Consumer complaint received 2021-05-17
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Confusing or missing disclosures — 
Company: Paypal Holdings, Inc (CO)

My issue is with PAYPAL and VENMO. I recently opened a business account with PAYPAL because I started a new business. I got the necessary tax ID and made it a legit company because I want to to it the right way. I used PAYPAL to accept payments and to purchase business related items. A couple times I had customers state they had not PAYPAL account and they would like to use VENMO. I allowed that and would then create an invoice and transfer those funds to PAYPAL and settle the invoice. 

The email came from PAYPAL and then VENMO stating I was no longer able to use either service. VENMO just said they reviewed my activity and decided to discontinue my use of their service ... PERMANANTLY. PAYPAL send a second email stating that they found I violated a user terms. Here is part of their message " After a review of your account activity, we've determined that you're in violation of PayPal 's Acceptable Use Policy. Specifically, the sale of ammunition, firearms, or firearm parts or accessories. As a result, your account has been permanently limited and you won't be able to conduct any further business using PayPal. '' Where it says " Specifically, the sale of ammunition, firearms, or firearm parts or accessories '' is where the issue lies. I sell one thing. There are several styles of that one thing and none of them are ammunition, firearms, or firearm parts or accessories. I sell knives. Hand made " EDC '' ( every day carry ) pocket knives and kitchen knives. Clearly NOT ammunition, firearms, firearm parts or accessories. 

There is a section that speaks to knives but it is a bit unclear and what I get from their policy is that they can not be illegal knives. Here is the only line I can find regarding selling knives " or ( k ) certain weapons or knives regulated under applicable law. '' When I contacted PAYPAL via chat, their BOT says there are no agents available. This is during their operating hours even. So they are avoiding my need to understand the problem. I called on the phone and got a nice lady who verified I was banned from PAYPAL. I tried to explain that the reason they gave for banning me was not accurate and my displeasure with being banned without being given a chance to explain or defend myself. She was not able to help me. She said " Maybe it was a combat knife? '' I explained that I don't sell " Combat knives ''. I sell legal pocket knives and kitchen knives. She continued to say she couldn't help me. 

I asked to speak with a supervisor and she put me on hold for 5 minutes, came back and explained she was transferring me to a supervisor but that I should be aware of what to expect when I talk to said supervisor. She said " I'll transfer you to the supervisor but just know the outcome will not change. '' WOW, so even though PAYPAL IS WRONG in this case, it doesn't matter, you can never use PAYPAL again. I ended up on hold for 20 more minutes and was disconnected and never got the chance to speak to that supervisor. 

Using PAYPAL is risky. They have my money and will not give it to me for 180 days. I even had transferred money from my bank account a couple days before this happened and boy they let it go through ... but no, I can't have it back. Sounds shady and scummy as a business to handle issues like this. Even if they let me back ( Which they won't ) I will never use paypal again. Not to purchase anything or accept payment from anyone. Too risky. 

SAME WITH VENMO. They won't even tell me what they think I did wrong to violate their terms. I tried several times on email to get an explanation and they only said they determined my activities were in violation. What a scam. 

I've attached my website " About '' statement so you can see I don't sell weapons. I sell tools.