Consumer complaint received 2025-10-21 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: NJ

Complaint narrative:
On XX/XX/year>, PayPal processed a preauthorized payment of {$120.00} to XXXX on my behalf. My account had insufficient funds at the time, so PayPal fronted this amount. 
XXXX issued a refund of {$61.00}, which PayPal immediately placed on hold, stating they would retain it until they recouped the {$120.00} they had fronted. 
On XX/XX/year> at XXXX XXXX, PayPal successfully debited the full {$120.00} from my linked bank account. I have bank statements proving this transaction cleared on XX/XX/XXXX. Despite PayPal fully recouping their funds XXXX days ago, they continue to hold my {$61.00} refund. 
I have made XXXX phone calls to PayPal over the past 11 days, spending over XXXX hours total on the phone : Calls XXXX : Representatives " XXXX '' and another refused to acknowledge the XX/XX/XXXX debit had cleared, despite it showing in their system. 
Call XXXX : XXXX " XXXX '' promised funds would be released by Friday, XX/XX/XXXX before XXXX PM. This did not happen. 
Calls XXXX : Follow-up calls after the broken promise. 
Call XXXX ( XX/XX/XXXX ) : Representative " XXXX '' told me to " manage my expectations '' and transferred me to a XXXX. The XXXX picked up the phone, said nothing despite my repeated attempts to communicate ( " hello? hello? " ), put me back on hold, and after XXXX hours total on hold, disconnected the call. 
Call XXXX ( XX/XX/XXXX ) : I also sent a comprehensive message through PayPal 's chat system requesting immediate resolution. I asked for a live agent multiple times. PayPal completely ignored my chat messages and never responded. 
Call XXXX ( XX/XX/XXXX, today ) : A PayPal representative told me that XXXX never sent the first {$61.00} refund. This is a LIE. I have PayPal 's own transaction records showing the payment as " Completed '' with Transaction ID XXXX, clearly showing {$61.00} from HomeChef to my account. 
Meanwhile, XXXX issued a SECOND refund of {$61.00} ( correcting their initial amount ), which PayPal released to me IMMEDIATELY with no hold period. Why was the second refund released instantly while the first refund remains held when PayPal has been fully repaid? 
This was my food money for Friday night. My daughter was at a wedding and I had no way to buy food on Friday night, which means we didn't have anything to eat until Saturday morning. I am XXXX XXXX XXXX and have become physically ill from the stress of being ignored and lied to for 11 days while PayPal holds money that belongs to me after being fully repaid on XX/XX/XXXX. 
UPDATE - XX/XX/XXXX, later today : After submitting my chat complaint, PayPal called me back. I spoke with representative " XXXX. '' After explaining the entire situation through tears, I asked who could handle a complaint that he couldn't handle. He told me there is nobody else in the entire company who can handle this complaint. I then said " so just screw the customer? '' and he responded " yes, that's correct. '' This represents PayPal 's complete contempt for their customers and demonstrates why I have no choice but to file this federal complaint. 
I need my {$61.00} released immediately. There is no legitimate reason to continue holding these funds.

Company response to consumer: Closed with explanation