If you’ve found it impossible to complain about Paypal, you’re not alone
29th Aug 2013 update: I received this request from Charles Yates
“I am a journalist investigating Paypal bullying and am interested in case studies of firms and small businesses penalised for no reason by Paypal. Do you run a small business that has had an account limited out of the blue for no good reason by Paypal?
Have they prevented you from withdrawing or distributing funds without warning? Do they then offer you no discussion or debate as to why they have done this? If you are happy to tell your story as a warning to others then please email me on email@example.com ”
Have you had your account frozen by Paypal who refuse to release your funds no matter how much of the requested information you supply them?
Have you had a scam pulled on you and found that not only has Paypal sided with the scammer, but they’ve frozen your account or closed you down altogether?
Are you going insane just trying to get a real human being to answer your calls? One who doesn’t treat you like an international criminal when they finally deal with you?
To most people, it seems as though Paypal is unregulated. It appears to be able to do anything it likes and there’s nothing the individual can do about it. Back in 2009 I tried to find out who regulated Paypal in the UK and didn’t get very far. The FSA said that it did regulate Paypal and the Financial Ombudsman Service said that they would listen to complaints about Paypal but nothing seemed to happen and the problems just got worse. A couple of years ago, the FSA dropped out of the picture and Luxemburg regulator CSSF took over.
I chose the title of this post carefully “How to complain about Paypal in the UK” because I knew full well that this information wasn’t easy to find. Paypal certainly weren’t telling anyone who regulated them. My original post started getting lots of traffic and plenty of comments.
The stories that you’ve left here are unbelievable. Unbelievable that a business can operate this way and get away with it. Read them and get a sense of how angry people are at this rogue business.
Until recently, this was just a tale of frustration and disgust. But that looks like it might be about to change.
Take PayPal to the County Court and win!!
Thanks to contributor Duncan who alerted us to this September 2011 story from The Independent about a UK woman taking PayPal to the County Court and winning. The judge ruled that it was unlawful for PayPal to continue to hold her account funds after she provided the required evidence.
I’m going to try to get in touch with this lady, so more details (hopefully) to follow.
Register your frustration where it will make a difference – Facebook
Got a problem with PayPal freezing your account? Join the Facebook group now! It’s brand new but it will quickly become the place to turn up the pressure on Paypal. Instead of dozens of websites accumulating angry Paypal customers, let’s bring it all together in one place.
And while you’re at it, please consider signing this online petition.
Well worth a try:
Recent posters report direct intervention by the Financial Ombudsman Service (FOS) to resolve their ‘frozen account’ problems.
And if all else fails:
Lastly, you can try CSSF, the body that regulates Paypal in Luxembourg.