Kenyan PayPal users are reporting frozen accounts and blocked transactions after the global payments firm tightened verification requirements as part of a renewed push against money laundering.
The restrictions have affected a wide range of users, including traders, start-ups, creative artists, freelancers and individuals who receive donations or other payments from abroad.
Affected users are unable to transfer or withdraw their funds for at least 180 days, while accounts that remain non-compliant for more than six months risk permanent deactivation.
Users whose accounts have been restricted are receiving notices informing them that PayPal services are no longer available to them. One such notice reads:
“We are no longer offering PayPal services for this account. Sometimes we can’t process account activity for a variety of reasons, including local laws, our policies, or the policies of our partner banks and card networks.”
Why PayPal Is Freezing Kenyan Accounts
According to Business Daily on June 3, PayPal is demanding additional documentation from account holders receiving money from overseas, including proof of employment or business activity, freelance or employment contracts, bank statements, and evidence of a residential address before they can access their funds.
The company has stated that the measures are part of its anti-money laundering and compliance requirements.
Users who fail to provide the requested information are blocked from transferring money to other users or withdrawing their balances until they meet the verification standards.
Kenyans who use PayPal, however, argue that proving a physical address has become the biggest challenge.
Unlike many developed countries, Kenya’s addressing system often relies on landmarks, estates and postal boxes rather than formal street addresses, making it difficult for some customers to provide the documentation required by the global payments platform.
Also Read: How to Withdraw PayPal Funds Through Safaricom M-PESA App
How to Appeal Limitations and Recover Your Money
To appeal, you can follow the following steps:
Step 1: Access the Resolution Center
- Log in to your PayPal account.
- Click the bell icon or go to Resolution Center → Account Limitations.
Step 2: Identify the Required Documents
PayPal may request the following depending on why you are appealing:
- Kenyan national ID, passport or driver’s licence
- Utility bill showing your name and physical address
- Bank statement showing your name and address
- Government-issued document showing your residential address
- Employment contract or freelance agreement
- Bank statements showing transaction history
- Screenshot or statement of a linked bank account or payment card showing account ownership
Also Read: Complete Guide on How to Connect M-PESA to PayPal and Transfer Money Easily
Step 3: Submit the Documents
- Upload clear, uncropped files with details that match your PayPal registration information.
- Submit only the documents PayPal specifically requests.
- You will receive a confirmation message stating: “We’ve received your information and are reviewing it.”
Step 4: Wait for Review
- Review time is typically 2–5 business days.
- The decision will be communicated via email or through a notification in the Resolution Center.
If Your Account Is Permanently Blocked
- The decision can only be appealed if you provide new information through Resolution Center → Closed Cases → Appeal Outcome.
- Balances may be held for 180 days to cover chargebacks before being released.
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