PayPal Arbitrarily seizing funds, without giving specifics of any violations

[Ralph_Turchiano]

Long Term a loyal member of PayPal since 2006, operating for over 14 years without any violations, sold my company and was using Paypal to receive payments for my seller-financed operation. You would expect people like ourselves PayPal would value as a member, but customer loyalty does not factor into PayPal's algorithm. One day without warning, I received a temporary hold and a request to remove specific vitamins like NAC and Aloe from PayPal's pay button for e-commerce, the problem being I no longer had any PayPal Api associated with my prior e-commerce site. Nevertheless, I opted to work with Customer Service and remove all connections and names associated with my prior e-commerce site. After following all their instructions, without warning or reason, they froze thousands of dollars and permanently shut down my account. 

Now without arguing the semantics or justice, and there is little doubt this appears malicious, arbitrary and an illegal term called conversion, customer service, for whatever reason, seems to be committing "willful concealment.". Meaning they will tell you, as they did me, that all decisions are made in a back office in which there is nothing they can do, and there is no way to resolve the issue which is incorrect.

If you take the time in which to read the PayPal User agreement, you will discover a section called Agreement to Arbitrate, and you can file a Notice to Dispute in which PayPal at request, will Pay all Arbitration fees if your claim is below $10,000. 

Keep in mind sometimes companies just get too big, and there are good people who even work for the worst companies. Life is not fair, and PayPal, in my humble opinion, has lost its way and has created an atmosphere in which law-abiding members no longer feel secure with their money being entrusted with PayPal, but you have options even if they tell you, you don't. 

Good luck, and I hope someday PayPal learns to trust their members as their members trust their hard earn money with them. Don't make their customer service teams make you powerless; they are only a firewall between you and corporate their corporate legal; make them work for the privilege of your trust. 😉 Arbitrate, Be Respectful Though, for Everyone has a Story

[sharpiemarker]

@Ralph_Turchiano 

File a complaint at bbb.org under PayPal San Jose, CA to request another review of your account and that they restore your account. Let PayPal know you have removed all traces of the items, let PayPal know. Even change the business category of your account if you no longer sell these type of items seeing as PayPal algo uses the data in your account in order to work. 

[Ralph_Turchiano]

Thank You So Much, 

That is exactly what customer service also advised, which I did, but then they proceeded with seizing all funds regardless. Still no mention. Customer service stated that they must have investigated the issue independently regardless of any API and then seized funds upon an assumption. I was also told by customer service that they can pull up (quote)  "any suspected violation going back to 2008".

I know it sounds odd and capricious, but it is all there in their call transcripts. They are lucky right now, I just have more important things to do, and I am more than content to have this go to Arbitration. 

This is one of the most bizarre behaviors I have ever experienced from a mega-corporation. It exposes them unnecessarily and recklessly to liabilities beyond something I believe investors can bear. 

Paypal put themselves under the microscope on this one... But I want to Caveat, I really do like many of the employees of PayPal; I just believe the company has become too compartmentalized without adequate lines of communication.

But to play it safe, the BBB is a great route; I opted to contact my State Senator and the DOJ...Sending my Notice to Dispute Tomorrow certified mail, with enough statements, exhibits and evidence to make the judge go, hmmm.....  But hopefully, PayPal just goes whoops, and I can focus my attention on finishing watching 'Westworld."  🙂