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Will money will also be freezed when paypal account is locked?
You might be curious as to when your money will be freed if your PayPal account has been locked. Sadly, there isn't a simple solution. Some holds may only last a few days if the transactions can be quickly validated, while others may stay up to 180 days. In more severe situations, the holds may become irreversible and cause the account to be closed.
Source: https://www.accountiod.com/how-to-unlock-paypal-account/