This website is a collection of horror stories, news reports and other information addressing problems with Paypal, Inc..

Why is Paypal holding my money?

My husband and I both have Paypal accounts. Due to a bad previous marriage and divorce I do not hold a bank account. When I have a bill that is due I send money to my husband’s paypal and he withdraws it to pay my bill. We’ve been doing this for over 3 years, no problems. Neither of our account has ever been linked to fraud or chargebacks. Last week I sent my payment to my husband as usual only to be told by paypal that the payment was suspect and they were holding the funds. My husband and I have fought them for a week and have answered all their security questions correctly, and provided them with legal documents proving our identities. They still will not release the funds. My bills are now incurring late fees and Paypal will give us no explanation of why they won’t release our funds. They are now just ignoring all requests from us and still holding the money. They are putting us in a serious financial hardship and abusing their service. I hope they eventually get shutdown. These people are grossly dishonest!

Posted: March 19, 2013 at 4:05 pm

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