Consumer complaint received 2026-06-06 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Trouble accessing funds in your mobile or digital wallet — 
Company: Paypal Holdings, Inc
State: GA

Complaint narrative:
This complaint involves the predatory, arbitrary, and unjustified retention of consumer funds by PayPal , Inc. acting as a money service provider and digital wallet platform. The company has instituted an arbitrary 21-day hold on a high-value transaction authorized for completed, manual construction labor. Despite exhaustive identity verification by both parties, explicit verification of service completion, and written acknowledgment of full document compliance from the company 's executive office, the company refuses to release the funds, causing severe financial hardship. Chronology of Events and Actions Taken XX/XX/year> ( Transaction Execution ) : The sender authorized a payment of {$6200.00} USD via a premium credit card to an independent contractor for completed physical construction services. Bank Clearance : The funding credit card bank fully cleared and released the {$6200.00} USD to the company immediately. The bank flagged zero fraudulent activity, and the sender explicitly confirmed the legitimacy of the payment. The Hold : The company placed an automated 21-day restriction on the funds, blocking availability to the manual laborer until XXXX XX/XX/year>. XX/XX/year> ( Deceptive Customer Support ) : The sender contacted customer support via the company 's official automated chat assistant. The assistant explicitly misinformed the consumer, stating in writing that there was " no hold on these funds from PayPal 's side '' and falsely claiming the delay was caused by the recipient 's bank. This misdirection actively impeded the consumer 's ability to seek timely recourse. Identity Verification Compliance : The sender and the recipient successfully completed multi-factor identity verification at least four separate times via phone and email channels directly linked to the accounts. The recipient also submitted all requested compliance documentation twice. XX/XX/year> ( Executive Acknowledgment ) : A representative from the company 's Office of Global Customer Complaints and Advocacy confirmed in writing via secure messages that the recipient 's documents were " successfully submitted on his end '' and had been escalated to the relevant internal department for final review. XX/XX/year> ( Contradictory Corporate Escalation ) : A different representative from the executive escalation team issued a contradictory written update, claiming the account was still " under review '' and that they were " actively in communication with the other party to move this forward. '' This directly contradicts the XX/XX/XXXX written confirmation that full document compliance had already been achieved. Administrative Failure and Consumer Harm The company 's front-line systems have provided verifiably false information regarding the status of funds, and its internal compliance departments are utilizing contradictory boilerplate stall tactics to run out the clock on an executive-escalated case. The funding bank has paid the company, the consumer has verified the manual labor was completed perfectly, and both accounts have undergone extensive identity matching. The company has no legal or risk-based pretext to hold these liquid funds.

Company response to consumer: Closed with monetary relief