Friend has a PayPal account. Somehow Microsoft Points are purchased with his linked PayPal account, but are intercepted and go to someone else's account. Friend gets into battle with Microsoft and manages to get some of the money back, but not all.

He tells his bank not to authorize any payments to PayPal for Microsoft stuff. PayPal however doesn't count it as a refund from Microsoft and tries to pull the money from his bank account.

The bank refuses, so PayPal opens a Paypal CC to pull the money from.

2 months later my friend gets a call from debt collectors... He finds out about this account and that he's now in the hole $250... Because PayPal has been charging him interest Nd late fees inthe original $108 dollar charge.

Yes, it's now 1.5x as much as it originally was, after 2 months... He calls PayPal to explain the situation and they won't budge. He asks them to remove the additional fees because he was never notified about the account... And they say "nope" and then lock his PayPal account entirely.

He's now out $250 from PayPal, another $50-75 from the original Microsoft incident (he was charged late fees from bank and "Return fees" from Microsoft" plus the money he had in PayPal is locked and cannot be used...

I really feel bad for him... I really wish there was a more honest alternative out there that was backed as heavily... Google?

 

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me thinks your friend is not telling the whole truth of the matter. Paypal is not about to commit fraud and open a CC in his name without his consent for $250.

 

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LOL

 

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That's part of their ToS... If you're unable to pay an outstand balance with any of your linked accounts then PayPal will open an account in your name that. An have a negative balance to cover the costs...

 

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where? I am not finding anything like this in their TOS.

 

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Why do people keep using this service. Paypal is evil

 

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In all my times using Paypal I never went to my bank to manage PayPal payments. As far as I knew this is something you did through your PayPal account.

So PayPal tried to overdraw on the bank account your friend linked to PayPal, but since the bank refused and gave them no money, PayPal had to open a line of credit. I really don't believe that PayPal made up a whole new account for your friend.

And then your friend waits 2 months while having a negative balance and expects PayPal to gift him some money?


I don't know, PayPal MIGHT have done something wrong here, but I don't think you know wtf is going on and I doubt your friend does either. Money is srs business, you should know exactly what you are doing and where your money is transferring.

Are Paypal and Microsoft points partner sites or something? Are they supposed to be in sync?

 

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Something is amiss here for sure. PayPal has been used by us for 5+ years and they have been very proactive. I would check into it further to be sure. Truly...


~Murron~

 

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There are many many accounts of PayPal being completely unscrupulous and just horrid to their customers. The only thing that gets them to back down is a court case. I kid you not.

Your friend should take them to small claims court, imo.

 

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I have never linked my Paypal account to my bank account for just this reason.

Rho

 

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