Paypal helps themselves to your funds

[littleredengine07]

So I took out a loan from Paypal. Usually the terms are everytime you sell an item. They take a percentage to pay back the loan. This time around I added money to my PP account. They took the amount themselves without me ever initialing anything. At this point did a withdraw to my bank. Paypal took 1/5 of the amount from my current balance. Luckily I do owe them. But still it would be nice to know. anyone encounter something like this.

[GreenBean]

Yep, I read a complaint on the paypal forum some months back.

Funds there, paypal touches them without your knowing.

Their excuse is the T&S of agreements let them do this.

[Bunneh]

Did you not read the terms of the agreement? They wouldn't take it if it was not in the terms.

[GreenBean]

Bunneh,

actually this is the gray area with these loans.

paypal allows the lender access to the account holder's funds ahead of the wants of the account holder.

Trying not to post confused.com but.....

account has loan via paypal's cronies.

account is in good standing.

funds put in the account get taken for that loan payment ahead of time.

This is the problem quite a few people said.

A person with a paypal loan has no say in control of their balance. The loan comes ahead of even paypal fees.


Ah, the coffee kicked in!!!!! If the loan is via Kabbage, it gives lots of trouble.

[Bunneh]

Originally Posted by GreenBean

Bunneh,

actually this is the gray area with these loans.

paypal allows the lender access to the account holder's funds ahead of the wants of the account holder.

Trying not to post confused.com but.....

account has loan via paypal's cronies.

account is in good standing.

funds put in the account get taken for that loan payment ahead of time.

This is the problem quite a few people said.

A person with a paypal loan has no say in control of their balance. The loan comes ahead of even paypal fees.


Ah, the coffee kicked in!!!!! If the loan is via Kabbage, it gives lots of trouble.

lol thought the loan was actually by paypal and not a third party..
Who would loan from a company called Kabbage

[pokerpro]

WOW...I never even heard of a paypal loan.......knowing the way they operate, I'd have to know I had only days to live to borrow from them! lol.

[littleredengine07]

I see it as the cost of doing business with paypal. I just withdrew the funds to the bank at this point. They did take some at this point.

I guess the account must be doing decent for paypal even for them to consider a loan. I always wonder. I guess you don't need a banking license to give out loans.

I am going to have to increase selling. I do want to take out a paypal loan because it does help. Although now I know they do this stuff. Guess they own your money until it hits your bank account.

[GreenBean]

paypal are using a third party, Kabbage.

They are the licensed moneylenders, not paypal.

[littleredengine07]

I think its a crappy bank in UT called webbank. I think they own them. As long as US corps can create subsidiaries with different EIN. They can say they are two different companies.

I believe Aspkin should create a guide how to help sellers get Paypal loans. It help the group tremendously. Anyone allowed to do loans on their stealth always wondered about that too.

[unkown5454]

Webbank is a sh*t company that issues ghetto store credit cards, etc.

If you need money, go to a real bank or get a real credit card. Why in the flying f*ck would you want to get bent over by PP for loans?

PP knows the games they can play by not being a real bank and you just found out the hard way.

[GreenBean]

Why would a guide for what is basically usury be good?

These loans are from rip off merchants.

[littleredengine07]

The rates are not bad actually 8-9 percent of the loan. No interest added during the loans.
I am not paypal fan whatsoever. But lets put it this way if they close down your account and you have a loan on it. It wouldn't be good for paypal.

I would imagine paypal will probably not close your account down until the loan is paid off.

What do you guys think?

Originally Posted by GreenBean

Why would a guide for what is basically usury be good?

These loans are from rip off merchants.

[yankee]

Loan or advance?
HUGE difference and both are options with papal.

Loan is going to be installments. Stay away from this if possible.
Advance is a portion of every transaction. Advance is essentially paypal buying futures. Good option with no personal guarantee.
Both are very fair options and some of the cheapest private money you can borrow today without being very robust or secured by an asset. Super easy to get as well. Basically have a good standing account with regular and consistent transactions.

Kabbage used to be awesome but last April/May they were bought out from a pretty big bank and now are horrible. Kabbage when it was a small company has made me a slew of money being a partner.

[yankee]

Originally Posted by littleredengine07

Anyone allowed to do loans on their stealth always wondered about that too.

SS is required by USA law for this.
And to get the loan all you need is consistent transactions over a long period of time. That is it.

You are welcome to send my $$$ for my guide.

[yankee]

Bank license to offer a loan?
Private people and companies loan money everyday.
75% of all real estate transaction not sold to end users are private money and not banks. Private money makes the business world go round.

Personally I would never use my credit or a bank to raise funds. That is as risky as possible to an individual.

[jak]

Originally Posted by littleredengine07

I think its a crappy bank in UT called webbank. I think they own them. As long as US corps can create subsidiaries with different EIN. They can say they are two different companies.

I believe Aspkin should create a guide how to help sellers get Paypal loans. It help the group tremendously. Anyone allowed to do loans on their stealth always wondered about that too.

They do not own the bank, they have an agreement with the bank at UT state, READ the terms, also UT is full of Mormons and those people stick together and TRADE with each other, also I am sure the rates which paypal charges are inflated usury rates, to grind people down make them suffer with stress and other indirectly illnesses from dealing with such a gomorrah company.