms and conditions under which funds may be withheld.
• Error Resolution: Procedures must be in place to resolve errors promptly, including those related to withheld funds.
• Unauthorized Transactions: Handling and reporting unauthorized transactions and notifying the consumer promptly.

1. Unfair, Deceptive, or Abusive Acts or Practices (UDAAP)

• Enforced by the Consumer Financial Protection Bureau (CFPB), UDAAP prohibits financial service providers from engaging in unfair, deceptive, or abusive acts or practices. Withholding funds without proper cause or clear communication can be considered a violation.

___________________________________________________________________________________________________________________________________

Shopify is BREAKING THE LAW.
Their actions are Unfair, Deceptive, & Abusive

This is absolutely unacceptable. 

[Rayw1]

Did you get sorted out? 

[HUNTEDFOX]

I have been experiencing the same issue with Shopify Payments after opening our second store with Shopify. 10 days ago-we received a notification that our payouts were on "hold" and that we had to contact Shopify to inquire. This raised a RED FLAG for me. Why am I being asked to chase down a problem? Don't they have a legal responsibility to communicate directly and promptly with me as per the US Electronic Fund Transfer Act (EFTA) and Regulation E, and for those in the EU, the Payment Services Directive 2 (PSD2) (Directive (EU) 2015/2366)?  Specifically, Section 205.11 of Regulation E outlines procedures for resolving errors and requires prompt communication with the consumer. In this case, we are the consumer.

After finally getting a response, Shopify asked me to verify the same rudimentary documents that I had provided in order to open/get approved on the payment account. This seems negligent and conveniently timed now that they have $6,300 of our funds. Nevertheless, I provided the documents again, and Shopify sent an email stating that the account was in "good standing" and that payments would be processed. Exactly 15 minutes later, they sent another notification stating that the account was on hold again YET- now I could no longer accept incoming payments either.

For three days now, I have been emailing Shopify Customer Support asking for insight, but they only respond with "we are looking into this matter." I demanded an answer to the simple and direct question: Why are you holding my funds? I also shared that they are in violation of:

Electronic Fund Transfer Act (EFTA) and Regulation E

• EFTA: The Electronic Fund Transfer Act (15 U.S. Code § 1693 et seq.) establishes the rights and liabilities of consumers as well as the responsibilities of all participants in electronic fund transfer systems.
• Regulation E: Implements the EFTA and includes requirements for disclosure of terms and conditions, error resolution, and procedures for addressing unauthorized transactions. Specifically, Section 205.11 of Regulation E outlines procedures for resolving errors and requires prompt communication with the consumer.

Despite this, I still receive the following blanket emails from Shopify:

---

"Hi there,

Thank you for reaching out with your concerns, and I truly appreciate your patience as we navigate this together. I understand the urgency of the situation regarding the hold on your payments, and I'm here to assist you in getting the clarity and resolution you need.

After reviewing your account and previous interactions, I've noted that there are currently two escalated tickets (Ticket #XXXXXXX0 and Ticket #XXXXXX56) actively addressing your concerns. These tickets are in the hands of our specialized teams who are equipped with the necessary tools and access to detailed information to resolve such issues effectively.

I realize how important this is for you, and in an effort to expedite the process, I've added a note to both tickets highlighting the urgency. While I wish I could provide more immediate insights or a direct resolution, these specialized teams are your best point of contact as they have the specific expertise and access required to handle this matter comprehensively.

Please note that they are working diligently on your case and will reach out to you as soon as they have an update. Your understanding and cooperation is greatly appreciated as we work towards a satisfactory resolution."

---

How is it taking Shopify three days to explain why they are withholding this sum of money, and why won't they provide the simple steps to resolution?  

I am posting this here because this situation is unbelievably debilitating and unreasonable. It is more than just unethical; it is unlawful for Shopify to perform or even suggest that they provide "Customer Service" in any way shape or form.   After 8+ years with Shopify, what used to be the best customer service has simply become an incompetent circus. What they are doing at this point is illegal, as they cannot withhold our money and fail to provide any kind of response or steps to resolve it. Meanwhile, they are using our cash to satisfy their business needs/investments and tanking ours. They are destroying businesses instead of supporting them. 

I'd happily start a class action suit, as I am clearly not the only person this is affecting.  

@Shopify does NOT care.  Shopify does not provide support.  Shopify is BREAKING THE LAW.  

[HUNTEDFOX]

I've reached out to Shopify requesting assistance with over 18 responses generally apologizing and failing to provide a solution. 

[HUNTEDFOX]

SAME PROBLEM:  We built YOUR business, Shopify.  WHY are you destroying OURS?

After opening our second store, we verified everything and were approved for Shopify Payments. After several transactions, I signed in to find that my payout of over 6k was on hold and I had to contact Shopify, which as we all know has migrated to a "chat bot".  This raises a RED FLAG. Why am I being asked to chase down a problem that I was never alerted to?  I'm told they will "email me".  2 days later without any response from Shopify, monies were still on hold, I'm getting frustrated. Aren't there laws surrounding the handling of monies? 

YUP, there are- on both sides of the coin.   
In this case: Shopify is the Payment Processor- while WE are the Consumer. 
______________________________________________________________________________________________________________________________
US Electronic Fund Transfer Act (EFTA) and Regulation E
EFTA: The Electronic Fund Transfer Act (15 U.S. Code § 1693 et seq.) establishes the rights and liabilities of consumers and the responsibilities of all participants in electronic fund transfer systems.

• Regulation E: Implements the EFTA and includes requirements for:
• Disclosure of Terms and Conditions: Payment processors must clearly disclose the terms and conditions under which funds may be withheld.
• Error Resolution: Procedures must be in place to resolve errors promptly, including those related to withheld funds.
• Unauthorized Transactions: Handling and reporting unauthorized transactions and notifying the consumer promptly.

1. Unfair, Deceptive, or Abusive Acts or Practices (UDAAP)

• Enforced by the Consumer Financial Protection Bureau (CFPB), UDAAP prohibits financial service providers from engaging in unfair, deceptive, or abusive acts or practices. Withholding funds without proper cause or clear communication can be considered a violation.

___________________________________________________________________________________________________________________________________

After finally getting a response, Shopify asked me to verify the same documents I had previously provided to open the account. This seems negligent, especially now that they have $6,300 of our funds. I provided the documents again, and Shopify confirmed the account was in "good standing" and payments would be processed.  Yet, 15 minutes later, they sent another notification putting the account on hold again,  blocking incoming payments as well as the payout.  

For three days, I've been emailing Shopify “Customer Support” to find out what is needed now to resolve this issue. NO one can give me an answer.  They have "escalated my request" yet cannot seem to get tot he bottom of it and deliver a direct response towards a resolution.  Despite all of my emails and requests, I still receive the same false and inconclusive emails from Shopify:

"Hi there,

Thank you for reaching out. I understand the urgency of the hold on your payments. Two escalated tickets (Ticket #47680900 and Ticket #47610956) are actively addressing your concerns. Our specialized teams are working diligently on your case and will update you as soon as they have information."

This situation is debilitating and unreasonable. Shopify's actions are unlawful and unethical. They cannot withhold our money without providing any response or actionable steps within a reasonable time frame. They are using our cash for their business needs, while harming ours. 

After 8+ years with Shopify - what used to be excellent customer service has now become an absolute nightmare.

I'd happily start a class action suit, as I am clearly not the only one affected.

@Hengyulou @mrsmir @aliciavterrible @Summer  
Shopify is BREAKING THE LAW.
Their actions are Unfair, Deceptive, & Abusive

This is absolutely unacceptable. 

[candycave]

This is absolutely scandalous, this has just happened to me ! 
I have had no email or request for information and the chat is useless Iv got 5k euro withheld and if it’s not sorted in 7-10 days my business will close!

we are only in business a few months and cash flow is important!

seems strange they hold our funds on the back of our best month!

please tell me what you need to release the funds