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

Obehave654
Contributor
Contributor
This is absolutely ridiculous everyone accounts are limited for unknown reasons PayPal is holding people money up they should be reported. You can’t get s hold of anybody at customer service and they sent me the same information of why to everyone else . Please help this is injustice.someone needs to take action.
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Kgb9
Contributor
Contributor
This is happening to me right now
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Bibobello
Contributor
Contributor
We are going to take action! They are using millions from our money to gain interests, buy stocks, invest, and when the proofs will appear they will close shop!
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Temp20230525FZ
Contributor
Contributor
I want to do a class Action suit. I don’t have the time to start this but I definitely would love to be part of it!!!
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Inndo5024
Contributor
Contributor
How do I reach out To you, pfp shows no way of contact? Idk if this was about the class action suit or that you have figured out an easy way of removing holds
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adakoska
Contributor
Contributor

I had my account "permanently restricted" unfortunately I had all my money in paypal,  over $1k.   Reading the community standards I still have no idea what could have violated the rules, the email said they could't tell me why because of security reasons, and there is nothing I can find about resolving or getting my money back.  I did call once and was basically told to there is nothing I can do, then again and pressed callback but nobody ever called me back.   From the googling I've done it looks like it was dumb to leave my money in pay-pal because the money is not safe there, but I had the account for years and never had an issue until now.  I also sent a message on the site, and emailed every Paypal email I could find but have still recieved no reply.   I'm just looking to get this resolved in a reasonable manner asap! I can't eat or pay rent, so it's kinda urgent.   Is there any better contacts at paypal, state/local agency recommendations?

 

thanks?

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freddylaura
Contributor
Contributor

https://www.ic3.gov/complaint/splash.aspx?

 

Your best bet. I'm wondering if PayPal has gotten hacked, because people are scamming left and right using PayPal.

Tons of people have been scammed from Nguyen <removed> and they are not helping at all.

Search this person's name and you will see how many complaints are going on with out PayPal helping at all. They have figured out how to fake out the process for PayPal, and they are not helping people get their money back.

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Victor145
Contributor
Contributor
I got an email that I need to submit additional documents of which I did. Upto now I have not heard from PayPal or any action taken. What could be the problem? Kindly let me know. I cant receive any money and it would be helpful when sorted especially during this time of Covid-19 when we are going through tough times. Thanks Victor
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Kizzieek
Contributor
Contributor

PLEASE PLEASE CALL YOUR LOCAL NEWS STATION!! 

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homerlea
Contributor
Contributor

The problem is that PayPal has become like the black hole at the center of our galaxy... things go in but nothing ever comes out.

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