Consumer complaint received 2025-07-21 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Managing, opening, or closing your mobile wallet account — 
Company: Paypal Holdings, Inc

Complaint narrative:
I am filing this complaint against PayPal for unfair account closure, misrepresentation, and financial harm resulting from inconsistent enforcement of their policies. 
This all started on XX/XX/XXXX when I received {$350.00} into my account, and 25 minutes later, PayPal asked to review my account by sending them proof of my business, identity, and why I received the {$350.00} transaction. I complied, and soon my account was under review. I was surprised to get a message from PayPal on XX/XX/XXXX at XXXX XXXX stating that my account was permanently deactivated, with the reason being an " underage person at the time of creation, '' and a " resident of a country where PayPal doesn't accept customers yet. '' I was horrified by this message, considering both aspects were false. The fact that I was operating a PayPal account means it was operational in my country, aside from being listed on its website as a member country. Subsequently, my national ID proves otherwise about my age ( born in the XXXX ), and I was nowhere near underage at the time of account creation ( XXXX ). I reached out to PayPal 's customer care, which was of no help until XX/XX/XXXX, when I spoke to their customer care on the phone, and they confirmed that my situation may have been erroneous. They sent me a link to which I sent them a copy of my ID. I never received any messages until XX/XX/XXXX when I finally got through to their customer care agents. The agent never rectified the situation and insisted that my account was permanently limited. Thats when I decided to file a complaint with the XXXX XXXX XXXX ( XXXX  ) on XX/XX/XXXX, reporting PayPals actions. 

I received a reply from XXXX  regarding the matter on XXXX XX/XX/XXXX. The message from XXXX  from PayPal stated that the concerned PayPal office did not cover my region, and I was asked to report to the relevant PayPal offices. At XXXXXXXX XXXX on XX/XX/XXXX, the same day, I got another message from PayPal at XXXX XXXX XXXX. The message said that the ban on my account could not be lifted following a high level of risk associated with my account. The message also claimed that on the XX/XX/XXXX, I had used an anonymizing service to access my account- a fact I know to be false. As can be seen from their response, PayPal now changed the reasoning behind my account closure, which was initially listed as age and region issues. I rejected PayPals response on XX/XX/XXXX on the XXXX  portal. I then asked PayPal for accountability and transparency, following their decision to close my account following age and region issues only for them to switch to my business/nature of services I offer being of high risk. On XX/XX/XXXX PayPal responded with a message acknowledging that I was indeed of age and in a region where they operate, and stating that the primary reasoning behind my account closure was a communication misunderstanding, but my account would still remain closed. 

On XX/XX/XXXX, I wrote to PayPal that if a limitation on my account was not possible, then compensation should suffice, following the financial loss I incurred at the time of their negligence. ( PayPal cost me the business of the {$350.00} client, who decided to seek other services following the inconsistencies in the payment plan, and PayPal inconsistencies ). PayPal also declined this request on XX/XX/XXXX, citing their user agreement, which says they dont cover such losses. They have since offered their last statement today, XX/XX/XXXX, saying that their decision is final, and Ill no longer receive any more responses from them. It is evident that PayPal has not only acted in bad faith in their business practice, but also defamed me.

Company response to consumer: Closed with explanation