Under what circumstances do PayPal limit accounts?

Discussion in 'PayPal' started by monosodium, Jul 10, 2009.

  1. #1
    I see a lot of threads started by guys whose PayPal accounts got limited, i.e. frozen. In most cases they don't explain in detail why the account got limited.

    Do PayPal most often limit accounts because of ToS violations, or because of disputes/chargebacks?

    Does anyone know what typically tends to trigger the limitation? Is it large deposits coming in, or large payments going out, or someone filing a complaint, or something else entirely?
     
    monosodium, Jul 10, 2009 IP
  2. Digital_shubhi

    Digital_shubhi Illustrious Member

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    #2
    THey mostly limit accounts due to chargebacks or disputes.
    Other than that they limit when a new account gets much amount of money. :D
    And also when someone tries to open PayPal via proxy or from a non PayPal supported country.

    - Digital -
     
    Digital_shubhi, Jul 10, 2009 IP
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  3. RightMan

    RightMan Notable Member

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    #3
    Paypal would limit the account under disputes and also if they become suspicious of the authenticity of the owner of the account or his transactions!

    Regards,

    RightMan
     
    RightMan, Jul 10, 2009 IP
  4. deluxdon

    deluxdon Catch Me If You Can...!!!™ Staff

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    #4
    Wonderful article for common reasons for your paypal account to become limited.

    hooverwebdesign.com/articles/reasons-why-paypal-account-becomes-limited.html

    DON.
     
    deluxdon, Jul 10, 2009 IP
  5. Dhaval1983

    Dhaval1983 Peon

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    #5
    There are lot of reasons paypal may limit your account. If they found suspicious activties, VCC on the account. etc....
     
    Dhaval1983, Jul 11, 2009 IP
  6. Ralph Ekpes

    Ralph Ekpes Peon

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    #6
    Paypal will limit your account if they suspect foul play on you account. Sudden change in access IP, VCC usage, charge backs by customers etc
     
    Ralph Ekpes, Jul 11, 2009 IP
  7. blog8491

    blog8491 Notable Member

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    #7
    Recently my account was limited, But I gave every details which they asked. Within 1 day, they removed limitation. The reason was about a $200 transaction. I withdraw it ASAP when i receive it, it may be a security reason. Anyway the problem is corrected. I'm happy about that!

    Blog.
     
    blog8491, Jul 11, 2009 IP
  8. monosodium

    monosodium Well-Known Member

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    #8
    I see, any idea what causes them to become suspicious - I've noted comments about IP and VCC usage, is that the consensus? I did verify using a VCC - it takes about 2 months to get statements from banks in this country - I suppose that was a mistake.

    I see you guys agree about VCC's... You mean using VCC to verify? Or is just keeping it in the account bad - is it better to remove it?

    Basically she is saying "don't use the account" :D Thanks for the link though, much appreciated. I wish a real investigative journalist with the ability to get info from PayPal, from the Times or Reuters or wherever, would cover this topic. *sigh*

    Congrats on getting it de-limited... That transaction - you mean you withdrew it to your bank account the same day after you received it? How do you know that triggered the issue, you mean you never did that before? I thought most people withdraw money after receiving it, isn't that what you're supposed to do???
     
    monosodium, Jul 11, 2009 IP
  9. Pinpointcomm

    Pinpointcomm Banned

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    #9
    Fars i know, Paypal only limits accounts due to issues with charge backs or disputed credit history for the person in question =]
     
    Pinpointcomm, Jul 11, 2009 IP
  10. solarbluseth

    solarbluseth Well-Known Member

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    #10
    My paypal account gets limited everytime I use my debit card. They have a third party monitoring service that is not very good at all. they will also limit your account if you have a refund pending with no funds. Hard to add funds if your account is limited, but thats paypal for you. Also, if you have a dispute that you have no resolved in a timely fashion. If you have multiple accounts with the same social security information, or even email address they have been known to limited those accounts too.
     
    solarbluseth, Jul 12, 2009 IP
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  11. HivelocityDD

    HivelocityDD Peon

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    #11
    The possible situations are fraudulent transaction, multiple personal or premium accounts, not verified users etc.
     
    HivelocityDD, Jul 13, 2009 IP
  12. Nonny

    Nonny Notable Member

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    #12
    Based on the many posts here from people trying to open accounts from non-supported countries, I suspect this happens quite often.

    Here is the official list of what can cause your account to be limited:
    https://www.paypal.com/ph/cgi-bin/webscr?cmd=p/gen/ua/policy_closing-outside
     
    Nonny, Jul 13, 2009 IP
  13. monosodium

    monosodium Well-Known Member

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    #13
    One interesting point, VCC's aren't explicitly mentioned.
     
    monosodium, Jul 13, 2009 IP
  14. Angelaenoho

    Angelaenoho Peon

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    #14
    I don't think it's the amount of money transacted but a high rate of disputes and chargebacks make paypal to limit the account.
     
    Angelaenoho, Jul 14, 2009 IP
  15. Nonny

    Nonny Notable Member

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    #15
    No, but some people seem to be using VCC's to sign up from non-permitted countries, or are buying dodgy VCCs from hacked accounts. Both of those would obviously be against the ToS.
     
    Nonny, Jul 14, 2009 IP
  16. kramxel13

    kramxel13 Peon

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    #16
    I got limited for being underage..
     
    kramxel13, Jul 14, 2009 IP
  17. digi1

    digi1 Peon

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    #17
    Some people got limited for being gay..
     
    digi1, Jul 14, 2009 IP
  18. n00bf0rc3

    n00bf0rc3 Member

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    #18
    If someone sends you money from an hacked PayPal. Stupid huh?
     
    n00bf0rc3, Jul 15, 2009 IP
  19. monosodium

    monosodium Well-Known Member

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    #19
    Yeah, if that's true then it's really shoddy programming. They should do that only if the hacked account and your account were accessed from the same IP, or at least from the same city.
     
    monosodium, Jul 15, 2009 IP
  20. Pinpointcomm

    Pinpointcomm Banned

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    #20
    What about when you wind up violating the TOS :p
     
    Pinpointcomm, Jul 15, 2009 IP