CC and Paypal

mattymoneysaver2008

Just a quick question guys.

If i send someone money through Paypal on my CC, will it be classed as a 'purchase' or as 'cash'?

As my cash limit is only £500 and is obviously at a much higher rate of interest

thanks very much

INT1

Retail purchase mine goes through as. Pay Pal make the money on the fees they charge.

Fruit_and_Nut_Case

mattymoneysaver2008 wrote: »

If i send someone money through Paypal on my CC, will it be classed as a 'purchase' or as 'cash'?

There's another thread going at the moment discussing getting cash from a CC via PayPal. As far as I can see, there is no technical reason why the "someone" you send money to couldn't even be yourself! I don't know if it specifically against the T&C's though.

INT1

Pay pal make their money off the fees so I don't think they give a damn, the credit card still make their money from the transaction and so do pay pal from the fees.

saskay

Fruit_and_Nut_Case wrote: »

There's another thread going at the moment discussing getting cash from a CC via PayPal. As far as I can see, there is no technical reason why the "someone" you send money to couldn't even be yourself! I don't know if it specifically against the T&C's though.

Well it is against their T&C's to pay cash advances to one's self. & Yes, it is specifically stated in their T&C's. See section 9.1.S under "Restricted activities" it says...." Provide yourself a cash advance from your credit card (or help others to do so)"
So sending money to yourself by opening two paypal accounts will certainly red flag your transaction for review & a possible phone call. This much is black & white. Trust me, been there & done that.

Now, what is in the grey and something of interest to the OP is... sending money to say a family member or a friend (using your credit card) and then having them send that money back from their paypal account to their bank account and/or from their's to yours, which I think will be a bit complicated for paypal to unravel especially if you don't do this on a regular basis (I suspect even if you did, it is still compliicated because they would need access to your reciepient's bank account transactions & yours as well, let's leave it at that before we get in a lot more variables). Works for me every time.

Off topic: I was just researching on loan rates and apparently the best deal I could get for £3000 borrowed for 1 year is at 19.9%. But if I create myself a synthetic loan using a combination of my creditcard(initial transaction)+paypal+another_creditcard(with 12 month 0% BT facility) I could get the same £3000 for 5.93%

To answer this question: "If i send someone money through Paypal on my CC, will it be classed as a 'purchase' or as 'cash'?"
It will be classed as purchase.