Product: Money transfer, virtual currency, or money service

On XX/XX/2018, I noted an unauthorized {$1.00} ACH debit on my personal checking account from Paypal. I contacted Paypal by telephone. 

First, the representative ( located in XXXX ) could not find any transaction activity in MY Paypal account. And my Paypal account didn't have the information for the checking account that was debited. She finally concluded it was a possible fraud - Someone using money from my personal checking account for their purchase. I requested a supervisor and was disconnected. 

After going through the whole Paypal contact process again, I was referred to a " Limitations Team '' which handles unauthorized transactions. The representative couldn't help and I was referred to a supervisor, who required I provide my personal checking account information to check further. I did so and she located the {$1.00} transfer by one " XXXX XXXX '' using my bank account. The Limitation Account representative couldn't explain how Paypal opened a Paypal account for another person using my bank account number and did NOT perform any verification of ownership of the bank account, not even the checking account name. The representative did say that they had now blocked my checking account from any Paypal transactions and would refer the fraud Paypal account for law enforcement review. 

As recommended by Paypal, I then had to go into my bank and close my personal checking account, reopen another. 

On XX/XX/2018, I called Paypal to verify referral to law enforcement. The representative referred me to the " Back Office Team '' which can not be accessed or connected to by phone. She said she would send me an e-mail with assistance information. I received the e-mail which said to log in to the Message Center. I did so and was notified that any further information would only be provided by subpoena or to my lawyer. So the referral to the Back Office Team was a plain out lie to get me off the phone, there was no intention to assist me further.

Two Issues to Resolve : 1 ) Paypal continues to open Paypal accounts with NO verification that the bank account provided by the account opener is valid or belongs to that person. Anyone can open a Paypal using any bank account number they might obtain and commit frauds. 

This only stops when the innocent real bank account owner spots the fraud transaction ( s ) ( I note that not many people regularly check their bank account, many only do so monthly when they get their statement ) and goes through the hassle of stopping activity at both Paypal and at their personal bank and filing a fraud claim at their bank to recover the funds taken by fraud ACH. If the fraud victim didn't know about the monies fraudulently taken, they might also suffer return items, adverse actions and costs by the parties to who checks were written, and extra fees by their bank. 

2 ) Paypal refuses to communicate to verify that they have, as claimed, referred the attempted fraud on my personal banking account to law enforcement for appropriate consideration. 

The innocent fraud victim apparently must take Paypal 's word that Paypal has properly notified law enforcement. Given how Paypal carelessly and willfully opens fraud accounts in the first place, such victims are not likely to find Paypal credible.