PayPal, advise please.

[John Jones Jr]

Guys,

Is there any point or advantage to keeping funds in my PP account considering it connected directly to my credit card?

Cheers in advance.

 

[jaymanek]

Whenever I get much over £200 ill withdraw it..

But im a heavy ebay buyer so it soon gets used up!

 

[Scott_F]

Do you use your Paypal account to pay regular bills such as settling your monthly Ebay invoice ?

Do you make unexpected purchases at short notice using your Paypal account ?

If the answer to both is no then there is no advantage to keeping money in the account. Move it to somewhere where you may earn a few pence in interest or will at least prevent the Paypal vultures from earning interest on your dormant funds.

 

[John Jones Jr]

So, Jay what if I've got 200 quid in there and I wish to purchase something that's 500 quid for example. Do they take the 500 from my C/card or 300?

 

[Mrhanky]

Whenever I get much over £200 ill withdraw it..

But im a heavy ebay buyer so it soon gets used up!

Same here, If the balance gets bigger above £300 I shove it over to my bank account. I do this as Paypal once put a freeze on my account and I couldnt use any money held with them.

 

[Deleted member 37751]

So, Jay what if I've got 200 quid in there and I wish to purchase something that's 500 quid for example. Do they take the 500 from my C/card or 300?

They empty your PayPal account first then take direct from your bank.

 

[daveenty]

So, Jay what if I've got 200 quid in there and I wish to purchase something that's 500 quid for example. Do they take the 500 from my C/card or 300?

Whenever I've bought something using Paypal and actually had money in my account they use this first and then the balance from my bank. It's very seldom I have anything in it though, mainly for the reason Mr Hanky mentions with regard to freezing the account and stopping you using your own money.

 

[Chrishazle]

Personally, I would never give Paypal my bank account details, only my credit card. I've seen 2 friends have major problems through having their bank account linked to Paypal.

As for a credit balance, I seldom have one - but when I do, it's never more than £50 so I just leave it there against future Ebay purchases. Any refunds I've received (through INR type things) Paypal have automatically credited the refund back to the credit card the original payment came from.

 

[flango]

I have a separate bank account that I only use for online transactions and ensure there are just enough funds transferred into it to cover the transactions I make, never had a problem in15 years doing it this way and I do a lot of on line tranactions

 

[John Jones Jr]

Personally, I would never give Paypal my bank account details, only my credit card. I've seen 2 friends have major problems through having their bank account linked to Paypal.

Interesting comment as I did link my bank account to PP, simply due to the fact I was paid a reasonable sum on a couple of occasions via PP and would never have needed those amounts for future online purchases. Mistake, unlink asap?

 

[markjay]

Some years ago a friend was conned on eBay via his PayPal account that was linked to his bank account.

But from memory what transpired then was that it would not have mattered if he had his Credit Card linked instead, because there is no protection from the card issuer for PayPal purchases anyway.

Essentially the card issuer does not pay the seller or eBay, it pays PayPal, so as long as you were not conned by PayPal themselves, the card issuer is not interested.

But legislation may have changed since, I do not know.

 

[Giantvanman]

I have a separate bank account and a credit card linked and only have money in Paypal if there has been a refund. I mostly try to use the credit card on the basis that if something goes wrong, it isn't my money. The bank account is only for the few transactions that complete with giving the option to change the paying source to a credit card.

 

[markjay]

...I mostly try to use the credit card on the basis that if something goes wrong, it isn't my money...

I suspect that this is not how the credit card issuer would view it...

Keep in mind that you are using your credit card to 'buy' PayPal credit.

Once PayPal issued the credit to your PayPal account, the transaction is complete and the credit card issuer has no responsibility regarding what PayPal does further (e.g. pay the eBay seller etc).

You would have a claim against the credit card issuer only in the event that PayPal took the money off your card but did not provide you with cash credit.

But the subsequent purchase of goods with the PayPal credit is seen as a separate transaction that is not covered by the credit card protection.

This was the legal situation at the time - again, it may have changed since.

 

[bob6600]

I have had mine for 12 1/2 years and been linked to my bank account since day one, not had an issue.

 

[artyman]

The one certainty is, if anyone is going to lose money it won't be Ebay or Paypal!