naked char

Doesn't matter if it was the same password or not. They probably have something on your computer which is telling them all of your passwords. So if you've logged into anything on your PC, they probably know what the username and password is.

If you've found your account compromised, probably the best thing you can do is clean your machine and then change your passwords (or change your passwords immediately, but only from a known-good system like your cell phone browser or something).

That goes for both your PoE password as well as your email password. Also make sure both passwords are unique (never been used before) and that they are not the same as each other (always make your passwords between systems different to prevent a full compromise if they gain access to one of the passwords).

I'd also recommend that if you're using gmail to enable their 2-factor authentication system (called 2-step verification in the account security page) to better protect your email account. If you're not using gmail, then I recommend you create a gmail address, do what I mentioned above, then contact support at the email address in the Contact Support link at the top of this page and they'll be able to assist you in attaching the new email address to your account.

They will not restore any items/characters as they have a zero restore/rollback policy. But if you have any microtransactions, those will remain on your account and can be used again, so you wouldn't have lost any real life money.

Good luck.