Consumer complaint received 2025-02-11 00:00:00
Product: Debt collection — Other debt
Issue: False statements or representation — Attempted to collect wrong amount
Company: Paypal Holdings, Inc
State: AZ

Complaint narrative:
On XX/XX/year>, at XXXXXX/XX/XXXX I received an email confirmation from XXXX XXXX stating that my order was successfully canceled. Despite this confirmation, PayPal still processed the charge and withdrew {$2400.00} from my account, ultimately reversing the payment and pushing my account into the negative on XX/XX/year>, at XXXXXX/XX/XXXX 

XXXX of My Dispute Attempts : Since PayPal wrongly withdrew the funds despite clear proof of cancellation, I began the dispute process immediately. I contacted PayPal multiple times on the following dates : XX/XX/year>, at XXXX XX/XX/XXXX Initial dispute submitted. 

XX/XX/XXXX- XX/XX/year> Follow-ups with PayPal, XXXX that I had proof of cancellation. 

XX/XX/year> Further communication with PayPal. 

XX/XX/XXXX- XX/XX/year> Additional dispute escalations. 

XX/XX/year> Submitted supporting documents again. 

XX/XX/year> PayPal falsely sided with XXXX XXXX, claiming the package was delivered, ignoring my cancellation request. 

XX/XX/year> Follow-up communication seeking resolution. 

XX/XX/year> I even spoke to a detective and provided all my evidence, yet PayPal continued to deny my claim. 

Why PayPal is at Fault : 1. Failure to Acknowledge Cancellation- I have email proof from XXXX XXXX confirming the cancellation. 
- PayPal processed the charge anyway, causing financial harm. 

2. Denial of My Claim Despite Evidence - I provided written proof of my cancellation. 
- I attempted to upload an audio recording of a XXXX XXXX representative confirming my order was canceled, but PayPal does not allow audio file uploads. 
- PayPal ignored the cancellation confirmation and instead relied on XXXX Buys claim that the package was " delivered. '' 3. Unfair and Deceptive Business Practices - Under Federal Trade Commission ( FTC ) guidelines, a company can not refuse to refund a canceled order if the cancellation occurred before shipment. 
- PayPal acted negligently by allowing XXXX XXXX to push through a fraudulent charge. 
I was wrongfully sent to collections because of XXXX failure to handle this issue properly. 

Consumer Protection Laws Violated by PayPal : 1. Fair Credit Billing Act ( FCBA ) 15 U.S.C. 1666 - PayPal failed to correct a billing error even after I provided sufficient proof of cancellation.

2. Electronic Fund Transfer Act ( EFTA ) 15 U.S.C. 1693g - PayPal processed an unauthorized charge despite clear evidence that the transaction should have been canceled.

3. Fair Debt Collection Practices Act ( FDCPA ) 15 U.S.C. 1692e - PayPal allowed the charge to wrongfully be sent to collections when the debt was invalid.

4. Fair Credit Reporting Act ( FCRA ) 15 U.S.C. 1681s-2 ( b ) - PayPal failed to conduct a reasonable investigation of my dispute. 

5. XX/XX/XXXXXXXX XXXX XXXX ( XXXX. XXXX ) - XXXX refusal to refund me despite proof of cancellation constitutes fraud and deceptive business practices. 

What I Am Seeking : 1. Immediate reversal of the charge and removal from collections.

2. Full refund of {$2400.00} and compensation for financial damage.

3. Formal acknowledgment from PayPal that the dispute was mishandled.

4. Investigation into PayPal 's dispute-handling policies to prevent future fraudulent charge approvals.

5. Additional compensation for emotional distress and financial harm caused by their negligence.

Conclusion : PayPal has continuously ignored my evidence, mishandled my dispute, and violated consumer protection laws by refusing to acknowledge a legitimate cancellation. If this is not resolved immediately, I will pursue legal action and escalate this complaint to the Arizona Attorney General, Federal Trade Commission ( FTC ), and any other necessary authorities.

Company response to consumer: Closed with explanation