Forum

How does paypal verify an account using just your bank id and password?
 

This seems like an odd procedure to me. How exactly do they verify accounts this way? What kind of information are they accessing when you give them your bank id and password?

It is done through a third party processor not paypal themselves. It is like using BofA to sign into the bank account. If you pick this method you do not need to wait for the deposits. Based on 'numbers being correct' for their matching system.
aspkin knows more if this confuses you.

I could swear it's done on the paypal website. I logged into my old account to check it out again and I didn't see any option to do this. I think it's only available to users who just sign up. If you already have an account you have to do it the old fashioned way I think.

Change your online banking password afterward.

I decided to sign up for paypal again but it seems like they've phasing out this method of bank confirmation. After I enter in my banking info all it does is bring me to the next page where it asks for confirmation on the micro deposits. There is no option for inputting your banking id and password anywhere. Which is too bad because I still have login info from an old prepaid card I stopped using ages ago which still works for some reason. I was hoping to test this out.

I am using a new account at a bank I have been banking with for over 10 years. If I had given them that banking info they would have had access to all of my accounts to do with what they please. I mean, all I have to do when I sign in to do stuff is enter that account number and password and I'm in, so why would it be any different for them? They also could then see that the name I'm registered with is not correct compared to the account names. I just couldn't see giving them the exact same access that I have to all of my accounts.

For you no but for me there was no risk since my card has been deactivated for some time now.