Consumer complaint received 2025-11-25 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: OR

Complaint narrative:
Subject : URGENT : Unjustified and Unlawful Withholding of {$67000.00} from Personal Account ( Closed XX/XX/year> ) and Failure to Disclose Law Enforcement Asset Seizure Details I am submitting this formal complaint to the Consumer Financial Protection Bureau ( CFPB ) regarding PayPal, Inc. 's deliberate and unlawful decision to seize and hold my private assets with no legitimate justification, causing catastrophic financial harm. 
Detailed Complaint Regarding Unjust Withholding of Funds Account Status and Fund Hold ( XX/XX/XXXX, [ Year ] ) : My personal/family PayPal account was permanently closed on XX/XX/XXXX, [ Year ]. At that time, the balance held in the account was approximately {$67000.00}. PayPal immediately placed a XXXX hold on the entirety of this {$67000.00} balance. 
Unjustified Reasoning : PayPal states the XXXX hold is necessary to cover potential chargebacks and disputable charges. I assert that this reasoning is unjust, unlawful, and without merit.

Account Type : My account is a personal/family account, not a business account, making the risk profile for large-scale chargebacks negligible.

Transaction History : My account history shows very little or no disputable charges or chargebacks that could remotely justify holding {$67000.00} for XXXX months. This action is a clear abuse of power and amounts to the arbitrary seizure of my liquid assets.

Unauthorized Law Enforcement Seizure Deduction : Subsequent to the hold, PayPal deducted {$10000.00} from the total {$67000.00} balance, citing a " law enforcement asset seizure. '' Complete Lack of Due Process : PayPal has knowingly and willingly withheld all information regarding this seizure. They have not provided the name of the law enforcement agency, the court order, or any official documentation necessary for me to understand and challenge the legal basis for the {$10000.00} deduction. This gross lack of transparency violates my rights and prevents me from recovering my property.

Severity and Financial Catastrophe PayPal 's unjustified and prolonged withholding of these funds has led to immediate and catastrophic financial and personal ruin : I was depending on the immediate availability of this money to meet a financial obligation, specifically a balloon payment on a home deal.

As a result of PayPal 's actions, I lost the {$5000.00} down payment already committed to the home. 
Due to the loss of the property, my XXXX notice has expired, and I am now officially homeless. 
PayPal has acted with no regard for the severe financial impact their decision has caused, knowingly ruining my life, my wife 's life, and my ability to conduct personal affairs.Requested Resolution I demand that the CFPB investigate PayPal 's unfair and deceptive practices and compel them to : Immediate Release of Remaining Funds : Immediately release the entire remaining balance ( {$57000.00} ) from the unwarranted XXXX hold. 
Immediate Documentation of Seizure : Provide all required legal documentation ( agency name, case number, and court order ) justifying the {$10000.00} asset seizure deduction.

Sincerely,

Company response to consumer: Closed with explanation