Consumer complaint received 2026-05-12 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

Complaint narrative:
I am filing this complaint regarding my PayPal account. There has been some concerning updates after i last made my complaint. My account has been repeatedly restricted and ultimately permanently limited multiple times with inconsistent and conflicting explanations, resulting in my funds being withheld without clear justification. I use my PayPal account to receive small payments for legitimate and legal digital services ( tarot readings ), and all transactions are consistent with this activity. I am also a registered soleproprietor in my country. This is my only PayPal account. I have never created or used any other PayPal account. TIMELINE OF EVENTS : XX/XX/XXXX : My account was initially limited due to unusual activity related to the movement of funds that could not be verified. My funds were placed on a 180-day hold. I was subsequently requested to submit identity verification documents and information about my business activities, which I fully provided. I complied with all requested documentation. After submission, I was informed that my appeal would be reviewed within approximately 35 days. XX/XX/XXXX : Despite my cooperation, my account was escalated to a permanent limitation. Contrary to the first permanent limitation, this time The stated reason changed to an allegation that my account was linked to another PayPal account with unresolved issues. This was the first time this reason was introduced. I was also informed again that my funds would be held for 180 days. However, when contacting support by email and escalation channels, I received conflicting information stating the account was still under review. This was confusing. XX/XX/XXXX : The permanent limitation was unexpectedly lifted. I was then asked to provide additional documentation, including proof of fulfillment, bank statements, supplier information, and transaction-level details, with a deadline of XX/XX/XXXX. At this stage, I had not yet submitted the additional requested documentation. XX/XX/XXXX : Without any new activity or submissions from my side, my account was again placed under permanent limitation. The reason provided was again a link to another PayPal account with unresolved issues, despite no evidence being provided and no clarification of any such account. My funds remain subject to a XXXX hold. CORE CONCERNS : 1. Inconsistent and shifting justifications : The reason for limitation has changed multiple times ( unverified activity, account review, alleged linked account, permanent limitation ), without a stable or substantiated explanation. The limitation also seemed to be placed randomly. 2. Unsupported allegation of a linked account : PayPal has repeatedly claimed my account is linked to another account with unresolved issues. I do not have any other PayPal accounts. No evidence, identifiers, or details have been provided to support this claim. 3. Contradictory account status communication : My account has been described at different times as under review, temporarily restored, and permanently limited, without explanation of how these statuses relate or override one another. 4. Lack of transparency and due process : No clear, consistent explanation or evidence has been provided to justify the repeated enforcement actions or the final permanent limitation decision. 5. Withholding of funds under extended hold : My funds have been placed under a XXXXXXXXXXXX hold while the justification for limitation has changed multiple times. These funds represent legitimate earnings from providing legal digital services ( tarot readings ). 6. Potential system or classification error : The repeated linked account flag despite my sole account raises concern that automated systems or inaccurate internal risk classification may be involved without proper verification. IMPACT : This situation has caused financial distress, uncertainty, and inability to access legitimately earned funds. Despite full cooperation and compliance, I have not received a clear resolution path or consistent explanation. If this continues, i may consider taking legal actions against PayPal. REQUEST : I respectfully request : 1. A clear and detailed explanation of the alleged linked account, including any identifiers or evidence 2. A full manual review of all account limitation decisions 3. Correction of the linked-account determination if it is inaccurate 4. Clarification of the current status and exact release conditions of my funds 5. Reconsideration of the permanent limitation if based on unverified or incorrect information 6. Fund release since i have not had any chargebacks or disputes I remain willing to provide any additional documentation required to verify my identity and account activity. Sincerely, XXXX XXXX XXXX XXXX PayPal Account Email : XXXX XXXX

Company response to consumer: Closed with explanation