Escalate to paper.
My first letter would be to, take your pick, the CEO of BoA or their Investor Relations department. ("To whom it may concern,¥n¥n I'm a shareholder in Bank of America. It was therefore with great displeasure that... I would be obliged if you investigated this as soon as reasonably possible.")
I happen to be a shareholder in Bank of America, and if you own virtually any mutual fund in the United States (perhaps in your IRA or similar), welcome to our exclusive club.
There's a series of letters you can write after that one, but I'd give you 50% odds on that solving your problem within 2~3 weeks.
The size of the dispute is too small to justify hiring a lawyer. If BoA continues to not play ball, then I'd send a followup letter, addressed to your local branch manager, and say substantially the following:
"On XX/YY/ZZZZ Bank of America received a $200 electronic funds transfer from Paypal to my account, QQQQQQQQQ, which was closed on 9/5/2014. As my account was closed, I have not received the transfer, which is a clear error. The bank's representative $BOB said that the money had been returned to Paypal, but according to Paypal, this is not accurate.
XX/YY is within 60 days of the posting of this letter.
Accordingly, I dispute that Bank of America has properly discharged its responsibilities under Regulation E. You have 10 business days to investigate. After investigating, you have 3 business days to inform me of the results of your investigation. If you do not inform me of the results of your investigation by #{Date.today + 13.days}, you are in per-se violation of Regulation E.
I seek the following resolution to this issue: a cashier's check, delivered to my address via your choice of courier, in the amount of $200, representing the amount Paypal attempted to transfer electronically to my aforementioned account.
I have taken the liberty of sending this letter via registered mail, to make sure it comes to your prompt attention. [+]
Regards,
$YOU
[+] This action does not need to be announced in the mail, but considering that it is intended as a threat and will be read as a threat, might as well make sure everyone is on the same page about the threat.
The action you're threatening is to write the Federal Reserve Board a very well-documented complaint, upon which point a well-funded bureaucrat with very little to do gets to command BoA to pay attention by holding their feet to the fire until they do.
