Consumer complaint received 2023-07-17
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Unauthorized transactions or other transaction problem — 
Company: Paypal Holdings, Inc (VA)

Dear CFPB Team, I am writing this letter to file a formal complaint against PayPal for their unfair and unjust treatment towards me as a user of their platform. The purpose of this complaint is to bring to your attention the egregious actions taken by PayPal, including closing multiple disputes in my favor, confirming receipt of echecks from the merchant, sharing timelines for payments on more than one occasion, but subsequently limiting my account and refusing to refund the disputes to my credit cards. 

Despite having written proof from several PayPal agents in the Messaging Center, along with multiple supervisors/managers over the phone acknowledging the validity of my disputes and ruling in my favor, they have unjustly withheld the funds from my credit cards, leading to unwarranted financial hardships including thousands of dollars in interest fees and unneeded stress in an already chaotic life. This refusal to return the disputed amounts to my credit cards is not only ethically questionable, but also in violation of PayPal 's own policies and the Consumer Financial Protection Bureau 's guidelines. 

During my most recent call ( XX/XX/XXXX ), an agent and supervisor both refused to share which organization ( s ) is/are responsible for overseeing them as a financial institution. Instead, they insisted that I write a letter ( no phone number and no email address available ) to the Legal Department while refusing to accept my requests to escalate this situation to a higher level within the organization. After numerous attempts to resolve this matter with PayPal directly through their customer support channels, the responses continue to be evasive, and I have not received a satisfactory resolution to my complaint. Their lack of transparency and unwillingness to address my concerns have left me with no other option but to seek assistance from an external regulatory authority, such as the Consumer Financial Protection Bureau. 

Sometime after the most recent message assuring me that the disputes were closed in my favor ( XX/XX/XXXX ) and would post to my credit cards in 3-5 business days, PayPal abruptly placed limitations on my account without any warning or explanation. This limitation has severely restricted my ability to use the platform for essential transactions and access my disputed funds. Despite numerous attempts to reach out to PayPal 's customer support, I have received only generic and unhelpful responses, with no resolution or clear reasons for the account limitation. Prior to the account limitation, I had initiated several disputes regarding purchases from a merchant that was unable to fill and ship my orders on my PayPal account. To my dismay, PayPal initially sided with me on these disputes and closed them in my favor. However, instead of promptly refunding the disputed amounts to my credit cards, PayPal instead placed a limitation on my account and offered no clarity pertaining to the limitation, exacerbating the financial strain. The final straw was the supervisor on XX/XX/XXXX telling me they would be happy to release the funds to my credit card company, but are unwilling to offer any actionable insights to the consumer with a 20+ year PayPal account. 

PayPal 's actions have been unjust, unfair, and contrary to the principles of transparency and consumer protection. I urge the Consumer Financial Protection Bureau to investigate this matter thoroughly and take appropriate actions against PayPal to ensure fair treatment of its users and compliance with relevant regulations. 

I will happily share any supporting documentation requested, including transaction records, communication with PayPal customer support, and any other relevant evidence, to substantiate my complaint. 

Best.