gemma m.

Hi guys i launched my own business in June 2018 as a limited company and started trading on ebay.co.uk everything was running fine until the beginning of May when paypal limited my account and asked me to send £20,000 worth of purchase receipts which i did (all from reputable suppliers 20% drop shipping) they then put a 20% reserve on my account 30 days later i received the email below. After me contacting them repeatedly i asked for the reasons they stated i was connected to another account and i was high risk i gave an explanation of why i was connected to the account as the lady who owned that account was also my accountant and bookkeeper and she also traded on ebay. We also share an office premises with over 45 businesses who many of are ebay sellers i also explained that to them, I'm a single mother who has ran my company from day one with no problems whatsoever all my accounts are up to date and they have refused to reinstate my account or release my money here is a copy of the email received any help will be much appreciated guys.
Dear Gemma McArdle,

Important information:
We regret to inform you that we're initiating the closure of your PayPal account. This measure is necessary to protect us from potential financial losses.
Your right to appeal:

We always perform a thorough investigation before deciding to initiate the closure of an account. We appreciate that from time to time misunderstandings can happen. To appeal our decision log in to your PayPal account at paypal. And click 'Contact' at the bottom of any PayPal page.

This decision means we need to oversee the appropriate movement of any money currently in your account. A gradual approach to account closure allows us to part ways, while considering any liabilities that may arise. Our aim is to review any valid buyer claims lodged against you. We need to allow enough time for claims to be filed as these can take several months to be reported and resolved.

How and when will my account balance be released?

1. We'll hold any money currently in your account in accordance with section 2 below. We do this because it provides sufficient time for most claims, such as chargebacks, to be filed by other parties. These claims can result in financial loss. If your account balance is below zero, you'll have to settle the amount owing on your account to avoid further action.

2. Our first review at 30 days from the date of this email will calculate our exposure and we'll release any excess funds to you at that time for withdrawal. We'll communicate this to you at the time. This review can result in 3 different outcomes as detailed in subsections 2(1)-(3) below.

2.1. We'll release your entire remaining balance to you for withdrawal. Note: If you choose not to withdraw the money at that point we reserve the right to recoup any money at the next review; or

2.2. We'll release a part of your remaining balance to you. If so we'll inform you about how much money can be withdrawn. We'll then conduct another review 30 days later that will repeat the process detailed under section 2; or

2.3. We won't release any funds to you if we deem our exposure to be greater than or equal to your available balance.

Your account may be reviewed up to 5 times; at 30 day intervals until day 180 from the date of this email. If any money remains in your account at day 180, it will be made available for withdrawal at that point.

When we part ways with merchants, where insolvency or administration is in place, or in some specific business models, we will usually hold funds up to 180 days.

Accounts with a balance owing to PayPal:

If your account shows an amount owing to us, you need to add funds to make sure that the balance returns to zero. Note: We reserve the right to recover the amount by legal means.

A copy of our User Agreement can be found by clicking 'Legal' at the bottom of any PayPal page and then click 'User Agreement for PayPal Service'. Our right to close your PayPal account, and the retention of funds, are covered in our User Agreement under sections 10.2 and 10.3.

Yours sincerely,

PayPal