Account Limitations: What You Need to Know

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PayPal Employee
PayPal Employee

 

Keeping your business and customers safer

To ensure PayPal remains a safer place for enabling payments, we regularly review all accounts. Sometimes, limitations may be placed on your PayPal account, which could restrict you from completing certain actions: such as withdrawing, spending, or receiving money. Limitations are in place to help protect all our customers, and in some cases to meet our regulatory obligations. Protecting your account and money is important to us.

 

Account Limitations: What might cause it, and how to help avoid it?

If your PayPal account is limited, you may be unable to withdraw, send or receive money. There are a number of reasons why your account could be limited:

 

Suspicious & unusual activity

  • We suspect someone could be using your account without your knowledge.
  • Your bank alerts us that someone has used your credit/debit card linked to your account without your permission.
  • There are unexpected changes to your selling activities such as a sudden increase in your typical sales volume.

In such cases, we do what it takes to protect you from potential fraud prompted by the unusual activity– through limiting your account, and investigating.

 

You can safeguard your personal information and help protect yourself against fraud through some simple measures.  For example, don’t enter your personal or financial details when describing items for sale or in response to emails, and log out of sites you’ve entered your personal information into.

 

Regulatory reasons or business is not compliant

Your account could be limited for regulatory reasons. For example, India PayPal sellers need to include additional information to be able to accept payments in their account. Also, reaching a certain transaction value in your account may trigger a limit, which can also be removed by providing information required to PayPal.

 

There are also restrictions on what a PayPal account can be used to accept (and make) payments for. For example, PayPal doesn't allow the sale of counterfeit goods or banned items. So, ensure that your business is compliant with PayPal’s Acceptable Use Policy .


Increased buyer issues

An increase of complaints, claims and chargebacks from buyers can lead to account limitations.

 

Following some simple guidelines can help you improve your performance and reduce the likelihood of limitations. Overall, communication is key. You should:

  • Provide detailed product descriptions and photos.
  • Be upfront about policies such as shipping and returns.
  • Ship orders promptly and track shipments.
  • Respond quickly to any messages from buyers.
  • Work to amicably resolve any problems.
  • Ship to the address provided in the transaction details page.
  • Use quality shipping materials to prevent damage.

 

Removing limitations

 If your PayPal account is limited, here’s what happens:

  1. We’ll email you to let you know –  we’ll ask you to log in to your PayPal account and go to the Resolution Centre for details on how to resolve the issue quickly, usually by providing information.
  2. Once you’ve submitted the information required, we’ll review and reply via email.
  3. We’ll remove the limitations once we have verified your account. At times, limitations can be removed by simply changing your security questions and password.

Here are the types of information and documents we may need from you:

- Supplier’s invoice with contact information

This helps us determine the inventory source and validate that you have the items that you’re selling in stock.

 

- Payment information

When an invoice is unavailable, we’ll review the following information about your payments:

  • The item or service that was sold
  • The buyer’s name and shipping address
  • Proof of shipment to verify that an order was delivered

- Shipping or Tracking information

This helps us to verify that customer orders are being fulfilled.

 

- Proof of business
This provides evidence of a valid business registration and business ownership.

 

- Information for India sellers
This is to comply with our India regulatory obligations. Provide a valid PAN, a local bank account and the purpose code in your PayPal account task board.

 

- Proof of address such as bank statement or utility bill, Proof of identity such as passport or driver’s license
This helps us verify your identity when there is unusual account activity or to comply with regulations.

 

Once you’ve submitted your information, look out for any more emails from us as we may need additional details. We’ll do our best to confirm your information and remove the limitation within 2 business days, but sometimes it can take a little longer.

 

Quick Tip: If your PayPal account is limited, don’t open a new account. It could be traced back to the limited account.  It’s always best to resolve the limitation. We will guide you through it and restore full access to your PayPal account as quickly as possible.

 

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1,050 REPLIES 1,050

Kizzieek
Contributor
Contributor

IT'S THE FIGHT, THAT COUNTS

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PaiZaff
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Contributor

Hi there - hope you are all well ! PayPal has still not released my funds - they said that they needed me to upload some documents which i did ! driving license etc - however in the notification there is still a small number 1 in there and when i click it it asks me for the same thing ! It keeps saying to me someone will get back to you to discuss my limitations .  have done nothing wrong..

paypal is being very unfair and i am upset as i cannot sell anymore on ebay - this is slowing down a lot of things - you can expect me to just sit here all day not working while you hold my money !!! I have posted all items and done everything theyve asked for, this normally does not happen to me ! can someone please just tell me whether they will lift the limitation and release my money for me soon. nobody replies to my emails, furthermore nobody picks up the phone due to covid 19 but thats understandable atm. however they really do still need active agents on there webchats and provide more ways of contacting paypal rather than just these options. i am really struggling with funds due to the covid 19 - and on top of that paypals frozen my funds by placing a temporary limitation on my account!! please can some one help me with this, this is really unfair.

 

Best Regards

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Kizzieek
Contributor
Contributor

In our city, our local news will do an investigative report on consumers that write to them and explain in detail with proper evidence what they are going through with companies that are ripping people off or are falsely holding money with no good reasons, and then they televise the investigation and how it was resolved, most of the time the results are quick but, at the same time the company is expose for bad business practices, the last report I seen was a very big insurance company would not pay a consumer's hospital bill, it was resolved and the company wrote a long apology letter which was read to all the viewers.TRY IT!   

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homerlea
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Contributor

PayPal is not in the business of being fair and they certainly do not follow their much touted Code of Ethics.... what a fantasy. They are in the business of making money any way they can. At least that has made my PayPal stock go up.

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Temp20230525FT
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Contributor
Welcome to the horror story club. We all have to wait 6 months to get our money while they get to use it interest free. Good news though. Ebay is going to have more pay options. From what Ive read. Its just ebay customers they are doing this to
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homerlea
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If you figure out how to get someone on the telephone there to answer a question, you you will be a miracle worker. Miracle enough just to get a number.

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TurningJohn
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Contributor

Good luck trying to find any PayPal staff they only seem to have robots.

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DLT56
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Contributor

they do on facebook just request a agent

i argued with the robot and it responded would you like to talk to an agent

then someone came on and i talked to them

they were helpful


@TurningJohn wrote:

Good luck trying to find any PayPal staff they only seem to have robots.


 

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godkasem
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Temp20230525FT
Contributor
Contributor
They will also block you on Facebook for speaking the truth....i went to twitter
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