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PayPal limited my account for no reason at all. I have used Paypal for internet payments for years. For the first time, I started selling my second hand stuff online. I sold one camera lens to Bali, Indonesia and Paypal limited my account on the pretext that my account activity is inconsistent with my previous use of the account. The asked me for my personal proof of address, airway bill for delivery, original purchase receipt for the lens, and a screen shot of the online ad. They then told me to wait 3-5 days for the result of the appeal against the limitation. Meanwhile, of course, I am not allowed to withdraw any funds. They are not the buyer’s guarantor. They are doing this obviously to lock up customer funds to earn interests, maybe even for financial speculations or other purposes. I will not be using PayPal any more. I do not need them policing my every move especially when I do nothing wrong.
Similar ComplaintsPaypal permanently limited and froze my account/funds
My account limited because buyer was linked to an adult site
Posted: July 5, 2012 at 3:52 pm

You are right when you stated they hold money to make money. They hold your money in an interest baring account to make their pockets fatter. They limited my account and wouldn’t give me a reason. IO provided all the information they were requesting and then they shut me down. Needless to say I was pissed. I search around and came across this site which led me to Merchantinc. I’ve been processing with them for a few months now and it has been such a breeze
Ant type of change in your account activity paypal sees as an opportunity to limit your account earn a little interest off your money and then maybe if you are nice they’ll give you your money back. The second I started using my paypal account I got my account limited and it has been 4 months now and I still have another 2 months left before I have any chance of seeing my money..if ever. I had had that paypal account for years but only used it for buying. Now I will not be using it at all!
I never had any issues , no charge off but my account is limited and they do not tell me why.
They won’t let me buy anything any more, either. It is very odd. I keep filling out their stupid complaint form but nothing happens. The fact is they want you to either link to your bank account ( they have to be kidding) OR use their credit sysytem ( they have to be more kidding!). They have persuaded every seller on Ebay, it seems, to take Paypal only -the result is, I don’t use Ebay now – and anyway it is full of commercial Chinese junk, so it isn’t much of a miss.
You are in the same boat as a lot of people myself included. My account was limited 3 months ago for reasons unknown to me. I had 100% positive feed back and never had a complaints. One day I logged into my account to find that it was limited. They wanted me to provide all kind of information including my SS# and I refused. So i took my buisness elsewhere