PayPal’s clever way to keep your info forever

PayPal Warning

While we do not have the resources to verify each and every complaint we receive, we do believe that all reports posted here are true based on our own experience with Paypal and the growing number of corroborating horror stories we receive every day. The main subject of the majority of these horror stories is the following:

Your Paypal account can be frozen at any time, without advance notice, leaving you without your money for months (if not forever), and there isn't much you can do about it.If you would like to submit your own PayPal horror story, we would be more than happy to post it for everyone to read, providing that it is truthful and void of inappropriate language. Please feel free to submit your story by clicking Here

If you are searching for an alternative to PayPal, we strongly suggest acquiring a Real Merchant Account. CLICK HERE FOR OUR TOP PICK.

How Does PayPal Make Money With My Money?

According to the San Francisco Chronicle, there are approx. 100,000 complaints outstanding at PayPal (Are any of these yours?). In many instances disputes can run on for months leaving people frustrated and out of pocket as they are unable to access their accounts. So what happens to the millions of dollars tied up in frozen accounts and disputes? Well, here is a clip from the San Francisco Chronicle that basically sums it up:

U.S. District Judge Jeremy Fogel of San Jose refused to dismiss a lawsuit that seeks class-action status on behalf of thousands of PayPal customers nationwide. A common allegation is that the company brushes off or stalls customer grievances for months and meanwhile freezes the customer's account and pockets the interest (So that's how they make their money!). No wonder they freeze so many accounts!

I’d been a PayPal customer for over 10 years, since before they were owned by Ebay. I never had a problem buying or selling with PayPal, and figured that despite their policies, it was okay to use their service. Then one day I logged in from my smartphone to buy something on a website that only took PayPal. Suddenly my account was limited and I couldn’t do anything except add more accounts and cards to my PayPal account, not even delete the account. They wanted more personal information to unlock it, and would not accept my cell phone as proof of address, so I had to submit a photo ID as well as a mortgage statement. I didn’t think they needed this info, but until I submitted it, I couldn’t even delete my account, so I finally uploaded the info. Then…nothing. No response from PayPal for over a month. So I emailed them to ask why, and got a form letter telling me to do exactly what I had already done. Really helpful. Now PayPal has even MORE of my personal information which I can’t delete, change, or access, and of course I can’t use the account–not that I want to anymore. I just want my information removed so THEY can’t use it, but they won’t even let me do that. My account will just sit there until THEY choose to do something with it. Which means they might decide to sell it to 3rd parties, or maybe they’ll get hacked and my info will be stolen, and I still won’t be allowed to access it myself.

Similar Complaints

Don’t Want To Give InfoBy Linda I keep receiving messages from PayPal saying that there may be ( and is!) an unauthorized email address added to my account. The ONLY way to respond to them is to give them...

PayPal And Personal InfoWriter Wishes To Remain Anonymous Why does pay pal say they WONT ASK FOR PERSONAL INFO< then turn around and does that very thing? Why should you need my PIN, and S.S.#? If you really...

Posted: September 20, 2012 at 2:36 pm