AUP = Acceptable Use Policy
“Payment to: Paypal; PayPal’s damages caused by Acceptable Use Policy violation.”
The AUP (Acceptable Use Policy) of PayPal are specific rules that tell you what you’re allowed to buy/sell – and what not. PayPal is allowed to change them at any time. The problem about this is in the User Agreement of PayPal:
PayPal can fine your merchant account somewhat arbitrarily, including charging $2500 per violation of the Acceptable Use Policy. There are even cases where PayPal deducted 100% of the account holders money. We do not accept this and want to give a help guideline on this website – which is the reason why we created it. To talk to other people whose money got withdrawn by PayPal: Join our Discord server for more info.
Is this a joke – does PayPal really deduct money?
Unfortunately it’s reality. This is not a joke. There are cases around the internet where PayPal even took up to 400.000 $ from a person. We want to help and give tips against this behavior.
PayPals own Acceptable Use Policy and Terms of Service allows them to play by their own made rules (PayPal AUP Damages). Their payment processing services are unregulated compared to full-service merchant services providers. That means merchants have no legal recourse to resolve these issues or get their funds reimbursed.
To make matters worse, there is no defined appeals process to get your funds back – or your limitation lifted. They can ban you without a warning, potentially without allowing you to cash out your account balance for up to six months (180 days) or even longer. Plus, they can (and probably will) fine you or deduct your money —and there’s not much you can do to stop them. But: We give you tips for fighting to get back your money.