Consumer complaint received 2024-11-28 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: WA

Complaint narrative:
Subject : Complaint Regarding PayPal Inc . Mismanagement of Account, Incorrect Debt Collection, and Unjust Adjustment Dear Sir/Madam, I am writing to file a formal complaint against PayPal Inc. regarding an unjust account adjustment and subsequent debt collection that has been initiated against me for a debt that is not mine. Despite my full payment and return of a generator, PayPal has wrongfully involved itself in a transaction with no legitimate basis. The circumstances are as follows : 1. Original Purchase On XX/XX/year>, I purchased a generator from XXXX XXXX XXXX ( XXXX ) using a prepaid XXXX XXXX that was specifically for this one-time online transaction. XXXX XXXX was purchased, and I received an email confirmation from XXXX, indicating that I could pick up the item the following day. 

XXXX XXXX XXXX XXXXXXXX XXXX XX/XX/year>, I received an email confirming that the generator was ready for pickup. I personally went to XXXX, where I was required to show my ID and the email confirmation as proof to collect the generator. My name was listed as the designated pickup person on the confirmation receipt. 

XXXX XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/year>, I returned the generator to XXXX for a full refund of {$550.00}, as per XXXX 's Returns & Refunds Policy, which states that items purchased online can be returned to any XXXX store for a full refund within 30 days with proof of purchase. While XXXX initially wanted to refund the purchase to the original debit card used, I explained that the original payment method was a temporary prepaid card, which could not accept the refund. Since XXXX did not have {$550.00} in cash, they asked me to provide an alternative debit card for the refund. I gave them my PayPal debit card, despite PayPal having no involvement whatsoever in the original purchase. 

4. Refund Issued to PayPal Debit Card XXXX issued the refund to my PayPal debit card, Transaction ID : XXXX, in the amount of {$550.00} on XX/XX/year>. The transaction was completed in accordance with XXXXXXXX XXXX  policy, and I did not authorize or initiate any further action regarding this refund. 

5. PayPal 's Erroneous Adjustment Over a month later, I noticed a negative balance of {$550.00} on my PayPal account, labeled as an " adjustment '' initiated by PayPal Inc. on XX/XX/year> ( Transaction ID : XXXX ). This was the same amount that XXXX had refunded to my PayPal debit card. I contacted PayPal to dispute this charge and was informed that the refund had been issued to the original payment method. Upon clarification, I explained that the original payment method was CASH, not a debit card. PayPal then claimed that XXXX had issued a second refund for the same return elsewhere, despite the fact that XXXX 's return policy explicitly states that no refund would be issued without the product being returned first. 

PayPal has been uncooperative in resolving this matter and has insisted that XXXX showed the second refund as having occurred before the original refund to my PayPal debit card. This is contradictory to XXXX 's return policy and my experience. 

6. Unjust Debt Collection Despite all the above evidence, PayPal has failed to address my dispute adequately and instead sent my account to collections for the payment of {$550.00}. I am frustrated and upset that PayPal has escalated this matter without resolving the issue or verifying the facts of the transaction. 

This debt does not belong to me, and I demand immediate action to remove any negative marks or collections related to this issue. PayPals actions have caused me significant distress and inconvenience. If this matter is not resolved promptly, I will pursue legal action to clear my name and hold PayPal accountable. 

I appreciate your attention to this serious issue and request that you assist in resolving this matter as quickly as possible. I am prepared to bring this case to court if necessary, as I will not accept liability for a debt that is not mine. 

Thank you for your time and support.

Company response to consumer: Closed with non-monetary relief