<VV> PayPal & bank accts.--NO CORVAIR

[Bill Elliott]

Two distinctions here...

For payments YOU make to pay for something Paypal will hit your Paypal balance first and whatever payment method you 
prefer second. No "third" if you use a credit card.  If you use the bank acount (which is the Paypal default) then the credit card 
becomes the third. The bank account info is jst to have a more stable picture of you to better protect against credit card/ID 
theft.

NOW...  when you have been PAID for something... and the buyer alleges non-shipment, fraud, or the buyer's credit card is 
determined to be stolen, Paypal will try to recover the funds. First thing they do is take them from you Paypal account. I know 
this for sure.

I _understand_ that they can further electronically transfer out of your bank account (if the account allows it) but CANNOT hit 
your credit card (due to their agreements with the card companies). If true, this would be the OTHER reason for them to have 
a bank account.... and why having one that won't let them transfer funds out is a good idea. However, they may not be able to 
hit your bank account...I'm really not sure.

Almost all of the "reasonable" Paypal horror stores are from sellers getting funds taken back from them after shipping 
goods.  The "unreasonable" Paypal stores (IMO) are the folks that are unhappy with how Paypal handled some dispute with 
a seller... even though had they used a money order, cashiers check, cash, or had transferred funds electronically they 
would have enjoyed NO recourse... so even the unsatisfactory Paypal dispute relsution is an improvement over the 
alternatives.

Bill

On Fri, 23 Sep 2005 11:03:34 -0400, Harry  Yarnell wrote:

>Doesn't Paypal debit your credit card if there arn't enough funds in the 
>Paypal account? And isn't the bank info backup for them in case the credit 
>card's maxed or canceled?
>Harry Yarnell
>Perryman Garage and Orphanage
>hyarnell1 at earthlink.net