PayPal has a policy that it will not sell any products that have tobacco in them. “PayPal generally prohibits transactions for all types of tobacco products, including cigarettes, cigars, and smokeless tobacco due to legal requirements and industry regulations for online tobacco sales” http://bit.ly/1cZ2vs5
It is clearly written on their site that they won’t play with any kind of product that has to do with any kind of tobacco product, including the smokeless kind. Likely you just missed the message.
So, go shopping
Now you need a professional e-cig merchant account that won’t get ripped out from under your feet. PayPal doesn’t always put everything right up front for you to see, and sometimes things get all mixed up. So now, go looking for that merchant account servicer that will take care of you and your business.
Here you are
You are after someone that is fearless and will work with the high risk accounts. What? You didn’t know you were a high risk account. Well, if you are in the e-cigarette industry, you are indeed in the high risk area. The only reason is because you may have a large chargeback issue, and with that knowledge, you can find what you are looking for. There are a lot in the industry for high risk accounts. They thrive with businesses like yours.
Since you were booted out of PayPal, negotiate with your new merchant account servicer. Explain what happened, and they likely will take pity on you. Not only that, they love new customers. Work out a deal so you don’t have to have a long trial period. After all, you were just working with another merchant servicer. Now, you would like to be treated like a King or Queen for bringing your business to them.
Be a great word of mouth sales person. Let everyone know who saved you after being dumped by PayPal. After all, word of mouth is a great way to advertise.
Prepare yourself for that trial period. Likely you will be able to shorten it, but you may still have one. Standard time is three to six months and since you already did this, you should be able to get it shortened. As well as the reserve account for new customers. Remember that percentage will be put into a reserve account while you are going through the trial period. When it’s all over, your money will be returned to you and placed into an account of your choosing.
Honesty is the best policy
Just remember, when you open your merchant account, to be honest about what your sales are. Your account is always monitored to insure the best quality for you, and if you don’t tell the truth, you can be nailed for it. But, if you are kicked to the curb because you were honest, then that’s a whole other ball of wax.
Your new merchant account servicer is waiting for you. Be sure they are what you are after and be comfortable with what they are. Good hunting to you.