Consumer complaint received 2025-11-07 00:00:00
Product: Money transfer, virtual currency, or money service — Mobile or digital wallet
Issue: Trouble accessing funds in your mobile or digital wallet — 
Company: Paypal Holdings, Inc
State: FL

Complaint narrative:
My verified Venmo account ( XXXX ) was abruptly frozen and my {$500.00} balance was seized. Venmo now claims I owe {$990.00} on a completely different profile ( XXXX ), which I do not recognize and which contains no shared information with my current account. 

I was instructed by Venmo to upload my government-issued Florida REAL ID, update my password, and verify my account to remove the security hold. I complied fully and immediately. Despite verifying my identity, Venmo then demanded that I settle a negative balance from an unrelated profile in order to regain access to my own funds. 

Venmo refuses to explain what data was used to conclude these two accounts belong to the same person. The accounts do not share : email address phone number bank account address legal name drivers license any other identifying information Venmo also requested a XXXX Bank statement from my current account to satisfy a debt from this alleged inactive accountdespite the fact that my XXXX Bank account was only opened recently and has never been linked to any other Venmo or XXXX XXXX of mine under any circumstances. 

When I asked for the factual or legal basis for freezing my funds, Venmo stated they can not share internal evidence, refused to provide any explanation, and reiterated that they would not release my {$500.00} unless I paid the alleged {$990.00} debt they can not prove is mine. 

I also explained to Venmo that they are not a court of law and do not possess the judicial authority to render or enforce judgment debts. Even if Venmo believed this unrelated account somehow belonged to me, the proper collection method would be to file a civil claim, obtain a judgment, and then pursue lawful collection remedies not to seize unrelated funds from a verified and separate consumer account. 

Withholding a recently obtained {$500.00} balance from a completely separate account in order to compel payment on an unrelated, disputed debt constitutes : theft by conversion ( withholding my money to force payment ) unauthorized restraint of consumer funds coercive collection practices violation of federal XXXX standards ( unfair/deceptive practices ) I attempted to resolve this directly and repeatedly, both by email and phone ( call recordings can be provided upon request ). Venmo support confirms there is no supervisor or department available by phone and that all communication must go through the same generic customer support email. My emails requesting transparency and a lawful basis for the hold were met only with repeated demands to pay {$990.00} and suggestions that I apply my own {$500.00} balance towards an unknown negative balance on an account I have no connection to. 

All I am requesting is that Venmo immediately unfreeze my account, release my {$500.00} balance, and provide a written explanation of why my funds were seized. 

I am not refusing to cooperate I am requesting a lawful justification for withholding funds from my verified account. So far, Venmo has provided none.

Company response to consumer: Closed with explanation