Consumer complaint received 2026-06-10 00:00:00
Product: Money transfer, virtual currency, or money service — Domestic (US) money transfer
Issue: Other transaction problem — 
Company: Paypal Holdings, Inc
State: OH

Complaint narrative:
I am filing this complaint against PayPal , Inc. ( XXXX ), which operates as a licensed money transmitter ( XXXX XXXX : XXXX ). XXXX has permanently deactivated my account without providing a specific explanation, and is holding {$390.00} of my funds for up to XXXX days without identifying any chargeback, legal hold, claim, or policy violation that applies to those funds. Chronology of Events XX/XX/year> : I received an unsolicited {$25.00} XXXX payment from an account named XXXX XXXX which I did not request and do not recognize. The payment was reversed the same day. I believe XXXX XXXX was impersonating a legitimate charity, XXXX XXXX. I was the passive recipient of this transaction and took no action to initiate or retain it. XX/XX/year> : XXXX sent me a suspension notice stating that " unusual activity '' linked to my account " may be in violation '' of its user agreement, and asked me to submit photo identification. XX/XX/year> : Even though I sent XXXX my Ohio identification, XXXX sent a second email ( Case # XXXX ) stating that my account " is not eligible for reactivation due to several concerns regarding your activity '' and that my funds would be held for up to XXXX days. Venmo also stated that " any future contact or inquiries will not be answered. '' XX/XX/year> : I replied requesting a specific explanation and escalation. I did not receive a substantive response. XX/XX/year> XXXX XXXX responded with a form message citing its " sole discretion '' clause from its User Agreement, but did not identify any specific transaction, date, or policy provision at issue. XX/XX/year> : I submitted a formal written appeal identifying the only suspicious activity I could find the unsolicited {$25.00} payment from XXXX XXXX and noted that this transaction had already been reversed. I requested a human review, reinstatement if no violation was found, and release of my funds. I received only an automated acknowledgment. As of XX/XX/year> : XXXX has not provided a substantive response to my appeal. My {$390.00} balance remains held. Specific Concerns XXXX has not identified any specific transaction, date, policy provision, or user agreement violation that forms the basis for my account closure. XXXX has not explained why my {$390.00} balance is being withheld, or whether it is subject to any chargeback, claim, lien, or legal restriction. To my knowledge, no such restriction exists. I did not initiate the suspicious {$25.00} transaction. It was sent to me by an unknown XXXX party and was reversed. I am not aware of how I could be held responsible for receiving and returning an unsolicited payment. My account was used only for permitted personal payments, transfers with friends and family, and transfers to external linked accounts. I have used XXXX for years without prior issues. XXXX has stated it will not answer further inquiries, effectively preventing me from resolving this matter through normal customer service channels. I am fully willing to submit identity verification documents or cooperate with any legitimate review. XXXX XXXX XXXX XXXX XXXXXXXX is the relevant support ticket. I have attached supporting documentation.

Company response to consumer: Closed with non-monetary relief