Dear Mr. McElmeel, Operations Counsel, PayPal, Omaha NE I am in receipt of your letter of April 4, 2017 responding to my Consumer Financial Protection Bureau Complaint No: 170322-000259. Unfortunately, your letter does not address my issues. In the following I list my issues so you may respond to each directly, if you so choose. 1) PayPal does not offer client/customers the ability to opt out from receiving credit card payments. I, for one, would gladly forgo the option of credit payments rather than suffer the improper, unethical and probably illegal chargeback procedures detailed in your response letter. 2) As a matter of policy, I do not accept chargebacks to my Pay Pal account unless the sold and shipped item is returned to me or unless I agree that I made a mistake that warrants a chargeback. By taking a commission for acting as my service provider, PayPal agrees to abide by my policy. However, I agree that I have signed a User Agreement that gives PayPal the right to adjudicate disputes if there is no agreement on a final resolution of an issue between myself and another PayPal customer. 3) I do not agree that PayPal has the unilateral right to but a hold on funds in my PayPal account or to unilaterally extract funds from my PayPal account. I demand that PayPal first investigate the merits of any claim and take advisement from me first before making any claims on funds in my PayPal account. In the case at issue, PayPal claimed my funds without seeking my input. That action is NOT acceptable. 4) Please provide me with more detailed information on the PayPal policy for claiming funds from client/customer accounts. I wish to point out that, as you know, PayPal is a not an FDIC bank. However, PayPal acts to convince customers that funds in PayPal accounts are safe and that PayPal clients should allow funds to remain on account, suggesting that PayPal is as safe as an FDIC bank. The US CFPB may take issue with PayPal actions that mislead customers about the safety of PayPal account funds. If my funds are not safe in a PayPal account, that is an issue that needs to be brought to the attention of the US CFPB. PayPal, by its actions in this case, is improperly suggesting that banked funds are safe, when if fact, PayPal takes overt action against the safety of those funds. Finally, PayPal does not appear to have any formal dispute resolution or arbitration procedure to ensure the safety of those funds.If PayPal cannot or will not provide better justification for PayPal actions in this case, I have no choice but to continue my case complaint with the US CFPB.
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