StormPay Closing

[Matt]

It has been alleged that StormPay's credit card merchant account has been suspended as a result of accepting payment for merchants who provide products and services that are questionable under that bank's policies and as a result it has caused an alleged "run on the bank" with StormPay unable to payout tens of millions owed on pending withdrawls.

It has been further alleged that they have been freezing accounts on obscure and possibly non-existant TOS violations in order to try to stop this "run on the bank." More serious allegeations go as far as to claim that StormPay was seen moving their office into UHAUL trucks just a couple days ago.

The general concensus among members is that any funds currently in StormPay accounts will not actually materialize if one attempts to withdraw.

None of this is confirmed to be proof, it is very clear that something very unsettling is going on over there as they've turned off the ability to fund accounts via credit card and canceled recent transactions funded by credit card.

For more information see: http://www.webhostingtalk.com/showthread.php?t=484006

Matt

[Roger]

I don't use StormPay myself but interestingly these guys are only about a 1 1/2 hour drive from me.

I do have some friends that were burned in the Ponzi scheme though.

[rjnsmith]

I use stormpay. I have over $1,000 in my account. I dont know what to do since There website has been down for days, and people are saying they declared bankruptcy! This is going to hurt my business really bad if they do close down.

[ppcomputers]

They seem to be getting back to normal now. They claim that everything is ok, and payments have started to be sent out again. I've checked on a few forums and people have been recieving payments over the last couple of days.

It all seemed to start when they closed accounts of people running 'Ponzi schemes', one main one being 12daily, and then DDOS attacks were launched agaisn't them, and rumours spread.

I will continue using Stormpay and believe they are returning back to normal now.

[Roger]

Well... like I said, I don't use them. I don't have a dawg in this hunt, but I've seen the BBB reports and the Law Suit that the Tennessee Attorney general has brought againest them and their owner(s). Be cautious.