How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ash Your Own Question
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
Type Your Law Question Here...
Ash is online now

I sell online. And started to take money trough PayPal,

Customer Question

I sell online. And started to take money trough PayPal, before starting to use PayPal i called their support and they said it was ok to sell this product. And on a few other occasions i told them what i was selling and they did not object to this. Then as normal they put my account under review and i provided passport, bank statements etc and it was back to normal again. Then after some days they put it under review again but said i can continue to receive money while under review just not transfer out to my bank account. So one morning i get a email saying they will terminate my account because of fraudulent or high risk behavior and they will keep my money for 180days. At this point there is over 7000 in the account as they said i can still receive money and review should take only a few days.. I tried asking them to release my money but they refuse because some customer might open a chargeback and then there needs to be money in my account for them to deduct. But the item sold is not covered by seller/buyer protection so the one opening the chargeback dispute can not win. Despite this there still needs to be money there in case someone opens a dispute they can not possibly win. Of almost all my customers i have pictures of id etc and proof of delivery so there should not be any issues with this.
So to sum up. They said it was ok to sell this. they said i can continue to receive money and then they close my account and keep my money for 180days without chance to appeal. And i get no interest or anything on the money they keep for 6months. To me this seems to be very punitive despite me asking and making sure it is ok to use paypal for this. Should i bring this to court? or what can i do to get my money from them?
Submitted: 1 year ago.
Category: Law
Expert:  Ash replied 1 year ago.

Hello my name is ***** ***** I will help you.

Just to be clear they have or are terminating your account, is that right?

Customer: replied 1 year ago.
Customer: replied 1 year ago.
the decision is not possible to appeal. so from what i understand im banned for life from PayPal.
Expert:  Ash replied 1 year ago.

That is correct. They are private and are able to terminate your account if they so wish to do so.

This is because you have signed up and agrees to their terms and conditions.

The only thing you could do is complain to the financial ombudsman. Although PayPal as such are not based in the uk as its a uk service you should be able to complain to them.

They offer a free, independent service and can be contacted at

Or the only other alternative is to open a stealth PayPal account which are available online for a few hundred £

Can I clairfy anything for you about this today please?

Customer: replied 1 year ago.
i dont really dispute the termination of my account and understand they can do so if they wish.
It states any legal action will be under UK law in their terms.
But keeping all my money for 180days seems abit excessive and honestly i think it should be tried in court as i think it have never been.
Customer: replied 1 year ago.
I presume Stealth account is a used account that someone else set up? And i presume that is also against PayPal rules? And as they are now a bank can that not be even coincided bank fraud?
Expert:  Ash replied 1 year ago.

You need to write and set out your losses and request a refund within 14 days or say you will go to Court within 14 days. You should make sure you send this signed delivery and keep a copy.
If they do not refund you then you can issue proceedings in the County Court. You can either do this online at: or by completing form N1 and take it to your local County Court.
The Court will then issue a claim which a copy will be sent to the Defendant who will have a limited time to defend it, if not you can enter Judgment and enforce.
If the claim is for £10,000 or less it will be a small claim so you will not need legal representation. Over this value you would need representation for trial.
Can I clarify anything for you about this today please?

Customer: replied 1 year ago.
id like to know about that Stealth account. Is that ok on all fronts? or will i just end up without my money and get in trouble. Cos i need to get my money from there or to there at some point and adding a bank account / credit card will pretty much tell them who i am anyway and it will be terminated all over again
Expert:  Ash replied 1 year ago.

That is a temporary measure as people can set out PayPal accounts if they have been banned. It's like stealth eBay accounts.

You may need to find an alternative processing solution such as your own merchant account.

Can I clarify anything for you?