Short answer. A permanent limitation means PayPal has decided to end the relationship. Under the PayPal User Agreement, PayPal may hold your balance, commonly for up to 180 days, to cover disputes, chargebacks and reversals. After the hold, the remaining balance is usually released, provided there are no outstanding liabilities and any requested information has been supplied.
Need help applying this to your notice? Request a free written assessment: PayPal case assessment. We reply within one business day. Paid preparation is quoted separately; the platform decides the outcome.
Limited versus permanently limited
A standard limitation asks you to provide information and can often be lifted. A permanent limitation is a decision to close the account. The wording in the notice and Resolution Center tells you which you have.
How to avoid delays in the release
- Answer every open request in the Resolution Center
- Resolve disputes and claims promptly
- Keep proof of delivery for all recent sales
- Keep a bank account in your name linked for withdrawal
Can the decision be reversed?
Rarely. Reversals happen mostly where the decision rested on a clear factual error, such as a mistaken identity match. We assess this case by case and say plainly when the realistic goal is the release.
FAQs
Does the 180 days start from the limitation date?
The notice and your account show the relevant date. Keep a written record of it and any messages from PayPal.
Official sources