Started selling on paxful & my bank just called to say my account is closed

[figmentofmyass]

The most likely scenario is that OP will get his money back after a period of time that's too long for his liking and then will be told not to come back. The only circumstances where I can see money being kept is if law enforcement gets involved and whatever money can be linked to something nefarious.

if the money was sent fraudulently, won't it be clawed back by zelle and the sending bank?

either the sender gets refunded (classic BTC for reversible payment method scam) or OP gets his money back. it can't be both. i hate to say it, but my money is on the payment getting reversed and OP permanently losing his account.

this is why i only deal in cash when it comes to p2p trading. it's too risky giving up precious bitcoins for reversible online bank transfers.

[healthnut69]

Update 5/22: Received this notification from coinbase today: "Your recent purchase failed. Until resolved, your ability to trade and transact is disabled.After 5 days, we will automatically sell cryptocurrency in your account to collect any outstanding payments." This is regarding me trying to buy 1000 worth of bitcoin through ach transfer earlier this week before lock happened. I spoke with a us banker and she said that the 1000 is still posted as paid on my account. If it didn't go through coinbase, wouldn't it be credited back to my bank account? Also received an email from coinbase today: "Due to suspicious activity on your account, we have increased the holding time before you can withdraw your funds by 9 business days. This is meant to protect you against fraud by ensuring that you authorized this purchase. No action is required on your part." I am confused as to what coinbase has to do with any of this other than me simply buying bitcoin on there.

There are a few of you that recommended I stop into the bank in person. I am not in Iowa. I am in Washington state. The only way i can contact original branch is over the phone. That branch manager is gone till Tuesday. However, that branch had me speak with one of the local branch managers, who i spoke with today, and he said that the decision has been made to close the account and he doubts that me speaking with original branch manager is going to change anything based on the info he's gotten from efraud. Iowa branch manager said hold could take some time because they are investigating all the transactions made. There were 11 of them made over a four day period.

I was on the phone with local Washington state banker while on the phone with iowa branch manager through conversation. Washington state banker suggested for iowa branch manager to reach out and email original branch manager which he ended up doing. Other than suggesting that there's probably nothing the original branch manager can do and suggesting that it will may take sometime for investigation, that was the end of the conversation.

Washington state banker also reached out through email and text to operations manager in washington state region to see if there's anything else we can do. She also reached out original branch manager through email in iowa to see if we can reach her before Tuesday. Ultimately we're trying to get funds released as soon as possible since theyve decided to close the account.

Looks like we're gonna have to wait till Tuesday.

[gentlemand]

if the money was sent fraudulently, won't it be clawed back by zelle and the sending bank?

either the sender gets refunded (classic BTC for reversible payment method scam) or OP gets his money back. it can't be both. i hate to say it, but my money is on the payment getting reversed and OP permanently losing his account.

You are of course righter than right.

For some reason I totally discounted the most obvious angle - OP being scammed by a buyer. In that scenario the chances of salvaging any money are way, way lower unfortunately.

The combo of unauthorised business use, lack of KYC and having to deal with payment reversals makes for a properly toxic customer.