Shopify Payments and Paypal Hold with 3rd Party Apps Like Printful

[Sensational032]

Hi,

I've been seeing a lot of people saying the Shopify Payments and Paypal will put holds on your accounts initially. My main concern is how this will effect fulfillments of products with Shopify apps like Printful. If one of my billing accounts has a hold, will the order still be fulfilled even if I cannot do a payout? Printful will take the money from these billing options to fulfill the orders. Also how long do these holds tend to last?

[Shay]

Hi @Sensational032 

I can definitely share some information on this with you. 

Regarding a payout hold, that is definitely a possibility for all new businesses. Once a business has been reviewed by the payment gateway in use the banking partners that power the gateway may decide to place a temporary or partial hold on your payouts to help alleviate any risks of charge backs on the account. 

For the fulfillment process of dropshipping/print on demand services, you will set up a billing account with the service and they will charge your account on file with them. The payment for fulfillment of the products and the customers payment to you for the purchase of the product are two separate transactions that happen independently of each other. 

I hope that information helps clarify things for you! If you have other questions definitely let me know. 

[Sensational032]

Hi Shay, 

Thank you for the response. How long does this hold period typically last? I saw some people go six months before being paid.

[Shay]

Depending on the reason for the hold, the average time is 90-120 days (3-6 months), 90 days is usually the minimum as it is the window of time that most banks allow for a chargeback to be opened. 

If you are using Shopify Payments you can actually request a review of your account right away if you have any concerns about a payout hold being put in place. This allows our team to review for risk and gives you a chance to find alternate payment options if you so choose. 

[Sensational032]

Thank you for the help.

[Conict]

How do I request a review of Shopify payments? What things need to be in place to pass the review?