Xbox account has been suspended without any suspension, yeah.

Thanks for the update. And don't worry
Well, now we know that you're not banned and your Xbox profile doesn't have any restrictions

It seems everything lies on FH5, I know that this can bother you a bit. But if you don't mind, please install again FH5 and check if you received the same error.

If that's the case, the next step will be reach Forza support one more time and share with them all this info

Thanks for the update!
I forgot to advise you that, my bad
I usually advise creating a new local administrator to test

Well, it's hard to know what's exactly happening in the other account. Maybe there are files on it that are interfering with Forza Horizon and they're showing you that banned message.

If you want, try testing this:

Press Windows + X, then click on Windows Powershell (Administrator)

Then type or copy/paste this command and press enter:

Get-appxpackage Microsoft.XboxIdentityProvider | Remove-AppxPackage

Restart your PC and install the recently deleted app:

https://apps.microsoft.com/store/detail/xbox-id...

Finally go to Windows Settings > Apps and Features > Xbox app > Reset and Repair, then restart your PC and give it a new try.

Or try this (RainingRoses response):

"Try the following options for Windows 10/11:
1. Go to Credential Manager (https://support.microsoft.com/windows/accessing...) > Windows Credentials (not the Web option), select XblGrts|DeviceKey and remove.

2. Go to Settings > Accounts > Email & accounts. Select your account with the issue and verify that the ‘Apps need to ask me to use this account’ setting is enabled. This would especially help if you have multiple accounts as you would have the option to choose the correct account on startup, but you can always change it back to the automatic option if you prefer. You can also try to remove the account from here and re-add it later.

3. Follow this file path: C:\Users\[Your Username]AppData\Local\Packages\Microsoft.XboxIdentityProvider_cw5n1h2txyewy\AC\TokenBroker
Delete the Accounts and Cache folders, which will be deleted from the Xbox Identity Provider

Note that the highlighted code in this file path depends on your system so may vary.
If you don’t see a particular folder, then confirm there’s no search filters applied and select ‘show hidden items’, or you can just search for the folder in the search bar.
Restart your PC after trying the above steps, so that these properly take effect next time you sign in. It may also help to then reset and repair and/or uninstall and reinstall the Xbox apps where this error occurs."

Source: https://answers.microsoft.com/en-us/xbox/forum/...

ahhhh sorry about that, I have got some storage problem right now and I didn't have any other game that related to microsoft store other that Bloon TD Battles, I don't think that will work either but then again if I delete Forza Horizon 5 and install Forza horizon 4 then I should be able to tested it out right. (I will not do anything thing more than you said right now so dw, I wanted my game back so badly but I didnt know what to anymore)

about my friend's PC, I didnt have him do anything more than the intro screen because I was scared that it would overwrite my savefiles. Yes, he was able to sign in and play with my account but without progress.

I have doubled checked that it was my gamer tag, have him shared his screen me and a bunch of friends to make sure that everything was going correctly.

and lastly about the procedure, I have done all of it and nothing more, should I do anything further?

thank you so much for helping me out, it means so much to me

Hehe, nope, solitaire is not going to work for this purpose. Try for example Halo infinite it needs to be a game where you can play with other simultaneously.

So, in your friend's PC you are able to play with your account on forza horizon 5 but without progres. Right?
Did you double checked if that was your gamertag and everything?

------

In the meantime try this in your PC:

Check the Microsoft Store for any updates on the Xbox apps and its services and update everything too.

Now, sign out from your account on both Xbox app and Microsoft Store and do this:

Go to windows settings > apps > search for gaming services app > click on it and select advanced options.

After that, click repair and then reset

Then do the same for the Xbox and Forza Horizon 5 app:

Go to windows settings > apps > search for Xbox app > click on it and select advanced options.

After that, click repair and then reset

Finally do this:

Step 1: Open the Run window by pressing Windows + R key.

Step 2: Input WSReset.exe in the Run window and click OK.

Step 3: Then a command prompt window will appear. After a few seconds, Windows Store will open.

Sign in again on both Microsoft store and Xbox app with your account and try again

Thanks for the update

Let's try some troubleshooting steps just to cover everything from your side.

First, do you have access to another device? (PC, Xbox or Phone if cloud gaming is available in your region and you have game pass ultimate)

If yes please try sign in with your account there and check if the same message appears.

If yes, can you try another online game? (Can be Forza Horizon 4 or a different game if you want)

If you're able to play online with a different game, the next step will be report this problem to the Forza team.