Safer: Bank account or credit card through PayPal?

[Number Of The Priest]

Which is safer, paying through PayPal using your bank account or paying through PayPal using your credit card?

I have both, and I've used both about equally, but my MasterCard allows me to collect reward points that I can use toward groceries. I've had no problems with my Canadian bank account to fund PayPal purchases either.

Recently, I paid for a video game for my brother, and used my MasterCard through PayPal. The item was not as described, so the seller and I agreed to refund/return. It took a LONG time for the funds to show up at my end, back on my MasterCard. It all worked out in the end, but I was just a little worried because it said the funds were "Pending" for so long in my PayPal account. Would using my bank account allow me to have my refunds instantly in cases like these? Or should I stick with MasterCard whenever I'm unsure?

Thanks for any info you can provide. [img]/images/graemlins/toast.gif[/img]

[ChrisRocksUSA]

Re: Safer: Bank account or credit card through Pay

when you're using paypal, both methods are equally safe.

If you use your bank account it is less convenient as you have to wait for it to clear. Sending $ through your bank acct will send it as an e-check and it will take 3-4 days to clear.

The person accepting the $ will only get charged a minimal fee though.

If you accept $ via paypal through a bank account the paypal fee is MUCH smaller than if you accept a credit card payment through paypal.

[dg]

Re: Safer: Bank account or credit card through Pay

I'm no expert, but I think a CC has the advantage that you can do a chargeback in a worst-case situation. PayPal hates it when you do it & they can suspend your account, but if it's a high dollar item & you're getting screwed or defrauded by some dickweed, sometimes the normal dispute resolution process doesn't cut it.

[metallicarocks]

Re: Safer: Bank account or credit card through Pay

I would say in the lines of getting scammed it depends on the policy. Some credit cards offer all of your money back should you be identity thefted. As for getting screwed on ebay, probably not as you authorized the charge.

Maybe I'm way off base here, but hope that helps.

[xenophobe]

Re: Safer: Bank account or credit card through Pay

Many credit cards have protection, that any goods you buy are guaranteed to the point that you can get a full refund whether the person you're dealing with will accept one or not. If it's American Express, ever see their commercials? Not satisfied? Call them and they'll reverse the charges... other card companies do that as well. You have to check into the terms of your particular card issuer. Some will be more lienient than others.

That being said, Credit Card thru PayPal is the most secure way to pay...

[Number Of The Priest]

Re: Safer: Bank account or credit card through Pay

Thanks for the advice, gentlemen. [img]/images/graemlins/toast.gif[/img] Another reason why I brought this particular issue up was because I recently started paying more often with my MasterCard through PayPal. Normally, my bank account is specified as my primary source of funds in my PayPal options, but I switched to my secondary source (my MasterCard) just for a little experimentation. A really interesting screen pops up when I switch to the MasterCard, stating that the bank account is actually safer or something, and that PayPal actually encourages me to stick to my bank account as my primary source of funds.

[OnlineStageGear]

Re: Safer: Bank account or credit card through Pay

A CC is safer. PayPal will have similar policies, but not as buyer friendly as a credit/debit card. PayPal can reverse charges, but only if they can get the funds back themselves. If you use a CC through PayPal, you have just doubled your protection.

Matt

[Razor]

Re: Safer: Bank account or credit card through Pay

[ QUOTE ]
If you use a CC through PayPal, you have just doubled your protection.

Matt


[/ QUOTE ]
+1! Great advice from Matt!

Because your credit card company will side with you as YOU are their customer if you have been defrauded. Use the credit card unless you trust the source 100%!

[DonP]

Re: Safer: Bank account or credit card through Pay

I just bought this. Take a look at the issues here - $1416, newbie seller, Hawaii (kinda hard to track him down)

http://cgi.ebay.com/ws/eBayISAPI.dll...MEWN%3AIT&rd=1

I used Amex through Paypal, but I still am a little jittery. He wasn't emailing me there for a while, but he came back with a good long email, and said he was upgrading to XP and having driver issues.

If he's a scammer, he's a damn good one - I'm fooled.

[followthereaper]

Re: Safer: Bank account or credit card through Pay

I hate using a bank account because I never remember how much I have left in the account and PayPal makes the bank account the default payment method (and of course you can't change that). So I always get overdrawn fees.

[jeff300]

Re: Safer: Bank account or credit card through Pay

Know this:

When you link a bank account to your PayPal account, you are making them an authorized signer on your account. That means that they have the legal right to withdraw whatever and whenever they like. Of course, this shouldn't normally happen, but...

[Razor]

Re: Safer: Bank account or credit card through Pay

If you have a bank account on your Paypal account to be verified, but still have a credit card as the secondary source of funds don't you just have to select which option you want to use on check out?

[ QUOTE ]
I hate using a bank account because I never remember how much I have left in the account and PayPal makes the bank account the default payment method (and of course you can't change that). So I always get overdrawn fees.


[/ QUOTE ]
Not trying to be a dick about this, but if I were that close I wouldn't be using my bank account as the source of funds for a purchase. If you have a credit card on your Paypal account just remember to select it as the method of payment.

One question I've had for a while. I know as a merchant/business you can not charge a processing fee for the fee credit cards companies charge you for using their services. If you don't believe this read your credit card processing companies contract if you are a business. [img]/images/graemlins/rant.gif[/img] Why does it always seem that a lot of sellers want the buyer to eat the Paypal fees if you pay with a credit card. I know that most things especially higher priced items tend not to sell if there is not a Paypal option. If you look at the big picture it's not going to cost you that much money to take Paypal and eat the fees. So why try to lose a sale because you want Joe customer to eat the Paypal fees. [img]/images/graemlins/eviltongue.gif[/img] Half of a sure sale is better than none at all. [img]/images/graemlins/idea2.gif[/img] It burns me up everytime I see an auction that wants someone to pay more money than they really bid. I for one have a standing rule that I will not bid/buy an item like that. I have and will send a seller a message asking them if they will waive the nonsense. Some actually will.

Now if you're getting a stupid cheap bro deal on the JCF I can accept paying the Paypal fees. [img]/images/graemlins/grin.gif[/img] I reserve the right to make exceptions for my own rules. [img]/images/graemlins/bs.gif[/img] [img]/images/graemlins/tongue.gif[/img]

[dg]

Re: Safer: Bank account or credit card through Pay

I agree w/ your rant, Razor. Those eBay sellers want the advantage that accepting PayPal gives them without paying a little bit for it. On the other hand, when I buy something from a bro here & use a CC, I always offer to add 3 or 4% to cover fees. I used to do the quasi-cash thing, but I've heard that PayPal is starting to charge fees to the seller anyway now, plus if you do quasi-cash with a CC you get hit with cash advance fees and higher interest charges.

[xenophobe]

Re: Safer: Bank account or credit card through Pay

If the US seller's auction actually says that you must pay extra for using PayPal, they're violating ebay user agreements and the auction will be pulled if you complain.

Sellers in England are allowed to state that if you want to use extra paypal will cost you more (if they want)...

[Number Of The Priest]

Re: Safer: Bank account or credit card through Pay

Thanks everyone. I'm gonna keep paying with credit card from now on. I logged into PayPal, and switched my funding source. Here's what the page says:

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Paying with your bank account offers the highest level of PayPal protection and security, plus these advantages:

* No Fees -- Payments made using your bank account don't accrue interest fees
* Instant Payment -- Bank account payments are processed instantly
* Convenience -- Paying with your bank account means that your payments always go through -- instantly.
Note: Sellers with Personal accounts cannot receive credit card payments. Any PayPal user can receive bank account payments.
* Safety -- Your bank account information is kept safe through the highest grade commercially available encryption and is covered 100% against unauthorized use


Do you still want to make this payment with a credit card? Yes/No

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