Consumer complaint received 2023-05-29
Company: Paypal Holdings, Inc
State: CO
Product: Money transfer, virtual currency, or money service
Sub-product: Mobile or digital wallet
Issue: Unauthorized transactions or other transaction problem

Complaint:
Dear reader, I hope you are doing well. The subject of my complaint is " PayPal Holding {$600.00} and Refusing to Send to Recipient or Cancel Payment. '' On XX/XX/2023, I initiated a friends-and-family payment on PayPal to my partner and roommate PERSON A for {$600.00} with the note PERSON B the cleaner only takes XXXX!! ", which PayPal flagged for review and still has not sent to the intended recipient PERSON A as of XX/XX/2023, over 2 months later. 

The reason PayPal has not completed the payment is because I accidentally mentioned another individuals name in the note with the payment ( PERSON B ), and PayPal now demands the birthdate of that unrelated individual who is not associated with the payment and is not receiving the money. I do not have that individual ( PERSON B ) s birthdate and I am unable to provide that information. 
PERSON A and I have a multi-year history of sending one another money using PayPal due to our history as partners and roommates. With this particular transaction, I accidentally copied another persons name ( PERSON B ) into the message associated with the payment. 

Since the payment was initiated, PayPal has refused to complete the payment or cancel it because On XX/XX/2023, you sent a payment for the amount of {$600.00} for " PERSON B the cleaner only takes XXXX!!. '' Please provide the following information : The date of birth for PERSON B... This hold can not be removed until PayPal receives the requested information that will enable us to ensure our compliance with our regulatory obligations. 

Over the past two months, I have tried collaborating with PayPal in multiple ways to resolve this issue. I have tried collaborating with PayPal to resolve this issue by offering to provide the intended recipients birth date ( PERSON A ) since he already has a PayPal account and has previously provided PayPal with his Personal Identifiable Information ( PII ). PayPal informed me that would not work. 

I have also tried to collaborate with PayPal by offering that PayPal simply cancel the payment and refund me. I have requested that PayPal explain what regulatory obligations require them to obtain the birth date and PII of an unrelated individual who may not hold an account with PayPal, and PayPal refused to give rationale or even the name of the regulation they may be supporting. 

I have told PayPal multiple times that the individual whose birth date they are demanding is not associated with the payment and is not receiving the payment. I can not provide PayPal with the PII and birth date of this individual, who is not associated with the payment. I have asked PayPal to provide more information on why that individuals PII is required for the payment to complete and PayPal is unable to answer. 

Although PayPal claims the only impact on my account is that I am unable to close my account, the other impact is that PayPal has effectively stolen {$600.00} from me and refuses to send that payment to the intended recipient or return it to me. 

I believe a fair resolution to this complaint would be for PayPal to cancel the payment and refund me the {$600.00}, or for PayPal to complete the review and send the payment of {$600.00} to PERSON A ( the intended recipient ).

Company response to consumer: Closed with non-monetary relief