Why My Paypal Account has been closed without any valid reason.

[RaisAzam]

I have been using this paypal account to receive money from usa and canada and I have been providing honest and genuine service and my customers are happy with my sevices as well, however, my paypal account has been closed. The only reason that I got from them is the following:-

'After reviewing your account, we have decided to close
it because of security issues.

It is quite hard for me to understand what the security issue is? Since I opened this account, there is not a single chargeback nor any complaint or claim. All my clients have responde positively to them, still they have closed my account.

I just need to know what wrong I have done? They should atleast have the courtesy to let me know the exact reason why they have closed my account. On top of that around 3k usd dollar have been stuck in the account because of that, I am being a Freelance, how would I survive this kind of financial crisis. I have done everything right still I am having this faith by one of the business giants "PayPal".

[DPCreations]

First, it's not a good idea to leave money on your PayPal account; it's best to transfer to your bank account where you have better control.

Next, without knowing your real business activies, transactions, international transfers, and other receipts it's not possible to comment on security issues.  Only PayPal customer service can help in that respect.

[RaisAzam]

They first put the account on limitation so I could not withdraw the money to my bank account.

I provide online servics like website design, SEO etc.

[DPCreations]

What I meant is never allow your balance to be so high; it's too late now.

So, how were you paid?

How do your transactions take place?

How many international transfers?

Where is your bank located.

There are many questions to answer when it comes to security issues.  No one can speculate without knowing details about your activities, but something raised an alert with PayPal.

[RaisAzam]

I was paid via paypal either through my website or by sending invoice to my clients in USA and Canada and all are the international transaction because I use paypal to take payments from offshore clients. My bank is located in India.

It is not about me allowing the paypal balance to be high, Paypal kept my balance on pending before enforcing limitation on that and then ultimatly closing it.

As per my knowledge if I am providing genuine service and my customers are happy with me, what on earth can make the transaction risky and security issues. There is not a single chargeback, complaint or dispute in my account and even when paypal sent email to customers and asked them about my service, my customers provided them with positive feedback. So, what could be the security issue?

[DPCreations]

Not knowing where you are located, but that PayPal is a U. S. corporation and must follow U. S. laws and also internation laws relating to money transfers I would guess the issue has to do with money transfers that raised suspicion, especially when transfers are not related to sales and shipping items.  When such actions trigger a security issue, the account will be closed without warning.

You could phone PayPal for more information, but with such security isses they don't disclose details that might allow someone to circumvent the security model and regulations.

[RaisAzam]

I am located in India..You must be having more ideas of USA laws and regulations but whatever little knowledge I have, I can say that if someone is providing genuine  and legal service there should not be any problem.

Moreover, Paypal promtes itself in India as Freelancer Friendly payment processor as most of the freelancers in india use paypal to take payments from offshore clients for their services and when you open the account we clearly mention that it is for service not for goods so the question of shipping does not arise. basically mostly we use paypal to get paid for the services that we provide to our customers, It is not that someone is transferring us money for no reason or unauthentically. 

There should be a clear explanation if they are closing someone's account specially if there is no wrong doings from his end and his account is free from any chargeback and complaints.

In my case I have given all the credentials they required and even my customers replied to their emails positively still they have closed my account.

[DPCreations]

It could be just one transaction which causes the problem if it is a transaction with an account which has it's own security issues.  If you have dealings, even legally, with an account which has illegal dealings your own account would be at risk.

I don't know your transactions, just providing some speculative reasons.  A lot can also be learned from reading many reports of closures on the forum; then just review each one of your own transactions carefully and look for anthing.

Governments look for anything which looks like money laundering or transasctions which are to or from a suspect country, region or organization.