Paypal 'Limited Access account' - Frozen my £700 for 180 days

smokey172

Hi all, long time no post but I didnt know where else to turn at this stage and thought some ideas from you guys will help

This is going to be quite a long post, so I will apologise in advance.

Back on 12th December I had a few auctions finishing on ebay (48 in total equalling a final value of £850).

I immediately withdraw £200 which is paid almost instantly, and 2 days later I proceed to withdraw the remaining £650 which had been paid into my account.

The very next day, I receive an email from paypal:

'Dear Mr Smokey,

As part of our security measures, we regularly screen activity in the
PayPal system. During a recent screening, we noticed an issue regarding
your account.

We have observed activity in this account that is unusual or potentially
high risk.

Reference Number: PP-***-***-***

For your protection, we have temporarily limited access to your account. We
will review this access once you have completed all the steps we have
requested. You can view these steps in the Resolution Centre of your PayPal
account'

At this point they had reversed my £650 withdrawal and froze my account.

Bare in mind this is 10 days before xmas, and being a self employed car valeter, this time of year business is quiet & money is tight, hence the reason for the clear out on ebay so I can buy my family presents.

I log into my Paypal account and click on to paypal's 'resolution centre' to try and get my account unlocked.

Here I am asked to complete a few steps to remove the limitation on my account.

The steps which were all completed on the December 16th apart from the confirm bank account one as paypal make 2 small deposits (oooooooooooeeeeeeeeeeeeerrrrrrrrrrrrrrrrr) into your account, these take 3 days to show up.

1 - Add & confirm bank account
2 - Validate your account information
3 - Provide business information
4 - Provide certificate of posting (on all 48 items sold that day)
5 - Submit your documents


1 - Added account instantly, however paypal make 2 small deposits into your account, these take 3 days to show up.

2 - Again done instantly - Had to get a txt off of paypal and log in and supply the pin code they txt to me

3 - I had to fax paypal a copy of my passport, driving license, bank statement, mobile phone bill, and a house hold utility bill. All done instantly

4 - Now being near to xmas, I had already posted 40 of the items the day after the auctions ended as these had already been paid for. Now none of these went recorded as they were all relatively low value items. I did however get prrof of posting. Post office place name and postcode of each item on the relevant till receipt.
The next 8 items I was reluctant to send at 1st, as I had not got the money safe into my account and one was valued at over £400 (Wet & Dry Upholstery hoover).
However paypal told me there is nothing I can do until I post the last 8 items and to get signed for delivery and a tracking number. This I did and supplied to the on the 16th December

5 - This was impossible for me to do and still is to this day and is the reason why I am posting here as I yet to see my money.
Paypal wanted me to send them the receipt's for 2 items which I had sold. Namely the wet & dry vac which I got when I bought a ready made complete valeting business and a pair of brand new trainers I had received back in April 2007 but had never worn due to being to small for me.
Why these 2 items, I do not know and everyone at paypal has tld me its a 'random screening thing'

It is physically impossible for me to supply the documents they need, and I have been told less then 30 mins ago that unless I can provide these last 2 items, my money will remain frozen for 180 or 6 months:eek:


It gets worse............

To cover xmas, I used holiday money we had saved up all year (going away on the 25th Jauary for a week, this was booked 12 months ago), thinking stupidly that as I had done everything in my power, I would be certain to have my money back by then (baring in mind this was 5 weeks till my holiday)

Thing is, 25th Jan is only just over a week away now, and we do not have 2 peenies to rub together:o

I feel sick because of paypal, have been suffering with panic attacks, lost appetite, untold sleepless nights tossing and turning, not to mention the 60+ phonecalls to there help desk and no word of a lie, over 100 emails which barely 25% are replied to.

I am at the end of my teather, and I was really looking to this holiday after the really crap year we have had, family berevment, loss of a dear friend, car accident (claim ongoing), dodgy respray on my beloved car (small claims court proceedings being taken) the list goes on.

Thing is it is a skiing holiday, luckily we had paid for the accomodation and the ferry crossing. However we do not have the money for fuel to drive down to the french alps, we do not have the toll money, we need £200 for lift passes alone so we can actually get up the slopes, we both need to hire ski's and poles at approx £80 each and we need to eat lol

Any advice on what we can do to speed up the recovery of our money would be much appreciated at this dying hour:A

Sorry to vent, on this board, didnt know where else to turn and the poor mrs has been taking the brunt of my anger/frustration, just because she happens to be there:o

Thanks once again

Smokey

jebervic

smokey172 wrote: »

Hi all, long time no post but I didnt know where else to turn at this stage and thought some ideas from you guys will help

This is going to be quite a long post, so I will apologise in advance.


Sorry to vent, on this board, didnt know where else to turn and the poor mrs has been taking the brunt of my anger/frustration, just because she happens to be there:o

Thanks once again

Smokey

I can't offer advice, all I can say is that fully sympathise with your situation, very similar to me.

What an awful organisation to deal with, the only advice I can give- NEVER USE them again !!.

hope you get your money, mine is due back to me in July, what a joke !!.

StaffsSW

I've not come across a small-scale seller having to supply receipts for goods, but it does sometimes happen when you reach the £4,500 (ish) level and further security checks are made due to money laundering regulations.

All I can suggest is to try phoning Paypal - you've not indicated if you have already, but their number is almost as secretive as eBay's call center.

PayPal Customer Service Centre opening hours are:
06:00 to 22:00 Monday to Friday
08:00 to 22:00 Saturday
09:00 to 22:00 Sunday
For general PayPal account questions, please call 08707 307 191

smokey172

Jebervic - Hi and thanks for your reply, I hate paypal with a passion, but love ebay.
I am mainly a buyer and have only ever sold 100 items totalling £1100, but have bought 1000's of items and most want paypal.

Since all this malarky, I have been looking into google checkout, this may be a viable option for the future...................even if Ebay do ban you for mentioning it in your auction

Stevew8975 - Thanks also for your reply, as you will see by my above comment's I am far from money laundering, in 2 years I have sold a total of £1100 ish

My main aimt this time was to raise some quick cash, hence selling one of the vital tools of my trade, but needs must. It was either the carpet cleaner or the pressure washer which would of raised quick cash in time for xmas, the pressure gets used numerous times every day, the wet & dry vac once a week.

Taken from my 1st post mate, will let you off as its getting late and it was a long rant lol

'not to mention the 60+ phonecalls to there help desk and no word of a lie, over 100 emails which barely 25% are replied to.'

BigCraigJohn

That is a pretty shocking story and I do feel for you, ive got a feeling you will not get this sorted by the 25th, as youve said paypal are hard to deal with. Maybe worth trying to borrow some cash for the holiday or get a loan/credit card short term. Youve got the money to pay it back just for some ridiculous !!!! up cant access it. Surely they can do some other security checks and stuff, thats a punishment not a security measure. Are you sure its purchase reciepts they want for the items and not just postage reciepts?, must be a way around that as thats pathetic.

Raxorwolf

I'm really sorry to hear this mate. Paypal are disgusting, when using eBay now I make sure to do cash/cheque.

http://www.paypalsucks.com/

Have a look at that site, lots and lots of people been "frozen", the more I hear about Paypal frozen accounts, the more I believe the stuff on that site.

Good luck, you'll need it.

Alfie_E

Firstly, please read PayPal’s How is a complaint filed in the European Union (EU) processed? You need to write a letter describing your situation as succinctly as possible and send it to the address given in Ireland. Send it using Airsure, so you know that they’ve got it and they know you mean business. Unfortunately, that means a trip to a post office and will add on £4.20 to the postage.

smokey172 wrote: »

It is physically impossible for me to supply the documents they need, and I have been told less then 30 mins ago that unless I can provide these last 2 items, my money will remain frozen for 180 or 6 months:eek:

While you can’t produce documents you don’t have, you can create a legal document to say that a document you’re being asked to produce doesn’t exist. You would be wanting to state that you were selling personal possessions, and, because of that, you don’t have any receipts. You would make what are called statutory declarations, and you could create these to go with your letter. Unfortunately, once again, it’s more hassle and cost.

Below are what I think would be suitable statutory declarations. If they’re factually incorrect, you’ll need to amend them. Fill in the missing parts indicated by the braces ‘{}’ and print them off on separate pieces of paper. Print off the eBay listings for the two items and mark them each ‘Exhibit 1’. If the listings come to more than one side of paper each, just use the first page with all the important eBay details on. You then need to get the declarations witnessed. You can just go to a solicitors’ and tell them you have two prepared ‘stat decs’ you would like witnessing. Don’t worry, it’s not too expensive. It’s a cost that’s fixed by law. It’s £5 for each declaration and £2 for each exhibit. Take along some proofs of ID, in case the solicitor wants to see them. The solicitor also needs to see and initial the exhibits.

STATUTORY DECLARATION

I, {full name} of {full address including postcode}, do solemnly and sincerely declare as follows:

1. The Wet & Dry vacuum cleaner sold by me through eBay and which was assigned the eBay item number {eBay item no.} was purchased by me as a tool of my trade and was not purchased for the purposes of resale and I no longer possess any receipt that I may have received at the time of purchase.
   
   
2. A copy of the eBay listings for this sale is now produced and shown to me and marked ‘Exhibit 1’.
   
   
3. I may be contacted at:
   Title: {complete}
   Name: {complete}
   Address:{complete}
   Post Code: {complete}
   Email: {complete}
   Telephone: {complete}
4. AND I make this solemn declaration conscientiously believing the same to be true and by virtue of the Statutory Declarations Act 1835.

DECLARED at _______________________________________


this _________________ day of ________________________.


Your signature: ______________________________________


Before me: __________________________________________


Before me:
Eligible Profession i.e. _________________________________
Commissioner for Oaths

STATUTORY DECLARATION

I, {full name} of {full address including postcode}, do solemnly and sincerely declare as follows:

1. The training shoes sold by me through eBay and which were assigned the eBay item number {eBay item no.} were given to me as a gift and I never possessed a receipt relating to them.
   
   
2. A copy of the eBay listings for this sale is now produced and shown to me and marked ‘Exhibit 1’.
   
   
3. I may be contacted at:
   Title: {complete}
   Name: {complete}
   Address:{complete}
   Post Code: {complete}
   Email: {complete}
   Telephone: {complete}
4. AND I make this solemn declaration conscientiously believing the same to be true and by virtue of the Statutory Declarations Act 1835.

DECLARED at _______________________________________


this _________________ day of ________________________.


Your signature: ______________________________________


Before me: __________________________________________


Before me:
Eligible Profession i.e. _________________________________
Commissioner for Oaths

smokey172 wrote: »

Thing is it is a skiing holiday, luckily we had paid for the accomodation and the ferry crossing. However we do not have the money for fuel to drive down to the french alps, we do not have the toll money, we need £200 for lift passes alone so we can actually get up the slopes, we both need to hire ski's and poles at approx £80 each and we need to eat lol

You could perfectly well put in your letter that PayPal’s behaviour is causing you a financial problem. You could state that you have part paid for a holiday and that their actions mean you risk losing the money you have already committed to that holiday. You can say that this would be a ‘direct, measurable and unavoidable loss’ caused by them unreasonably withholding your money from you. That, if you have to take the matter to the Financial Ombudsman Service, you would not only be seeking to have your money returned to you but also compensation for this loss.

Finally, it seems that you’ve bent over backwards to do as PayPal have asked and they have behaved completely unreasonably. And, as to why it was those two items, I’d guess it’s because the hoover is expensive and the trainers come with problems of counterfeits and, even if they’re not counterfeit, the problem of whether you have the legal right to be able to sell them as new with the branding and trademarks on them.

Time2Go_25

How did you withdraw the original £200 and £650 without having a bank account already linked to Paypal.

You could try the small claims court, they should no be allowed to hold onto peoples money for 180 days.

richto

Paypal have a UK office in Richmond and you can serve Small Claims court summons on them there. I did and they paid up without going to court.

tightwadman

Yes Paypal are a law unto themselves and much much worse since ebay bought them out. If you pass a magic figure for selling - think its £5,000 they automatically assume you are a crook or money launderer - no matter it migh have taken you 10 years to get there. They then make you jump through several hoops - they wanted me to send proof of my residence to Salt LAke City! They want you to identify your annual sales and where your bank is etc ...

I like the idea of using the small claims court for getting your money back. Best of all find another way of getting paid online - its a great shame that BIDPAY shut down but there must be more and insist UK sellers use a cheque or PO,

Good luck - you will need it!

StaffsSW

Raxorwolf wrote: »

I'm really sorry to hear this mate. Paypal are disgusting, when using eBay now I make sure to do cash/cheque.

http://www.paypalsucks.com/

Have a look at that site, lots and lots of people been "frozen", the more I hear about Paypal frozen accounts, the more I believe the stuff on that site.

Good luck, you'll need it.

Paypalsucks is nothing more than a whinge site, mainly populated by people who did not adhere to the more basic T&C's of paypal.

By all means pay a visit, have a laugh, share a bit of sympathy, but no NOT take anything on there as gospel or fact. There are a lot of over-emotive people who refuse to accept any responsibility for their own misgivngs.

Paypal are far from perfect, but paypalsucks overlooks many of the basic rules of it's use.