Complaint Review: PayPal

I use my Paypal account to sell on a weel known online auction service. Periodically I also buy items. Last active period I had a small balance of $130.00 However, it was my money earned from my sales.

I used Paypal to pay for a transaction, and the seller did not ship the merchandise. Paypal is aware of this and continues to let her receive payments via Paypal.

This fraudulent seller ripped me off for a very small amount $15.80. I called Paypal for help, and they did nothing, say they are "investigating" my claim but cannot guarantee anything, or any funds being returned/ recovered. I wish I had just walked away, but instead, upon the suggestion of a Paypal customer service employee I spoke to, I contacted my bank to reverse the charge. I did so. Within 48 hours, my account was frozen. Several buyers had paid me during this time. I was told I could still accpet funds via Paypal but not use them.

My account has been frozen to this day, despite many faxed, and mailed documentation. I was also asked to provide a signed and notorized(at my cost for the notary)affadavit stating Pay[pal may "initiate" debits from my personal checking account. I said I did not feel this was a well written document, too vague, and I added an addendum to it. They will not respond to my faxes or mails unlesss I sign and have notorized,a NON-ammended affadavit.

So, they are still holding my funds. Have been since 1/07/02. I feel I was coerced into seeking help from my bank to put this restriction in process. By my doing this at the suggestion of their customer service agent, as a result, my funds have been "flagged" and frozen.

Today, a small deposit was attempted to be withdrawn from my Checking. Thank God my bank said no.
Where can I file along with others to remove this restriction?
Any help would be welcomed.

Kristina
San Diego, California