Closed Account and Claims

[Meagy04]

I’m actually asking this for my friend as she closed her account ages ago. Rewind several months and my friend sold an item, after not hearing anything back she proceeded to transfer funds to her bank account and close her PayPal account. Fast forward to last week and she received a claim/dispute email stating the buyer had opened one against her. However, as previously stated her PayPal account is closed so she has no way of contacting any of the parties. Can PayPal still remove money from her bank account if the buyer wins the claim, even though her account is closed?

[kernowlass · Accepted solution]

@Meagy04

They can't dip into her bank account and help themselves, the only funds Paypal are allowed to take are those already in someones Paypal balance.

However if she loses the claim then Paypal will contact her and ask her to re-pay the money.

If she refuses then the 'debt' is passed on to a debt recovery agency to collect.