Account Limitations: What You Need to Know

PayPal_Mark
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.

 

Login to Me Too
1,050 REPLIES 1,050

Holdingmycool
Contributor
Contributor
Me 2 and they did the same thing to me locked up my account and told me that it was suspicious activity and they were certain I wasn't doing anything wrong but they had to lock up my account... Did you ever figure out how to get yours unlocked because I've got a lot of money in there and I need my money back
Login to Me Too

kibz
Contributor
Contributor

Yes, please. How do I become part of this movement? 

Login to Me Too

Vgonzalez
Member
Member
Count me in
Login to Me Too

bellalion
Contributor
Contributor
Need help fir me to get normal please
Login to Me Too

Temp20201124f
Member
Member

I would like more info on this Class action lawsuit against Paypal. I have spent about 20 hours on the phone, with 8 different representatives, to be told by a Resolution Center "supervisor" that there is no recourse with Paypal and that my bank will issue a refund if they deem it is approved for chargeback. 6 out of the 8 PayPal reps have told me that the seller has already sent the funds, and that Paypal has sent the funds to my bank on November 2, 2020. My bank rep was on the phone with me, while I contacted Paypal this afternoon, for 4 hours!! And still, no resolution! Paypal has had the "benefit" of these funds for 22 days, after the case was "Closed in my favor" through the PayPal Resolution Center. This is an illegal practice in holding funds.  Please forward me your info. 

Login to Me Too

Temp20230525GZ
Contributor
Contributor

hi,i get limit account yesterday.. and i really have money on my account, they put me limit without to give me the chance even to request .. they said their decision is final for keeping my money for 180 days and after i will be available to withraw my money , i m not a seller.. i m only sending money to my parents and they to me back , i also help my friends and they do it too for me , please advice me what should i do?

Login to Me Too

Alaskashiz79
Contributor
Contributor
Count me in. I am as we speak looking for a pdf of a petition to have this matter seriously looked into. I also believe it is illegal business practice to just decide to keep someones money as long as they want and make who knows how much money in interest and not even give a reason. Just that they want to!! It is very disturbing to say the least that they are able to get away with this. And get paid enormous fees while they steal from there customers. Any advice on how to word or go about getting petition started and or lawsuit. I dont know anything about anyvof this but i know we are not in the wrong at all and this poor business practice needs tovbe brought to the attention of every PayPal customer tuere is. That ghere6 money is actually not theres and can be stolen without notice and theres nothing you can do about it!! Ive been doing circles off and on all day. Theres no way to get anything done with the app and technology provided. Its like a big circle of stupidity! You click to ask a question or resilve issue or any of that, and you are laughed at and never get a chance to do anything about it!!!
Login to Me Too

Alaskashiz79
Contributor
Contributor
Count me in. I am as we speak looking for a pdf of a petition to have this matter seriously looked into. I also believe it is illegal business practice to just decide to keep someones money as long as they want and make who knows how much money in interest and not even give a reason. Just that they want to!! It is very disturbing to say the least that they are able to get away with this. And get paid enormous fees while they steal from there customers. Any advice on how to word or go about getting petition started and or lawsuit. I dont know anything about anyvof this but i know we are not in the wrong at all and this poor business practice needs tovbe brought to the attention of every PayPal customer tuere is. That ghere6 money is actually not theres and can be stolen without notice and theres nothing you can do about it!! Ive been doing circles off and on all day. Theres no way to get anything done with the app and technology provided. Its like a big circle of stupidity! You click to ask a question or resilve issue or any of that, and you are laughed at and never get a chance to do anything about it!!!
Login to Me Too

Lilmick102
Contributor
Contributor
I need help with the same thing. Please help
Login to Me Too

Nyeemstewart
Contributor
Contributor
Nope it been 240 days for me still no respond
Login to Me Too

Haven't Found your Answer?

It happens. Hit the "Login to Ask the community" button to create a question for the PayPal community.