Jump to content
missbling

Paypal - Acting Fraudulently - Huge Fraud Ongoing

style="text-align:center;"> Please note that this topic has not had any new posts for the last 319 days.

If you are trying to post a different story then you should start your own new thread. Posting on this thread is likely to mean that you won't get the help and advice that you need.

If you are trying to post information which is relevant to the story in this thread then please flag it up to the site team and they will allow you to post.

Thank you

Recommended Posts

Hi, I may be on the wrong forum, if there is a more suitable forum would some kind person move this to where it should be. It may be the right place.

 

Happy New Year too you. I have discovered a huge fraud, so huge that it seems unbelievable but I do have the proof and I have pursued it

 

I have always purchased off of ebay, but after Christmas just gone I got an email which said clear your clutter and make some money.

 

I though umm I've got clutter so I listed a few low value items. I've got excellent feedback 100% on 150, My paypal account has been verified and I've passed all the credit checks, never had a problem I buy once or twice a week from ebay on average.

 

The first item sold for 12.00 I got the money via paypal no problem. The next item sold for 120.00 I got my money from Paypal no problem. I made several other sales a lovely man came to collect the table and chairs no problems.

 

I woke up one morning to an email telling me Paypal were placing a hold on the fund in my account for 21 days. Apparently they do this to millions of people everyday.

 

I wrote to them asking them where my money was being held whilst it was being frozen what assurances of its safety would they give me. They refused to tell me. I contacted the Banking Ombudsman this is illegal. If another party holds money in a client account they cannot use it, they cannot lend it to another bank or anyone else, they have to safeguard the money and if they gain interest they have to pay it to you. Ie another cannot benefit from another person's money ie keep their interest without written authority.

 

I wrote to Paypal asking them for the interest they had gained and asked them again where they were holding my money. I have researched this and there are thousands upon thousands of horror stories of people having their money snatched for 180 days or more on the most flimisiest of excuses.

 

I spoke to the FSA and the Banking Ombudsman and they say that they are investigating, but anyone who thinks they have a claim should put it in writing to the Company ie paypal. Think about it all the years 6 years of money kept and used by them. If they have used the money to buy assets or have lent it out on inter deposit rates illegally then all those whose money has been used are entitled to a share of this. If its held in a client account why won't they give the details of it as legally required to do so. If they have nothing to hide.

 

I began researching the legal issues surrounding what they are doing. Most people said oh they are so big who can touch them that's why they get away with it. My answer is so was Goliath, but David beat him.

 

I am looking at putting a team of people together to help me expose this and win back money for all the people affected - would you be interested in joining me do this. I have access to High Court Barristers, I have through my work secured help to put together letters. But if this is going to be successful then a few people all working with our heads together will stand a better chance. To give you some idea there are about 143 million accounts worldwide and over half of those are thought to be frozen or limited or have been frozen at some time. Paypal need to generate income at the moment and by freezing money on more and more accounts for 21 days they are earning millions and millions of other people's money.

 

They try to say its to safeguard everyone, but thats just an excuse to allow them to do it. If you use Ebay, in most cases you have to now use Paypal. If you have a dispute on ebay, ebay are supposed to have their own dispute systems in place, but no Paypal wade in as big brother and seize the money. In pricipal Paypal freezing money if items are in dispute does have some small merit.

 

But they are not doing this. They are withholding the money for 21 days whether there is a dispute or not. Paypal say they will consider giving money before 21 days if they see good feedback and you provide proof that the goods were delivered and the buyer is happy. But its up to you to put your case to Paypal and then its at their discretion. If the buyer gets the goods and does not leave feedback, or the item is picked up in person then Paypal will hold the money even longer in most cases.

 

The banking ombudsman says that they have to stick to strict rules on holding clients money and they have to disclose to you where your money is and if its earning interest what you will get back. They refuse to do this. That is unlawful. Solicitors, banks, clubs, charities etc all hold money on account for others and they have to make it public where the money is and if its an account that pays interest make arrangements to pay the interest to the person.

 

If you are interested in joining me with this. I am not advocating personal disputes, My point is to win back all the money for those withheld illegally and to get interest paid back to all the people who are owed it. If we can get hundreds of people making complaints and asking for interest Paypal will have to act. They can't ignore the law if everyone demands they stick to it.

 

My arguement to Paypal is that this money is earning interest and they are not entitled to keep it for their own gains. Its basically ill gotten gains. They are collecting money and acting as judge & Jury and imposing fines by way of fees.

 

Thank you for taking the time to read. Lets make 2010 the year that we all fight back against this illegal practice.

 

 

I have a PayPal account and due to someone using a stolen credit card back in October 2009 have a rolling reserve implimented by PayPal shortly after that. I wrote again to complain recently and got an email from PayPal today stating

 

'We have removed the 100%30 days Rolling Reserve on your account.Based on

a review of your account and activity, we have decided that a jumpr

reserve of £2000.00 will be applied as follows:

 

Jump reserve: A Jump reserve is the amount of funds that must remain

available in the 'pending' account balance, without a fixed release

date.

 

Where is the interest on the £2000.00 that PayPal will be forever holding amd where is the interest that the rolling reserve has been accumulating since 2009 ? - surely this is illegal???

Share this post


Link to post
Share on other sites

There is nothing illegal about holding onto your money and not paying you interest. It's all down to the T & C's, which you agreed to. Ultimately if you don't like it than you don't have to use Paypal.

 

There is perhaps some argument in claiming that these terms breach the Unfair Terms law but would anyone fancing taking Paypal to court and risking costs, this is especially complicated as they are based in Luxumbourg.

 

Andy

Share this post


Link to post
Share on other sites

Well, I have just found this post after looking around the forums, and I could write a book on PayPal! However, I will keep it as short as possible!

I had an ebay and paypal account during 2002 - 2006. I had a 374, 100% positive feedback, and used my paypal account a lot for payments. I had one bad experiance during this time, I was selling some palm top computers for about £140.00 each, and sold one, got paid, and then about 2 days later was informed by Paypal that I had been paid by a 'stolen' account. I had already sent the item abroad, but they took the money back off me!

The real problem came in 2006 when I recieved two payments, one of £1200 and another of £1500. These were for the sale of two Rolex watches. PayPal 'froze' my account, saying that I had been dealing with a company called 'Security Arms' in America and dealing with Sub-Machine guns! Yes, its true, can you believe it??? I told them that the amounts I recieved were for two watches I had sold, and that if they cared to look, the buyers were both registered in the UK, and there was no evidence about this company called Security Arms!!!

Anyway, they wouldn't have it and froze the money for 180 days (thats 6 months!). Also, as Ebay and Paypal are the same company, Ebay suspended my account!

I wish at this point I had taken them to court, but I didn't.

I have always been successful selling on Ebay, and due to financial difficulties over the last three years, it has helped bring in a much needed additional income. I have had to resort in opening more Ebay and PayPal accounts, but usually get suspended within a few months. The reason for this is I can bring in a resonably high turnover in a short space of time, this obviously flags up to them, they check my details, and I get suspended.

After phoning PayPal last time, they told me I was a risk, but would not give me any reason or evidence, and after I told them that all my payments and funds recieved were via Ebay, and that I had a 100% positive feedback, was told, "We provide a service, and can take it away anytime we want"!!!

I have written to them, and have yet to recieve a reply, but I have accused them of slaunder, making false accusations, and stated that Ebay and PayPal have a conflick of interest as I can't sell on Ebay without a PayPal account!

This has cost me £30k, and put me in a lot of debt. As I said, its a long story and I have given you just a very brief outline of my continued problems with the two companies. I would also point out that PayPal is also not under the Direct Debit Guarantee as banks and financial institutions in the UK. This was told to me by a member of my bank, LloydsTSB, when they took £400.00 from my account without permission!

How can a company like this be allowed to trade? How can this conflict of interest, that Ebay won't let you sell without having a Paypal account???

 

I would be very interested in your views and comments, and if a member of Ebay and/or PayPal are reading this, maybe you'd like to contact me to discuss this, as if I had the money, I'd sue you for thousands!!!

Share this post


Link to post
Share on other sites
if a member of Ebay and/or PayPal are reading this, maybe you'd like to contact me to discuss this, as if I had the money, I'd sue you for thousands!!!

 

Did you ever take this further? I guess not?

Share this post


Link to post
Share on other sites

I should of taken them to court when I first had problems with them, however I do not now have the money to do this now.

Share this post


Link to post
Share on other sites

I used to run a webhosting company but had to close after paypal decided that selling a Server to a customer to co-locate it was considered digital goods and returned the money to the buyer no problems as the server was with my datacenter any way.

 

HOWEVER

 

I had a volume of sales over £2k per month Paypal have locked £4k in my account and basically ruined my company and refused to unlock it.

 

I would also be interested in a class action if everyone else will get involved.

Share this post


Link to post
Share on other sites
I used to run a webhosting company but had to close after paypal decided that selling a Server to a customer to co-locate it was considered digital goods and returned the money to the buyer no problems as the server was with my datacenter any way.

 

HOWEVER

 

I had a volume of sales over £2k per month Paypal have locked £4k in my account and basically ruined my company and refused to unlock it.

 

I would also be interested in a class action if everyone else will get involved.

 

Why did you leabve 4k in your Paypal account,I always get my money out as quick as poss !

 

Andy

Share this post


Link to post
Share on other sites

I had a fast growing successful startup that was highly leveraged with lot of startup debt the other partners an I involved had over 40k of transactions that could not go through because paypal starting with rolling reserve an later totally suspending transactions the excuse they used was something to do with little history on our business an needing verification documents.Suffice to say it killed the business mostly due to paypal stopping the sales transactions from going through and the ones they did let through paypal were withholding the money.

I don't know how they can get away with it. How can the FCA allow this behaviour to UK businesses that depend on companies like paypal to transact?

Share this post


Link to post
Share on other sites

I note CAG uses paypal; see below?!

Share this post


Link to post
Share on other sites

Sorry to resurrect an old thread, but I to am anxious to 'take on' PayPal for various reasons I won't bore you with. Has there been any movement on this? if so, have you developed a Facebook group, website etc? ... Almost everyone I| know has had negative dealings with PayPal and I can guarantee you at least a couple of hundred followers on FB if you are still going ahead with this.

 

Do please keep us updated :)

 

Regards

 

Jo

Edited by Outdoor_Joe
hit send too soon :/

Share this post


Link to post
Share on other sites

As said, this site uses Paypal!

Share this post


Link to post
Share on other sites
As said, this site uses Paypal!

not sure of the relevance ?

 

Are you saying that .. this site uses Paypal so ..... 'it must be OK' ... or ... 'don't rock the boat' ... or ... 'it's all in hand' ... or ... watch your P's & Q's ? .... is there some legal thing I'm missing? Sorry but when it comes to things financial, I'm a total nube so you may want to be a little less obscure :/

 

Whatever the answer,I'd still be interested to hear from the OP or anyone else to see if this is being taken forward anywhere. Whether this site is in bed with PayPal or not, I'd still like to get involved in any paypal takedown. ;)

Share this post


Link to post
Share on other sites

not sure of the relevance ?

 

 

raydentinu, I don't see the relevance either?


Please consider making a small donation to help keep this site running

Click here to

donatelink3.gif through PayPal (opens in a new window)

 

Uploading documents to CAG ** Instructions **

 

Looking for a draft letter? Use the CAG Library

Dealing with Customer Service Departments? - read the CAG Guide first

 

1: Making a PPI claim ? - Q & A's and spreadsheets for single premium policy -

HERE

2: Take back control of your finances -

Debt Diaries

3: Feel Bullied by Creditors or Debt Collectors?

Read Here

4: Staying Calm About Debt

Read Here

5: Forum rules - These have been updated -

Please Read

 

 

BCOBS

 

2: Does your Bank play fair - You can force your Bank to play Fair with you

3: Banking Conduct of Business Regulations - The Hidden Rules

4: BCOBS and Unfair Treatment - Common Examples of Banks Behaving Badly

5: Fair Treatment for Credit Card Holders and Borrowers - COBS

 

 

 

Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

 

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

Share this post


Link to post
Share on other sites

just a comment! observation!

however I would have thought if there is a general vast consumer problem with them, why would CAG be dealing with them!!!

its like advising people with problems at a particular bank and then actually keeping your account with them!

I have never has any problem with paypal, or ebay ( so far ), in fact the opposite, but that is in context of a buyer, as they helped enormously with potential fraudsters.

never had a problem at all as seller either, but that is as private seller not a business. Use them all the time.

Ebay and paypal one and the same and are vast, based in the states and as such have their own rules which by and large appear to be fair ( they are biased towards buyers but that's to keep confidence up ).

I will probably change my mind if something goes pear shaped in the future.

Anyway good luck with any action you might want to take.

Share this post


Link to post
Share on other sites

Aha, I see what you are saying now. :)


Please consider making a small donation to help keep this site running

Click here to

donatelink3.gif through PayPal (opens in a new window)

 

Uploading documents to CAG ** Instructions **

 

Looking for a draft letter? Use the CAG Library

Dealing with Customer Service Departments? - read the CAG Guide first

 

1: Making a PPI claim ? - Q & A's and spreadsheets for single premium policy -

HERE

2: Take back control of your finances -

Debt Diaries

3: Feel Bullied by Creditors or Debt Collectors?

Read Here

4: Staying Calm About Debt

Read Here

5: Forum rules - These have been updated -

Please Read

 

 

BCOBS

 

2: Does your Bank play fair - You can force your Bank to play Fair with you

3: Banking Conduct of Business Regulations - The Hidden Rules

4: BCOBS and Unfair Treatment - Common Examples of Banks Behaving Badly

5: Fair Treatment for Credit Card Holders and Borrowers - COBS

 

 

 

Advice & opinions given by citizenb are personal, are not endorsed by Consumer Action Group or Bank Action Group, and are offered informally, without prejudice & without liability. Your decisions and actions are your own, and should you be in any doubt, you are advised to seek the opinion of a qualified professional.

 

PLEASE DO NOT ASK ME TO GIVE ADVICE BY PM - IF YOU PROVIDE A LINK TO YOUR THREAD THEN I WILL BE HAPPY TO OFFER ADVICE THERE:D

Share this post


Link to post
Share on other sites

Paypal owe me around £1,300 and have done for about 3 years now. Everything was fine when I was buying, and selling low priced items. Paypal receiving limits were all lifted, ebay hold was gone as I was not a new seller, never had negative feedback either buying or selling. I then sold my laptop as I was in a sticky financial situation and bam. Paypal account limited. They wanted proof of who I was so I sent off everything they asked for.

 

Then they decided that I needed to supply tracking info for recently sold items, which I had already done. After speaking to a rep on the phone and telling her I had done this she lifted the limit. I tried to withdraw, and bam. Another limit on me within 5 minutes. They wanted proof that I owned the laptop. Luckily enough I keep most receipts so after searching, I sent them a copy of the receipt. I thought they can't possibly ask for anything else, and I was right. Because they could find nothing else to hold my cash for(I'm convinced they wanted me to not have the documents they asked for), they then decided that my account was linked to another account that had "outstanding issues". However they would not tell me anything about this because of "data protection". Right, so I am linked to another paypal in some mysterious way, you can't tell me anything about it, yet you are holding MY money because of this other account. Utter crap.

 

Eventually after months of attempting to get a reply off an actual human instead of an automated reply my account was closed "permanently" and funds withheld.

 

2 days later my ebay account was closed, no reason given.

Share this post


Link to post
Share on other sites

then write to them at their UK registered address and tell them that you are goping to take legal action. Whilst you are about it write to Jeff Prestridge at the Daily Mail finance section and see if he will take up the matter.

If a financial or other service believes that you are committing financail fraud or money laundering then they have to do as they have done, you should check with CIFAS to see if there is a marker on your name. Tell them about the linked paypal accounts.

Share this post


Link to post
Share on other sites

don't think that covers UK at all.


PLEASE DONT HIT QUOTE IF THE LAST POST IS THE ONE YOU ARE REPLYING TOO.

MAKES A THREAD TWICE AS LONG TO SCROLL THROUGH!

 

WE CAN'T GIVE ADVICE BY PM - IF YOU SEND ME A LINK TO YOUR THREAD - I WILL BE HAPPY TO OFFER HELP THERE

1. Single Premium PPI Q&A Read Here

2. Reclaim mis-sold PPI Read Here

3. Reclaim Bank Account, Loan & Credit Card Charges Read Here

4. The CAG Interest Tutorial Read Here

Share this post


Link to post
Share on other sites
don't think that covers UK at all.

 

The case reference is; Zepeda v. PayPal Inc., Case No. 5:10-cv-02500 SBA, in the U.S. District Court for the Northern District of California

 

Would need to scrutinse the judgment closely to see if it makes any reference to residents overseas (i.e. in the UK) having a claim, but I would have thought it unlikely.


PLEASE HELP US TO KEEP THIS SITE RUNNING

EVERY POUND DONATED WILL HELP US TO KEEP HELPING OTHERS

 

 

No... you can't eat my brain just yet. I need it a little while longer.

Share this post


Link to post
Share on other sites

  • Recently Browsing   0 Caggers

    No registered users viewing this page.


  • Have we helped you ...?




  • Tweets

  • Posts

    • There are a number of points in respect of your proposed letter. Firstly, you are referring to the overpayment – "it has not been possible to resolve this matter…" As if this has been an ongoing issue. I'm not aware that it has. I'm not aware that you have had any dispute with them in which overpayment of £116.55 has been the subject. So in that respect, the reference you are making has no meaning. Secondly, you are proposing to provide them with documents which you going to rely upon. I don't think this is the place to do it. This is something that would come after you see what their defence is and you are preparing for a hearing. You are trying to get them too much information to early on. You should provide them with a minimum of information at this point. Your offering the mediation – they are not mature enough to be able to deal with this. If you want to get into mediation then you should say that for later. At the moment they will simply see it as another weak threat from somebody who doesn't really want to take legal action and who probably won't. All the rest sounds a bit like an attempt to be a lawyer – (which is generally speaking not a good thing). Also, you are offering them 28 days. This seems like a long time to me. A normal letter of claim would give only 14 days. As far as I'm concerned, 28 days is simply 14 more days in which to ignore you. I think firstly you need to decide whether you want to raise the issue of the overpayment by writing to them and telling them that you have calculated that you have overpaid them and that you like the money back. Of course this will draw no response whatsoever or it will draw threat. If you take that first step then I'm quite sure that you will be obliged to take the second step – which is to issue the letter of claim. Of course you can simply issue the letter of claim without any other warning. In which case:  
    • All gone quiet on this funnily enough.   Any ideas where to go from here?
    • Both of my CCAs were pretty much illegible.   My husband's form is quite clear though, but it was a simple 2 page form, which refers to lots of T&Cs. The actual T&Cs that accompanied the CCA was a photocopy of what would have been their standard T&Cs at the time apparently - not necessarily the exact ones he would have seen.   I have now had the same PAP letter for my 2 accounts saying that they're referring my accounts to their litigation department so all 3 accounts now passed to their litigation department.    So 3 PAPs to complete. I have the CCAs so there's no point in asking for that again is there? But in box D, what do I write as to why I'm disputing it? I will get these sent back to them over the next few days.   Re. post 232, if I had all the time in the World and a scanner I could have uploaded these docs. However, I will have to buy a scanner to scan the hundreds of pages, but I will. I will do this as soon as I possibly can.  Thanks for the help.
    • well £50+int doesnt = 42% and 42% is a weird figure to offer a discount on.   somethings up IMHO.   wait and see what they send next don't forget they've got to send a PAP letter before they try and litigate. do we know if things like the DN exist? has HSBC gotten an sar sent yet
  • Our picks

    • This is a bit of a lengthy one but I’ll summerise best as possible.
       
      THIS IS HOW THE PHONECALL WENT 
       
      I was contacted by future comms by phone, they stated that they could beat any phone contract I have , (I am a limited company but just myself that needs a business phone and I am the only worker) 
      I told future comms my deal, £110 per month with a phone and a virtual landline, they confirmed that they could beat that, £90 per month with a phone , virtual landline  they also confirmed they would pay Vodafone (previous provider) the termination fee. As I am in business, naturally I was open to making a deal. So we proceeded. 
      Future comms then revealed that the contract would be with PLAN.COM and the airtime would be provided by 02, I instantly told them that this would break the deal as I have poor 02 signal in the house where I live as my partner is on 02 and constantly complaining about bad signal
      the salesman assured me he would send a signal booster box out with the phone so I would have perfect signal.
      so far so good.....
      i then explained this is the only mobile phone I use for business and pleasure, so therefore I didn’t want any disconnection time in the slightest between the switchover from Vodafone to 02
      the salesman then confirmed that the existing phone would only be disconnected once the new phone was switched on.
      so far so good....
      • 14 replies
    • A shocking story of domestic and economic abuse compounded by @BarclaysUKHelp ‏ bank complicity – coming soon @A_Gentle_Woman. Read more at https://www.consumeractiongroup.co.uk/topic/415737-a-shocking-story-of-domestic-and-economic-abuse-compounded-by-barclaysukhelp-%E2%80%8F-bank-complicity-%E2%80%93-coming-soon-a_gentle_woman/
      • 0 replies
    • The FSA has announced large fines against DB UK Bank Limited (trading as DB Mortgages) - DeutscheBank and also against Redstone for their unfair treatment of their customers.
      Please see the links below for summaries and full details from the FSA website.
      It is now completely clear that any arrears charges which exceed actual administrative costs are unfair and therefore unlawful.
      Furthemore, irresponsible lending practices are also unfair and unlawful.
      Additionally there are other unfair practices including unarranged counsellor visits - even if they have been attempted.
      You are entitled to refuse counsellor visits and not incur any charges.
      Any charges for counsellor visits must not seek to make profits. The cost of the visits must be passed on to you at cost price.
      We are hearing stories of people being charged for counsellor visits for which there is no evidence that they were even attempted.
      It is clear that some mortgage lenders are trying to cheat you out of your money.
      You should ascertain how much has been taken from you and claim it back. The chances of winning are better than 90%. It is highly likely that the lender will attempt to avoid court action and offer you back your money.
      However, you should ensure that you receive a proper rate of interest and this means that you should be seeking at least restitutionary damages - which would be much higher than the statutory 8%.
      Furthermore, you should assess whether the paying of demands for unlawful excessive charges has also out you further into arrears and if this has caused you further penalties in terms of extra interest or any other prejudice. This should be claimed as well.
      If excessive unlawful charges have resulted in your credit file being affected, then you should take this into account also when working out exactly what you want by way of remedy from the lender.
      You should consult others on these forums when considering any offer.
      You must not make any complaint through the Ombudsman. your time will be wasted, you will wait up to 2 yrs and there will be a minimal 8% award of interest and no account will be taken of any other damage you have suffered.
      You must make your complaint through the County Court for a rapid and effective remedy.

      http://www.fsa.gov.uk/pages/Library/Communication/PR/2010/120.shtml
      http://www.fsa.gov.uk/pubs/final/redstone.pdf
      http://www.fsa.gov.uk/pubs/final/db_uk.pdf
       
      http://www.fsa.gov.uk/pages/consumerinformation/firmnews/2011/db_mortgages.shtml
      Do you have a mortage arears claim to make? Then post your story on the forum here
        • Like
      • 0 replies
    • 30 Day Right To Reject - Vehicle Casualty Report. Read more at https://www.consumeractiongroup.co.uk/topic/415585-30-day-right-to-reject-vehicle-casualty-report/
      • 57 replies
×
×
  • Create New...