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PayPal's damages caused by Acceptable Use Policy violation
 

I had a stealth account permanently limited over 180 days ago. When I went to withdraw the funds to my bank, I see that they transferred all of my funds to themselves and this was in the notes for the transaction:

"Payment to: Paypal; PayPal's damages caused by Acceptable Use Policy violation."

I had zero chargebacks and they didn't claim what the so-called "damages" were, they just stole my balance a week before my 180 days was up, and I received no notification.

Before I call them, for whatever good that will do, I'm asking if anyone here has any experience with this. I Googled the exact sentence "PayPal's damages caused by Acceptable Use Policy violation" and couldn't find it, so is this new or was it just for me special? I assumed it would have happened to a lot of other folks and someone here would be mentioning it...

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I saw a post like that on reddit or somewhere, why did they limited your account? and how much was the balance in account? I think they might have linked some other account which may have negative balance but anyway you cant get it back since it stealth account.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

This was one of those hard limitations that came with no warning, no previous request for documentation, etc....And I've never had any other account that went negative or where I owed them money or anything.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I already had a bank account added......and yes, I think you are right, and I need to start withdrawing everything as soon as I can.....

PAYPAL could have linked your account with another account which owed PAYPAL money,is there anyone in your family say your spouse or ex spouse had an account with Paypal?
where does your money come from?

I wish I were a machine,I would make more money.
but thanks for the compliment,nevertheless

were you selling copyright items?
https://gbatemp.net/threads/cease-an...paypal.339398/

Under the Acceptable Use Policy, PayPal may not be used to send or receive
payments for items that infringe or violate any copyright, trademark, right
of publicity or privacy, or any other proprietary right under the laws of
any jurisdiction. This includes transactions for devices that allow
domestic video game consoles to play back-up or import versions of games,
such as mod chips, game enhancers, boot disks and methods that allow
multiple digital television receivers to access subscription television
services.

The complete Acceptable Use Policy can be found at the following URL:
https://cms.paypal.com/us/cgi-bin/?....locale.x=en_US

To learn more about the Acceptable Use Policy, please refer to our Help
Center page here:
https://www.paypal.com/us/cgi-bin/helpweb?cmd=_help

We thank you in advance for your cooperation. If you have any

why did your product violate acceptable use policy?

https://thehackernews.com/2019/08/ep...e-lawsuit.html

could it be the lawsuits on hackers hacking accounts?
wont that make Paypal liable SINCE they have allowed OP to sell ?

well,I am not the one whose money is tied up.!!!!!!!!!

it is so easy to find it,OP said he googled and cant find it,so here it is-
https://www.paypal.com/us/webapps/mp...ptableuse-full
what were you selling???

These are all sent by the PAYPAL bots,but if you really want to know why,you can hire a lawyer .
My understanding is that if a lawyer approach acompany with a letter ,it has to respond.
Is any one of your merchandise countefeit,illegal ?
Did you say you offered service and digital?what kind of service?
Do you think someone snitched?
Those who buy and never leave feedback or complain,are the ones who are checking up on you.

Under the Acceptable Use Policy, PayPal may not be used to send or receive
payments for items that infringe or violate any copyright, trademark, right
of publicity or privacy, or any other proprietary right under the laws of
any jurisdiction. This includes transactions for devices that allow
domestic video game consoles to play back-up or import versions of games,
such as mod chips, game enhancers, boot disks and methods that allow
multiple digital television receivers to access subscription television
services.
-----------------
there was a time you can buy a machine and copy all the DVDs or a gadget to get cable channels without paying monthly fee.
I know there are places in ethnic towns where they have this DVD copy machines,they will make you a copy if you give them the original or you can buy a movie from them,all they do is to take original they have on display and make you a copy,I think this is not allowed anymore,but the machine is there.

Paypal reps are active on Paypal seller forum,you may be able to get more information there,or one of them could tell you more!

if you tell us what you are selling,details ,not general information,may be some of us will know why?

they will be tagged Paypal rep ,there are a few who frequent Paypal forums.
If your money is removed for POLICY violation,it has nothing to do with your brother's account,2 separate issues here

(1) what kind of services do you provide to Ebay sellers to get a cut of their profit,is this the reason why Paypal removed your fund?
(2) your account is linked to your brother account? how?

the policy is published on its site,it has nothing to with linking to another account ,BUT then,may be your brother is doing something which violates the policy??

Re: PayPal's damages caused by Acceptable Use Policy violation
 

see what I mean? You sound like a MACHINE a computer or a stooge.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

More important than ever to leave a tiny balance to cover any returns but otherwise to withdraw every single penny / cent.

Paypal could do what they did to you to everyone and get away with it. We are using it using false details after all ...

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I'm confused, either the situation I described is common, in which case I'd think someone else would have experienced it and could comment, or it is new and unheard of, in which case people here should be extremely alarmed. I keep checking this thread for anyone with knowledge or experience to chime in like a kid running downstairs on Christmas morning looking for presents.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I have been doing stealth on high risk items (electronics) for many years and have been limited many many times and have never seen them do this.

Always after 180 days they release the balance and then add savings account or debit card and withdraw it.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I called them, and after putting me on hold for a few minutes, she came back and said to check the inbox messages of my account, and there would be the address to have my lawyer do a civil subpoena for any records concerning my PP account, and basically just saying, "Get a lawyer and sue us if you want your money."

In response to other replies here, no, I was not selling any copyrighted stuff or anything like that, and yeah, in the past I have always waited the 180 days and withdrawn the funds.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Paypal is starting to crack down hardcore it seems. I'm seeing multiple reports of people not getting their money back, paypal wanting IDs that don't exist, and finally this new situation of just staight up stealing the money.

I got 3.5k that should be unlocked in a couple of weeks. I sure hope I can get my money.

The best thing is to only ever leave enough in PayPal to cover some returns.

I will report back what happens with my money. 3.5k I will get a lawyer if needed. Legit goods sold with tracking, on a stealth account.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

https://i.imgur.com/bOpJZKQ.png

I just checked and my money is all still there. I should be able to get my money on the 17th. I will report back then. And make a thread as well just to confirm people can still get money after 180 days. My account still has a valid bank, so that should not be an issue.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I doubt he has enough money at stake to proceed with any legal action.

Also, I really doubt he didn't have a negative PayPal balance or something else we don't know about. Paypal must have had some damages to take his money...

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I definitely don't have enough money at stake to hire an attorney, but I am proceeding with arbitration and then I have the option of small claims court, so if they don't send a lawyer to my local courthouse, I would win by default.

And I absolutely did not have a negative balance or in any way owe PP money. Until now, I have always waited until the 180 days was up to withdraw funds. Every time. A few times they even sent me an e-mail early saying that my funds were available to withdraw....before the 180 days.

If I had actually caused them damages and/or owed them money, what they have done would make sense and not be so alarming to me, although I can understand you thinking that there must be more to the story that I'm not sharing, because otherwise it just doesn't make sense.......

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Sorry for doubting you, I just have never heard of this happening. It seems very strange as Paypal is breaking the law to just take money from an account without a valid reason even if the account is stealth.

Please report back what you find out. I will report if I can get my money out when my 180 days ends.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

They got me as well guys on the same bull****, just found out not that long ago when looking at my PayPal accounts that were supposed to have been past the 180 days that they withdrew the money to themselves. Time to take the next step and threaten legally something I should've done way back in April when all of this mess started.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

I definitely will update you guys and I'm definitely taking legal action this time. I bluffed before but now I'm serious. It seems PayPal caves every time a threat of legal action is taken so that's something I'm going to have to finally do.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Hey... just saw another post about this titled "Paypal Small Claims Court" started by TPS2016 (I think?!). It's a bit old but perhaps they can help?! Hate to see Paypal screw anyone over. Good luck!

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Sickening amount of money to lose. But I guess it's all profit ? Why did you leave such large balances in paypal ? why not withdraw ?

In my opinion digital products like Fortnite accounts appear to be shady products in the eyes of paypal. Paypal hates digital, they prefer tangible items even if it's high risk.

In regards to them wiping accounts clean and keeping the money, they are probably balancing the books because so many stealth sellers defraud them on a daily basis.

All the established stealth sellers (with accounts that have been through all the checks) but are currently running legitimate businesses under stealth can at any moment go completely rogue, run up thousands of pounds worth of orders, not fullfil them and just abandon their paypal accounts leaving them to reimburse buyers.

Fairly sure loads of fraudsters are doing this. That is why enough is enough in the eyes of paypal.

This is them fighting back.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

How did you have so much money left in your paypal? So you have lost like 80k now?

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Wait,Wait,Wait so what is causing this to happen exactly? I'm frightening as hell right now after reading this

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Seems like Paypal is literally stealing money now hopefully someone from the top finally comes down on their ass.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Same issue.

Memo: "Payment to: Paypal; PayPal's damages caused by Acceptable Use Policy violation."

https://i.imgur.com/4Ibcx52.jpg

Unsure what AUP I had violated at the time, they never explained. I just accepted it and moved on after I got no where talking to PayPal support.

Now end of the year I am trying to withdrawal my funds and I found out they have taken the funds across all my accounts. This is a large dollar amount.

I don't owe any money to PayPal, never frauded them or anyone through PayPal, have no negative balances.

Without any notice or explanation, they just moved the funds to their own PayPal Account.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

The acceptable use policy above is very broad. It could mean a million different things. PayPal appears to be now applying fines to individuals for violating AUP Policies for which are not clearly listed in the AUP Policy they provide.

11.7 Acceptable Use Policy Violations. If you violate the Acceptable Use Policy then in addition to the above actions you will be liable to PayPal for the amount of PayPal’s damages for each violation of the Acceptable Use Policy. You agree that $2,500.00 USD (or equivalent) per transaction in violation of the Acceptable Use Policy is presently a reasonable minimum estimate of PayPal’s actual damages considering all currently existing circumstances, including the relationship of the sum to the range of harm to PayPal that reasonably could be anticipated because due to the nature of the violations of the Acceptable Use Policy, actual damages would be impractical or extremely difficult to calculate. PayPal may deduct such damages directly from any existing balance in the offending Account, or any other Account you control.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Give us all the details what were you selling dude. I've been doing this for several years and I'm just now seeing this all of sudden I want details.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Going into a bit more detail about my situation.

I sell multiple items and services on different sites. Development, Tangible Items, Virtual Items. Not one specific industry. Nothing on the list of prohibited items, 100% sure. PayPal closed my account. I did try to appeal but was left with no answers, no way to communicate with the team who makes the decision. I had other PayPal Accounts. Those were eventually limited as well.

My issue isn't disputing PayPal limiting my accounts, they are PayPal they can deny service to anyone at any point. My issue is that I was told by PayPal they would let me withdrawal my funds after 180 days. I even received an email letting me know they're available for withdrawal.

Your PayPal funds are now eligible for withdrawal.

You may transfer the funds directly to your bank account via online bank transfer or you may request a check from PayPal. Please let us know how you would like to receive the funds by logging in to your account.
As a reminder, access to your account will remain limited.

While access to your account is limited, you may:
* place logos into your auction listings or on your website
* update your account information
* withdraw funds from your account

You may not:
* send or request money
* receive payments
* add funds to your account
* close your account

Thank you for using PayPal.

I waited to withdrawal these. Now after about 300+ days since the limitation occurred and see recently instead of letting me withdrawal, they just took all 100% of the funds and transferred it to their PayPal without any notice, email, call or anything.

https://i.imgur.com/4Ibcx52.jpg

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Fighting back or not this is damn near illegal we work hard for those funds.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Wait so you waited 300 days? You didn't check back in 180 days? So you checked back 200+ days later?

Re: PayPal's damages caused by Acceptable Use Policy violation
 

In my particular case, I was hoping to sue PP in my local small claims court. I have since learned, assuming it's true, that part of the fine print you agree to when setting up a PP account is that you agree to not sue them. You still can, of course, at least in the USA, but you open yourself up to a counter suit from PP if they can prove that you did, in fact, violate their overly broad AUP.......

I guess I'll just write the loss off at tax time and sharpen up my game a bit........

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Folks, you don't need a lawyer.

Just properly serve a DEMAND LETTER to PayPal's Legal Department in San Jose, CA.

They MUST respond, and they WILL. 100% of the time. In most jurisdictions, a DEMAND LETTER is an absolute requirement (and prerequisite) to an actual action (suit) being filed. PayPal knows this, and they will take such a notice very seriously.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Small claims can work.
Just make sure you PROPERLY serve a demand letter first.

I speak from experience. In most courts the judge will dismiss your case outright if you don't do that.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Are you in the U.S.?

Re: PayPal's damages caused by Acceptable Use Policy violation
 

They took your money because it's intangible digital item. They know you didn't have to invest in any actual tangible stock. And they know you won't sue them. Easy money for paypal.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

If we group together, then we can.

Re: PayPal's damages caused by Acceptable Use Policy violation
 

Multiple people having the same issue. I don't think individually we can resolve this. Have to gather up people having the same issue.