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

temp20200109a
Contributor
Contributor

Bloomer12- you have 80k followers, let them know the crooks PayPal has become... I'm working on a class action that will forgive our agreeing to the terms and conditions that no one reads, which is why they sneak in stuff like this to make interest off our money for 180 days. The reason they are doing this is because Ebay became aware of their crap processes and have decided to take on another money transfer service. Its currently in the pilot stage where a limited amount of users is testing out the new company. By 2nd QT they expect to roll it out Nationwide, the e entually internationally. Its because of this that Paypal is attempting to hold as many customers money possible for 180 days to make interest off that money since they are going to lose a lot of their customers anyways, they might as well make money off them while they can, all in the name of security. its thievery at its finest. No buyer needs 180 days to file a claim as the claim would be invalid since product has been used for months long before the 180 days. 

so that's why, so many people were blindsided by this and PayPal won't discuss their decision ( to use your money to make them money) and they need to be exposed. I saw some advice that directed these customers to their states Attorny general I think and that was the only thing that work. I'm having many other youtubers with massive followers post hard about this so we will see.

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Maryann254
Contributor
Contributor

Same is happening with my account. I already submitted the proof of identity and address 3 weeks ago and got no response. Now, they have limited my account yet they never responded. I can't do anything because i already provided the documents. Someone please help

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Aletam
Member
Member

I agree they just shut us down.  Sent all information needed and they don't even respond to you.  Horrible after 15 years with paypal they don't care at all if your business is in distress.  They send you loan information but you can't sell now on ebay or your website for no reason and no communication.  No wonder ebay is divorcing them.  

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kaitgray00
Contributor
Contributor

I am experiencing this at the moment, I am losing business because the account is limited. 

 

I will be filing a claim against pay pal (via shopify that confirms the amount of money I have lost) even though I have submitted all documents and got the green tick about 3 months ago.

 

I just want to get my money, time and business information out of this awful company.

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Mrspitts
Contributor
Contributor

 I think the way Paypal conducts business is criminal. As soon as I have my business account limits removed I'm closing my account.  I'm trying to run a business and they're making me look unprofessional because of their unprofessionalism. How can they legally hold your money hostage indefinitely? My business account has been locked to incoming funds only because of a fraud charge I reported. I sent in the required documentation the same day they requested it and its been 9 days. No EMAIL, NO PHONE CALL. Representatives can't help me , I have to wait for them to contact me. What kind of BS is this? 

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Same thing here. TERRIBLE CUSTOMER SERVICE BY PAYPAL!!!

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noelmag
Contributor
Contributor

Paypal is hopeless, me and my other friend's accounts all had similar problems. Emailed their support and all they do is auto reply despite multiple times to contact them. Paypal's contact service disable their call-in helpline knowing hundreds will call in often daily, and now their staffs are SO LAZY now and they use reasons like due to covid19 etc - all lies. They just can't be bothered to do anything professionally. They are holding small amounts here and there to hundreds of thousands of people and their goal is accurate millions easily monthly from such unethical move.

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Joshua-Tat2
Contributor
Contributor
I have one simple solution for you that I’ve done to stop them. IC3.GOV If enough of us fill this out they will be audited and **bleep**ing money returned
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Upsetuser5
Contributor
Contributor
I totally agree. Have been waiting for 3 months. Now they will.not respond at all and can not call in. Wish I knew what to do. Have not received item and company pretended to be PayPal to try and trick me to cancel my complaint. PayPal said they would do something about it but NOTHING!!
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Bigdaddy1975
Contributor
Contributor

Yea my as well i have almost 3.000 in my **bleep** account and cant touch it i want my **bleep** money i have gave yall **bleep** my information and still nothing do i need to get a lawyer and sue this junk **bleep** company was good at one time but now nothing but a junk app i wouldnt use this app the guy that put the money on here was put there by someone else i dont use this account for this reason if i was yall run run

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