Paypal Warning!!

Withdrawals made to your bank through Paypal are now clearing your bank in less than 24 hours! I learned the hard way:

3/6/2008 PD ITEM - OVERDRAFT CHARGE $90.00 ($131.49)
3/6/2008 PAYPAL/INST XFER $5.99 ($41.49)
3/6/2008 PAYPAL/INST XFER $13.99 ($35.50)
3/6/2008 PAYPAL/INST XFER $23.27 ($21.51)



I have Paypal connected to just one account, which I generally keep no money in. It's at a different bank than my main one. I submitted those payments on the 5th, around 11:30pm, and by the time I stopped by to deposit the cash the next, they'd already gone through. Pissed me the hell off! About 13 hours later, three overdraft fees of $30, and $41.99 turns in $131.99. Last night two transaction cleared my bank in about 5 hours (had money in there this time, though).

I wish Paypal warned me about this crap.

every bank account i have has money in it.

mc666 wrote:

every bank account i have has money in it.

Not me. I keep Paypal connected to an account that is generally empty. And it's across town from my other bank. This helps me with not spending too much on music. While I surf around online at night I'm constantly coming across good deals for CDs and stuff. I don't want to get into the habit of impulse buying, so I do it this way.

It's worked great, until the other night.

It is actually a good idea to have a seperate paypal account. I hadn't thought of doing it that way. But it looks like if I took that approach I'd have to keep at least a couple hundred in there. Thanks for the idea (and the warning).

SAHB Healer wrote:

It is actually a good idea to have a seperate paypal account. I hadn't thought of doing it that way. But it looks like if I took that approach I'd have to keep at least a couple hundred in there. Thanks for the idea (and the warning).

It all depends on your impulses. I can get a little irresponsible when buying music. The desire overrides sensible thinking. That's why when I go to a record store, I often walk around with a big stack of CDs. Even if I've gone through everything, I keep walking around, looking, thinking about what I've got in my hands. Eventually I kind of snap out of it and start putting some discs back and then end up spending a reasonable amount of money. It's all about knowing yourself.

If you're not prone to snap judgement purchases while surfing the net, you shouldn't need a separate account. But it doesn't hurt, either, because someone could phish your Paypal password from you someday, somehow, and it's not a bad thing to have the account connected to a bank account that doesn't hold the bulk of your savings or income. That's a bit of paranoia right there, but it isn't so irrational as it may seem.

Eyesore wrote:

mc666 wrote:

every bank account i have has money in it.

Not me. I keep Paypal connected to an account that is generally empty. And it's across town from my other bank. This helps me with not spending too much on music. While I surf around online at night I'm constantly coming across good deals for CDs and stuff. I don't want to get into the habit of impulse buying, so I do it this way.

It's worked great, until the other night.

don't get me wrong.. i do not link Paypal or any other online service to a savings account.

I always keep money in my Paypal account because I'm an impulse buyer and if I see something I like I get it.

Eyesore wrote:

Withdrawals made to your bank through Paypal are now clearing your bank in less than 24 hours! I learned the hard way:

3/6/2008 PD ITEM - OVERDRAFT CHARGE $90.00 ($131.49)
3/6/2008 PAYPAL/INST XFER $5.99 ($41.49)
3/6/2008 PAYPAL/INST XFER $13.99 ($35.50)
3/6/2008 PAYPAL/INST XFER $23.27 ($21.51)



I have Paypal connected to just one account, which I generally keep no money in. It's at a different bank than my main one. I submitted those payments on the 5th, around 11:30pm, and by the time I stopped by to deposit the cash the next, they'd already gone through. Pissed me the hell off! About 13 hours later, three overdraft fees of $30, and $41.99 turns in $131.99. Last night two transaction cleared my bank in about 5 hours (had money in there this time, though).

I wish Paypal warned me about this crap.

I don't understand this, this was something you did wrong? I'm asking, becasue my account is for whatever reason down almost 500 $ today!

Eyesore wrote:

mc666 wrote:

every bank account i have has money in it.

Not me. I keep Paypal connected to an account that is generally empty. And it's across town from my other bank. This helps me with not spending too much on music. While I surf around online at night I'm constantly coming across good deals for CDs and stuff. I don't want to get into the habit of impulse buying, so I do it this way.

It's worked great, until the other night.

I do the same. I have an account that I don't put money in until I need it. This is the account I use for Paypal. However, I have always put the money in before I sent the money, just in case.

kmorg wrote:

Eyesore wrote:

Withdrawals made to your bank through Paypal are now clearing your bank in less than 24 hours! I learned the hard way:

3/6/2008 PD ITEM - OVERDRAFT CHARGE $90.00 ($131.49)
3/6/2008 PAYPAL/INST XFER $5.99 ($41.49)
3/6/2008 PAYPAL/INST XFER $13.99 ($35.50)
3/6/2008 PAYPAL/INST XFER $23.27 ($21.51)



I have Paypal connected to just one account, which I generally keep no money in. It's at a different bank than my main one. I submitted those payments on the 5th, around 11:30pm, and by the time I stopped by to deposit the cash the next, they'd already gone through. Pissed me the hell off! About 13 hours later, three overdraft fees of $30, and $41.99 turns in $131.99. Last night two transaction cleared my bank in about 5 hours (had money in there this time, though).

I wish Paypal warned me about this crap.

I don't understand this, this was something you did wrong? I'm asking, becasue my account is for whatever reason down almost 500 $ today!

Kmorg,
He overdrew his bank account because he didn't have enough money in the account to cover what he spent on Paypal. It use to be that Paypal would take a day or two before it cleared your account. Apparently now it is clearing your account on the same day.

ult

Yup. And I paid for it, no pun intended. Haha. I will most definitely put money in first from now on. I've had a Paypal account since 1998, I think, so this is a very new change.

I'll keep that in mind.