Consumer complaint received 2022-02-16
Product: Credit card or prepaid card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Other problem
Company: Paypal Holdings, Inc

Complaint:
This is a follow up to my previous complaint submitted to the CFPB regarding PayPal , Inc . The CFPB closed my complaint before it was full resolved by PayPal. I submitted feedback via the CFPB portal and the complaint was subsequently closed. I would like PayPal to address my concerns in the feedback below. As a top priority, I would like PayPal to address how my PayPal Cash Debit Card was approved to exceed the spending and withdrawal limits that PayPal places on these cards? This allowed my stolen card that was linked to my bank account to completely drain the total amount in my checking and savings accounts and cause me extreme financial distress. 

ADDITIONAL COMMENTS This has been a better explanation than the multitude of back and forth emails from PayPal agents as they have advised that it was declined due to it being '' personal payments '' and those by definition are not covered by PayPal as part of their consumer protection efforts. I am concerned that this explanation provided from the CFPB complaint differs from what is being provided by the PayPal employees I am communicating with. Why would that differ? I am also concerned that the following statement provided by PayPal to the CFPB, " We made this decision because your login activity remained consistent before, at the time, and after the Payments were initiated. " is the now " actual '' reason for denial. What exactly does this reason mean? I am a PayPal customer and frequently use the app and website on several devices and I am unclear as to what that has to do with denying my claim when my belongings and identification when I was traveling and staying at a XXXX XXXX. I am also concerned that the unauthorized charges that occurred on my PayPal Debit Card far exceeded the withdrawal and daily spending limits that PayPal puts on this particular card offering. How did those limits get exceeded and my bank account drained in the process? 
I UNDERSTAND THE COMPANYS RESPONSE TO MY COMPLAINT No ADDITIONAL COMMENTS My concern/ confusion stems from the explanation provided by PayPal via this CFPB complaint forum and how it differs from what is being provided by the PayPal employees/ agents that I am communicating with. Why would that differ? I am also concerned that the following statement provided by PayPal to the CFPB, " We made this decision because your login activity remained consistent before, at the time, and after the Payments were initiated. " is the now " actual '' reason for denial. What exactly does this reason mean? 
THE COMPANY DID WHAT THEY SAID THEY WOULD DO WITH MY COMPLAINT Yes ADDITIONAL COMMENTS I believe the company has followed their protocols, but I do not believe they are taking a deeper look at this as an abnormal situation that may need to be reviewed to help the customer and do what is in the best interest of the customer. AND I am concerned that they are following what appears to be strict protocols on denying my claim but when it comes to following their own protocols that provides spending and withdrawal limits on the card offering I am a holder of and the one that was compromised it seems to be nonexistent. What I mean by that is that the amount of funds exhausted through this particular card offering grossly exceeded the limits that PayPal sets on this product. How does that happen? 
What happens now? 
The complaint process is complete and your complaint is now closed. 

We have taken the following additional actions on your complaint : We added your complaint to the CFPBs Consumer Complaint Database. 
Your feedback, and feedback from others, helps us understand how companies are addressing concerns raised by consumers in their complaints. We will also share your feedback with the company. 
We have also shared your complaint with the Federal Trade Commission, which will add your complaint to its database for state and federal law enforcement agencies. 
We appreciate your participation in the complaint process and your feedback on the companys response. Both are important to us and consumers who may have similar issues and concerns.

Company response to consumer: Closed with explanation