Money transfer, virtual currency, or money service -- Fraud or scam -- Complaint #6283709
Complaint Overview
Complaint ID: 6283709
Company: Paypal Holdings, INC
Product: Money transfer, virtual currency, or money service
Sub-Product: International money transfer
Issue: Fraud or scam
State: Colorado
ZIP Code: 80233
Date Received: 2022-12-05T12:00:00-05:00
Date Sent to Company: 2022-12-05T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Tags: Older American, Servicemember
Consumer Narrative
PayPal allows a money request that includes details right in their recent activity section of a personal or business account on their website that includes a phone number ( for reporting fraudulent activity ) that is direct number to a sophisticated scam. The scam involves refunding the amount requested but mistakenly adding a XXXX to the amount, which shows up in the account of the person receiving the refund. The scammer proceeds to guilt that person into trying to return the over-refunded amount before the operator gets in trouble. Then the operator tries to convince the person receiving the refund to return the over-refunded amount through nefarious means by XXXX machine or gift cards. I'm told this is an old scam. I am complaining that PayPal knows of this scam and yet has not done anything to prevent it. PayPal is supposed to be a trusted banking system. I spent hours over the period of several days trying to address this issue with PayPal. They strung me along and made promises, but didn't even call me as promised, to discuss it. There is an article on the web that describes this scam, and many comments in various places about it. A banker I spoke with at XXXX XXXX was familiar with this scam. There should NOT be a direct phone number to a scammer posted within PayPal 's official website. It would be a simple thing for them to stop a direct phone number to a scammer being posted in their site. They have been aware of this problem for some time and have not attempted to correct it. I believe that makes PayPal a participant in fraudulent activity.
Frequently Asked Questions
What is Complaint #6283709 about?
Complaint #6283709 was filed against Paypal Holdings, INC regarding Money transfer, virtual currency, or money service specifically about Fraud or scam. It was received by the CFPB on 2022-12-05T12:00:00-05:00.
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 (Money transfer, virtual currency, or money service) 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.