Consumer complaint received 2021-12-04
Company: Paypal Holdings, Inc
Product: Money transfer, virtual currency, or money service
Sub-product: Mobile or digital wallet
Issue: Managing, opening, or closing your mobile wallet account

Complaint:
I have had a PayPal account since XXXX. I am a freelance writer in the XXXX. I receive US dollar payments from clients in the XXXX and XXXX. 
For years, I have been content to withdraw my earnings through PayPal directly to a local bank in the XXXX. PayPal automatically converts my dollars into Philippine pesos but at a low conversion rate, so I lose value. 
Just earlier this month, I opened a XXXX account. With this account, I obtained US bank account details. I also opened a US Dollar-denominated account in the Philippines. 
My intention was to withdraw my dollars from PayPal without PayPal converting my US dollars into Philippine pesos. In this way, I get full value for my money when I convert it into pesos when the exchange rate in my country is higher. 
On XX/XX/XXXX, initiated a test transfer of US {$50.00} ( Transaction ID XXXX ). I had previously added the XXXX account as a payment method and linked it as a bank account. PayPal even verified it. 
I understood that since the XXXX  was a US bank account number, the transaction will go through ACH. I should not even be charged for the transaction. And yet, PayPal charged me {$1.00}. 
I was told that the transfer will be completed on XX/XX/XXXX. On XX/XX/XXXX, I was informed that my XXXX account denied the transaction. So, I coordinated with XXXX. They never received it. They would not have denied it if it was XXXX. Through a long conversation with PayPal, I understood that it was PayPal that denied the transfer. 
They refused to transfer the PayPal balance in US dollars in my account to my US dollar account in XXXX. I suspect that it is because PayPal wants to earn money from the transaction. If I withdraw in US dollars through the XXXX, there should be no fee. But if PayPal only allows me to withdraw in Philippine pesos, PayPal will earn through th conversion fee charges. 
PayPal is requiring me to add a debit/credit card to my XXXX bank account so that I can withdraw in dollars. However, my XXXX bank account is a virtual account and th account number has 16 digits like a credit card. 
PayPal says that XXXX account does not exist and the branch in NY of XXXX does not exist. That was the initial reason for them denying the transfer even if the bank account belongs to me, virtual or not. They are both my accounts. And I only transferred {$50.00} to myself. 
PayPal says that the TransferWise US bank account details I had added as a payment method on PayPal is considered by PayPal as a " local '' account and PayPal will only allow transfers in my local currency ( Philippine pesos ).

I think this is unfair, stopping me from transferring my US dollars in PayPal ( where it doesn't pay interest ) to a US bank account or to a Dollar-denominated account in the XXXX.

I asked if I can wire transfer the dollar PayPal balance to myself but PayPal replied that I have a to place the transfer in Euros first. That would mean that PayPal will earn when it converts my dollars into euros and it will also earn when I transfer my dollars to myself.

PayPal 's policies are all meant to ensure that only PayPal earns. A PayPal user such as myself will not reap the value of my money. PayPal limits my options on how to use my money. PayPal is holding my US dollar balance captive. I can only withdraw my US dollar balance if I consent to PayPal converting it first. 
How is that fair? That is not fair.

Company response to consumer: Closed with explanation