Consumer complaint received 2025-01-16 00:00:00
Product: Money transfer, virtual currency, or money service — Domestic (US) money transfer
Issue: Other transaction problem — 
Company: Paypal Holdings, Inc
State: KY

Complaint narrative:
I called XXXX the company on XX/XX/2024, as I did the other companies involved with this incident, to make them aware that someone had stolen my purse that had my unlocked phone and my wallet with my cards in it. I explained to them that I had gotten a new phone and checked all of my accounts and that whomever stole my purse was also accessing my accounts. They specifically accessed my XXXX account ant transferred funds from my XXXX XXXX  account and/or my PayPal account XXXX XXXX and then proceeded to transfer those funds to either PayPal or XXXX. I am not entirely certain as to why they would go through all the trouble of the transferring funds, other than that there was only XXXX pin number that was located in my wallet along with my PayPal debit card and they XXXX have been trying to figure out which debit card the XXXX went with. I filed a FTC fraud report and went to the local officials regarding the incident, but I did so after I had corrected the situation, cancelled cards, and notified my financial account institutions and considering I had the cards cancelled the individual was no longer attempting to use the debit cards, so I was told that it would be highly unlikely that anyone would be found just because that is usually how these types of situations work out. Therefore, no official police report was made due to this, but as I said I did file an FTC report. 
Someone, altogether ended up transferring and spending roughly {$1000.00} from the XXXX account. When I contacted XXXX about it they said I would have to speak PayPal about the incidents because that is the account that was used to access the XXXX funds. I contact PayPal and started a dispute for the charge that were involved on the XXXX of XXXX. Although I clearly added descriptive text about the specific situation to my case notes for the dispute, PayPal and XXXX both denied they were able to approve the dispute. PayPal refunded me for XXXX of the transactions, {$50.00} on XX/XX/XXXX. However, they refused to refund any other transactions stating that the activity done on the account that I was reporting could only be done by the account holder based on the types of withdraws, that there were transfers, and because I had just received the money in the accounts and had verified the status of said money via the app. I also attached my FTC fraud report. With all the information about my purse with my wallet and unlocked phone stolen and stating that I have not given anyone access to use my debit cards, any of my funds, or to access my online financial accounts, nor did I give anyone permission to use or transfer any funds, and that I had not initiated the transactions done from XX/XX/XXXX to XX/XX/XXXX when I closed all the cards, took back access to my accounts further denying and future access for the person that stole my purse and phone, and changing my pin numbers and passwords as well as locking my stolen phone. Paypal has transferred me from department to department. The last attempt I made to call was to appeal the denial of my disputes. I sent the the FTC report which they said would suffice as proof that I did not access the funds and there was suppose to be an appeal created, but every time I call for status updates employees tell me all my disputes have been closed and would I like to appeal XXXX. I have tried to go ahead and " refile '' an appeal 2 times now and there is never any proof of my denial appeal being submitted. Had XXXX or PayPal handled this issue when I called the very first time the thief XXXX not have had the chance to continue to take my money. When I contacted both companies on XX/XX/XXXX and explained my purse was stolen, PayPal explained I would need to file a police report before they could refund any funds. They did cancel my card and issue a new one but I had to call back because they did not do it that first day I chatted with them as planned. When I spoke to XXXX they explained I would have to contact PayPal because that is the account that accessed the money. They said they just transfer funds and have no responsibility otherwise.

Company response to consumer: Closed with monetary relief