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Have an Etsy storefront?

Posted: Sun Feb 17, 2019 2:47 pm
by DEyncourt
Better check your credit card and/or checking accounts associated with that storefront because an unknown number of Etsy sellers found starting around late morning Friday that Etsy withdrew amounts ranging from hundreds of to several tens of thousands of dollars. In some cases there were several attempts to make withdrawals.

The more fortunate sellers only had the withdrawals blocked although this could have frozen or cancelled the associated credit card or checking accounts.

Others discovered empty checking accounts with overdraft fees, or credit cards being charged with over-the-limit fees.

Up to now the only action Etsy has offered was to credit the sellers' accounts the amount withdrawn. There are a couple of problems beyond the lack of compensation for fees:

1) in the US Monday is a national holiday so the earliest the sellers can settle their problems would be on Tuesday, and

2) money transferred from Etsy to a seller's account is automatically tallied as taxable income for that seller by the IRS, so without further explanations a seller could be taxed in 2019 for money which wasn't income.

Re: Have an Etsy storefront?

Posted: Sun Feb 17, 2019 3:39 pm
by Pariah
I am blown always that people would not have a segregated account connected to any e-commerce site.
There has never ever in all of the internet era been even so much as one company willing to spend the money to protect their users from fraud and abuse like this. All e-commerce sites should be dealt with as skeptically as someone selling stuff out of the trunk of their car.

Posted: Sun Feb 17, 2019 3:58 pm
by macnuke
my wife has an etsy... it's tied to a bank account.
it's the only thing tied to the bank account.
and she pretty much keeps the account under 50 bucks and it's locked so if they hit it.. they get the 50 is all.

Re:

Posted: Sun Feb 17, 2019 4:05 pm
by Pariah
macnuke wrote: my wife has an etsy... it's tied to a bank account.
it's the only thing tied to the bank account.
and she pretty much keeps the account under 50 bucks and it's locked so if they hit it.. they get the 50 is all.

That is the smart way to do it.

Posted: Sun Feb 17, 2019 4:25 pm
by TOS
i remember when people were so hesitant to embrace e-commerce for security concerns

now it doesn't seem to matter how many breaches there are, everyone just shrugs

Re:

Posted: Sun Feb 17, 2019 6:38 pm
by Betonhaus
macnuke wrote: my wife has an etsy... it's tied to a bank account.
it's the only thing tied to the bank account.
and she pretty much keeps the account under 50 bucks and it's locked so if they hit it.. they get the 50 is all.

did she opt out of overdraft protection?

Re: Re:

Posted: Sun Feb 17, 2019 7:47 pm
by maurvir
Betonhaus wrote:
macnuke wrote: my wife has an etsy... it's tied to a bank account.
it's the only thing tied to the bank account.
and she pretty much keeps the account under 50 bucks and it's locked so if they hit it.. they get the 50 is all.

did she opt out of overdraft protection?


This. You often have to literally, and repeatedly, indicate that you do NOT, under any circumstances, want overdraft protection. It's a racket for them, which is why you have to be so forceful.

As an aside, all of my online stuff like that, PayPal, etc. is linked to an "allowance" account. It rarely has more than a hundred or so dollars in it.

Posted: Sun Feb 17, 2019 8:14 pm
by macnuke
they charge a monthly for the protection... and when she opened the account she already had a letter that she did not want any overdraft protection ever on this account. the letter also states that if they pay anything overdraft, she is not liable unless she has previously given written notice.
her etsy doesn't move enough to warrant a hit unless they are taking anything they can get.
I just laugh and say good luck with that.