Software

PayPal filed a class action lawsuit for freezing accounts and confiscating funds

Three PayPal users in the United States filed a nationwide class-action lawsuit on behalf of all victims, accusing the company of freezing accounts and locking funds held in their accounts without explanation.

Source: mohamed_hassan/pixabay.com

Source: mohamed_hassan/pixabay.com

Someone Lena Evans (Lena Evans) said that after freezing the account, the service withdrew $ 26,984 without explanation. According to her, the account was used to sell and buy clothes on eBay, exchange money for a poker league and serve the interests of an NGO that helps women.

Co-plaintiff Roni Shemtov said PayPal seized more than $42,000 and never provided a reasonable reason for the account deletion. She received multiple explanations from company employees: one stated that she was using the same IP address and computer as other PayPal users, another that she was selling yoga clothing 20-30% cheaper than retail price in stores , and the third accused her of having multiple accounts, which the woman herself denies.

Shabadan Akylbekov reported that the payment system withdrew more than $172,000 with no explanation. He used his wife’s account to sell medical equipment. After the money disappeared from the account after six months of freezing, PayPal sent a letter to his wife, according to the text of which she violated the terms of the agreement on using the service. In particular, it was about the sale of devices that did not receive official approval from the US Food and Drug Administration. It was also noted that the money was confiscated to eliminate the consequences of violating the agreement.

PayPal has long been a source of dissatisfaction for many users, with accounts and/or funds having been frozen for six months or more. One of the most notable cases was an incident when a fairly well-known intimate poker player, hiding under the pseudonym Chris Moneymaker, received an account restriction and a money deduction after six months of vague answers from the payment system. The player had already started looking for fellow sufferers to file a class action lawsuit when the money “mysteriously returned”. The three victims’ lawsuit alleges that it was caused by PayPal’s widespread practice of unilaterally withdrawing funds from customer accounts without cause or due process.

.

About the author

Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

Add Comment

Click here to post a comment