Checking or savings account -- Managing an account -- Complaint #4432757
Complaint Overview
Complaint ID: 4432757
Company: Paypal Holdings, INC
Product: Checking or savings account
Sub-Product: Other banking product or service
Issue: Managing an account
Sub-Issue: Deposits and withdrawals
State: Minnesota
ZIP Code: 55311
Date Received: 2021-06-04T12:00:00-05:00
Date Sent to Company: 2021-06-04T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
PayPal has a service called PayPal Key, which acts as a virtual card that generates a unique number and allows you to charge underlying cards you attach. This provided an easy way to manage multiple credit cards, as I can switch the underlying card easily and only need to remember and use one number rather than multiple. PayPal acts as an intermediary and charges my credit card, then facilitates the payment to the merchant. PayPal has permanently limited my PayPal account. However, the funds they have locked are refunds due to PayPal Key Transactions. Instead of refunding to my underlying credit card, PayPal refunds to my balance, which they are limiting. Essentially, PayPal is charging me for the transaction, and denying my refund from the merchant. The transaction in question relates to : Transaction ID : XXXX {$5300.00} I do not see how PayPal is allowed to hold my funds and block refunds on an account that was solely used for PayPal Key transactions. PayPal also will not allow me to dispute this transaction with the merchant to resolve it, as they have blocked my account from that feature!
Frequently Asked Questions
What is Complaint #4432757 about?
Complaint #4432757 was filed against Paypal Holdings, INC regarding Checking or savings account specifically about Managing an account. It was received by the CFPB on 2021-06-04T12:00:00-05:00.
How did Paypal Holdings, INC respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Checking or savings account) and describe your issue in detail.
Can I see other complaints against Paypal Holdings, INC?
Yes, visit the Paypal Holdings, INC company profile at readthecomplaint.com/company/paypal-holdings-inc to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.