PayPal's business model is to borrow money from its users and invest it in whatever the invest it in to make a profit off the interest. I've had an account for about a year and have had it restricted or limited twice. Both times was when my balance exceeded $20,000 not when there was $20 in it. Coincidence? No. They put holds on your account and ask for documents because they need some reason to justify doing it like needing to "verify your identity". And in the hopes that you don't send the correct information they can permanently limit your account and hold your money for 180 days and there's nothing you can do since your checked the user agreement box on sign up. Its a rigged system. They have more than one scheme. They own/partner with companies who offer prepaid debit cards which is very inviting to scammers. Prepaid debit cards are basically anonymous checking accounts or can be gotten with very little information. The account is allowed to operate for a time and then PayPal will limit the account and ask for documents and information that alot of these scammers can't produce and the money is the account is then stuck in limbo for ever. They get to keep the money and were making interest profits the whole time. You might think I'm making this up but just think about how perfect of a system they run. Its happened to hundreds, probably thousands of people and you cant tell me that its not possible when you sign up for an account, they couldn't verify you then before you go on about your business. They make their money by borrowing users money and investing it. The more money they hold the more they make. If they wanted to they could afford to put in place a better vetting system for when users first begin. But that's not the most profitable path to take. Sadly that's the way of the world these days. Max your profits, don't be transparent, don't provide any thing more than you have to and write in your terms of service for protection because, THEY KNOW ITS WRONG.
