Hey @Fraser111,
Welcome to the PayPal Community Forum and thank you for your post!
I understand you have had a buyer who opened up a case. While we look into this, we placed a temporary hold on the amount involved. You will not have access to these funds until the dispute/ claim is resolved.
Your PayPal account balance is now negative because you have already used these funds for another purchase, or have withdrawn these funds to your bank account.
If you accept liability of the case and refund the buyer the held amount will be credited back to the customer. If the case is closed in your favour, the held amount will be credited back to your balance. However, I would encourage you to resolve your negative balance while the case is ongoing.
For steps on how to resolve your negative balance, see: PayPal Negative Balance
If you need more information on PayPal disputes and seller protection, see: PayPal Seller Protection
I hope this helps. Have a nice day!
Rebecca
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