Consumer complaint received 2025-10-06 00:00:00
Product: Prepaid card — General-purpose prepaid card
Issue: Unexpected or other fees — 
Company: Paypal Holdings, Inc
State: CA

Complaint narrative:
Retaliation by XXXX XXXX  CFPB was told by XXXX that they were still working on my case, but how can you work on a case that has been closed, and judgment already handed down by closing my PayPal account, which held and was used for my children, survivors benefits. When asked why this was done I was told by rep that I file XXXX many cases, I saw closure in a remedy to the over charges which was marked errors and then later I receive emails that said that there were no errors to simply XXXX in my account to be fixed When I couldnt seem to get a fix and there were strange going on and then turned to CFPB and I believe for doing that my account was close as they said I filed too many cases. My account was flagged and closed This is what I was told Over the phone. 




Subject : Critical Update XXXX  Account Closure and Misrepresentation To the Investigating XXXX : I am submitting new information to clarify the record regarding my complaint against XXXX ( XXXX XXXX XXXX  ). The company has provided misleading responses both to me and to the CFPB. Below is a factual timeline with attached evidence. 

Response to Complaint XXXX  XXXX XXXX. Pre-closure warnings Prior to XX/XX/year>, I sent written letters/emails to PayPal and XXXX informing XXXX that this prepaid account held my childrens Social Security XXXX XXXX. 
I warned that closing or restricting this account would severely harm my familys ability to maintain legal residency abroad and cover education costs. 
Despite this notice, they proceeded to close my account. 



XXXX. Closure of account On XX/XX/year>, XXXX formally closed my account ( ending in XXXX ) with a remaining balance of {$110.00}. 
They acknowledged the closure in writing, but gave me no legitimate reason for doing so. 



XXXX. Misrepresentation to me When I called customer service several times, I was told : That I had called and requested my account be closed. This is absolutely false. 
When I demanded to hear the alleged call recording, they refused. 
When pressed, they changed their story, claiming that if it wasnt me, then it was fraud, and we had to close the account. 
This shifting explanation first blaming me, then citing fraud without proof is contradictory and demonstrates bad faith handling of my account. 



XXXX. Misrepresentation to CFPB On XX/XX/year>, XXXX reported to the CFPB that they were still working on my complaint. 
This is false and misleading. By XX/XX/XXXX, my account had already been closed for XXXX weeks ( XX/XX/XXXX ). 
A company can not claim to be working on a closed account. This is a clear attempt to delay or obscure the true facts of the case. 



XXXX. Harm caused The retaliatory closure of my account has caused immediate and ongoing harm : Loss of access to my childrens Social Security survivor benefits, protected under 42 U.S.C. 407. 
Forced scrambling to try to reroute benefits, but too late to prevent damage. 
Expiration of my familys residency abroad because I could not pay required fees. 
Inability to purchase visas ( must be bought online ), leaving us stranded. 
Disruption of my childrens education funds. 
Severe financial hardship in meeting daily needs. 



XXXX. Request for action I respectfully request that CFPB : XXXX. Require XXXX to produce the alleged call recordings they claim prove I asked for account closure. 
XXXX. Require a full written explanation of why the account was closed despite prior notice that it held protected XXXX survivor benefits. 
XXXX. Investigate the contradiction between their CFPB report ( still working on XX/XX/XXXX ) and the actual closure on XX/XX/XXXX. 
XXXX. Compel the company to : Release all remaining funds immediately. 
Provide restitution/compensation for the financial harm caused to my family, given that this action knowingly endangered childrens federal benefits and left us without essential means of support. 



Closing Statement : This is not a routine service complaint. XXXX knowingly closed an account holding federal survivor benefits, misled both me and the CFPB, and caused direct financial harm to my familys legal residency that may not be recoverableand financial stability. Their contradictory explanations ( customer request vs. fraud ) and refusal to provide evidence demonstrate retaliation and deception. 

I request urgent intervention. 

Respectfully submitted, XXXX XXXX XXXX

Company response to consumer: Closed with explanation