Consumer complaint received 2026-04-20 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Unauthorized transactions or other transaction problem — 
Company: Paypal Holdings, Inc
State: NY

Complaint narrative:
Company : PayPal Issue Type : Unauthorized transfer / account takeover / improper denial of fraud claim Case ID : XXXX Complaint Summary : I am filing this complaint regarding PayPals refusal to properly investigate and reimburse unauthorized transfers from my account despite clear evidence of account takeover and unauthorized access. On XX/XX/year>, an unauthorized instant transfer using card occurred for {$640.00} ( Transaction ID : XXXX ). I did not authorize this transaction, did not initiate this withdrawal, and the destination debit card did not belong to me. I also identified additional suspicious activity involving a XXXX transfer connected to recipient XXXX XXXX and debit card ending in XXXX. I do not know this person and never authorized any payment or transfer involving him. At the same time, multiple unauthorized email address and phone number changes occurred on my PayPal account. These profile changes are direct indicators of account takeover and unauthorized access. Additionally, I received a legitimate class action settlement payment of approximately {$650.00} through XXXX via PayPal transfer. The payment was delivered to my PayPal account and was followed immediately by unauthorized withdrawal activity involving those same funds. This strongly suggests payment interception and unauthorized access. I reported the unauthorized activity promptly through PayPals Resolution Center and repeatedly requested reopening, reconsideration, and senior fraud review. Instead of addressing liability for the unauthorized transfers, PayPal repeatedly responded only by stating that my account had been permanently restricted and could no longer be used. I specifically clarified multiple times that I was not disputing the account restrictionI was disputing the unauthorized transfers. PayPal refused to provide : - the evidence used to conclude the transactions were authorized - an explanation of how transfers to unknown recipients and unknown debit cards were considered valid - a direct answer as to whether they were refusing to investigate reimbursement liability They ended support conversations without answering the fraud issue and treated account restriction as if it resolved liability. Restriction is not resolution. I am requesting : XXXX. Immediate reopening of the fraud investigation 2. Full review of login history, IP addresses, device IDs, and account profile changes 3. Review of all added/removed email addresses and phone numbers 4. Review of linked cards and destination debit cards used 5. Reversal and reimbursement of unauthorized transfers 6. Release of any remaining held account funds 7. Written explanation of how PayPal concluded these transactions were authorized despite clear fraud indicators Desired Resolution : I want PayPal to reopen the unauthorized transfer investigation, reverse and reimburse the unauthorized transactions, and provide a written explanation of the factual basis used to deny my fraud claim. I also want release of any funds being improperly held due to account restriction. Supporting Evidence Available : - Resolution Center screenshots- Transaction details and IDs - PayPal denial messages- Permanent restriction notices - XXXX transfer details- Settlement payment proof from Tremendous - Evidence of unauthorized profile changes - Chat support screenshots showing refusal to address liability I want PayPal to reopen the unauthorized transfer investigation, review the clear account takeover evidence, reverse and reimburse the unauthorized transfers, provide the factual basis for their denial, and release any remaining funds being held due to account restriction. PayPal repeatedly focused only on permanent account restriction while refusing to directly address liability for unauthorized transfers to unknown recipients and unknown debit cards. Restriction is not resolution.

Company response to consumer: Closed with monetary relief