Forum

PayPal limited w/ negative balance: will they tap your bank acct?
 

Here's a two-part scenario that I'd like some opinions on:

1) If your PayPal account gets limited before you have a chance to remove the linked bank account (because the account number cannot be removed after limitation), and a negative balance develops on the PP account, can and will PP initiate a withdrawal of funds from the linked bank account?

2) Obviously, closing the bank account would be the easiest way to prevent any withdrawal attempts by PayPal. But if the bank account remains open, and there is a zero balance in the bank account, would any banks allow PayPal to make the withdrawal by covering the amount (per bank policy) and then stick the account holder with a negative balance to be repaid to the bank, plus any insufficient funds penalties? Then PP would have "their" money without your direct authorization, and the problem would be between the bank and account holder...

Thanks for any input or info!

1) The only way they will take money out of your bank account is if you pay your ebay fees through paypal. If for any other reason your account goes into the negative, they do not take money from your bank account.

Interesting, thanks for the info... So are you saying that only in the case of unpaid eBay fees will they attempt withdrawal from your bank account, or that there is some technicality where PayPal can tap your bank account for other reasons, but only if it is also linked to your eBay account as the payment method?

I believe that is how it works yes...

PP just today attempted to withdraw funds from my bank account but fortunately there was not enough funds ini the account and it did not go through.

For future reference, in order to avoid providing PP with a bank account is the only other option to withdraw is having them send a check?

Correct, only check

Have you or anyone else had any challenges or foresee and challenges withdrawing via check?

Can not say what % of users have the funds sent by check. It is happens & there are few problems. Since it is paypal note that I qualify the answer 'few problems'.:peace:

i've withdrawn from paypal over 10 times by check. about 200-500 each time. got my check within a week every time.

I haven't tried to get a check since going stealth (don't let $$ sit in Paypal any longer than have to). But, when I need to have a debit card sent to me, I have a change of address done.