Private Proxies Question???????????

When checking on GSA Search Engine this morning I discover a lot of private proxies are dead so I decided to contact the proxies company to issues out another set of proxies... This what they say!

It was reported to our ISP which we link to your proxy IP addresses. Our ISP requires us to process these abuse reports by terminating associated accounts, which is why we moved you to a different server instead. Otherwise, they will shut down all our servers.
Note that it is your responsibility to ensure that your activity complies to the terms and policies of the sites you visit. Please do not do anything that would be considered "spam" by forums, blogs, or other sites (e.g., creating hundreds of profiles with repeated fake-looking info across hundreds of sites). If you produce an abuse report again, we will need to permanently suspend your account.

Long story short they told me that I am not allowed to use USA proxies because of the complain so they only allow to let me use one IP range private proxies ...

My question is:

What is proxies are use for? Is it use for SEO tools and get back links or who know what peoples do to it?
Why do peoples pay much more for private proxies? Is it to get higher result rate?
Am I using the proxies the wrong way?

Please give me some educated answers so I can link this thread to them... They have a sale thread on this forum but I don't wanna mention any names.

English is not my native language I'm sorry for the Grammatical Errors.

Proxies are used for many purposes like SEO, Social media, Web surfing etc.

Peoples pay more for private proxies due to those reasons:
They get a high success rate if they use for SEO purpose in their softwares.
They get the IPs which are not abused by others.
They can use for Social media in it you can't use crap IPs due to limitation of social networking sites if they use crap they get their accounts banned.

Like that many reasons depends on needs basically.

And if you use proxies for GSA then you can try the site see in my signature it works best for it and you can contact them for propery way how to use it with it hope so you got your answers thanks

Well it depends on how you were using them or what you were using them for. I had a situation once when I was webmailing where I was receiving a lot of complaints and eventually the proxy provider I was using said they'd have to cut access to the network that I was using to webmail. They had previously lost servers in the past from complaints and didn't want to risk it again. They issued me a refund and no hard feelings, so it's not that unusual or out of the ordinary that they could've moved you to a server that is with a different isp that's not as strict. It really just depends on what you were doing. Different providers have different terms and some are more touchy than others about certain activities so you might just have to look elsewhere.

use the proxies with GSA, but be sure to disable the forum feature, in this way you will be able to use the private proxies with GSA