> The reason this policy exists is likely to remove super old liabilities for long-dormant accounts that have been long forgotten about.

That’s exactly what this is. I don’t believe it’s meant to be a money grab towards existing customers (simply because it’s such a bad one). Everything has a lifetime. PayPal by now is full of accounts from dead people, money nobody is ever going to reclaim (even if someone out there has a better claim to it).

This money has to go somewhere, otherwise it’s very literally dormant. In my country (Belgium), the government has tools to let people find and reclaim money they may be owed that is sitting in bank accounts. But something like PayPal is not really able to do this.

With dormant fees, PayPal is able to create a lifetime on accounts with dormant money… they will eventually zero out.

That said, they’re still scum and nobody should use PayPal, ever, for anything. I work in fintech - if you’re using PayPal and need recommendations to replace it, reply with your use case and I’ll respond.