PayPal and Credit Card / Bank Security

Digital_Dan

Gromitt wrote: »

Paypal are a business. If you hold a debit balance with them, they'll request it back (like any other business). If you refuse, they'll hand it over to a debt collection agency. Some people have tried to be 'smart' and have overdrawn balances with Paypal, thinking they can't do anything as they don't have their address. A few weeks later, they get a letter and start crapping themselves.

Yes; sorry. I meant that I was worried about a fraudulent transaction being processed. Paypal not finding in your favour and then being persued for monies you never owed. Perhaps I'm being overly pessimistic!

Gromitt wrote: »

If you have a credit limit of £250 and someone buys something on Paypal for £300 (or you forget and make several £100 payments), then you get a £12 over limit fee from your credit card provider.

So it's easier to go for a standard card with normal credit limit, and if it gets fraudulently used, report it.

That makes sense; thanks. So rather than get another credit card just for PayPal; I should link to my current card.

Gromitt wrote: »

and of course, treat Paypal like your bank:
Use a long password containing of both letters and numbers, and enable the 2-factor authentication. I have Paypal to text me for any transaction, and I have to authorize it before the payment goes out. So even if someone gets my password (key logger, etc), it means nothing without having access to my phone as well.

This is the worrying thing for me. When the attempted fraud on my account happened; I used a random 8 digit/numeral password and had PayPal text me whenever I wanted to log into my account.

I have now increased most of my passwords to 24 characters since that incident!

Thanks again for your comments.

PhenoM

The safest and fool-proof method of using Paypal without any fraud:

Add your cellphone number to Paypal and create a security token.

Now, everytime you enter your password and log-in, you will be prompted to receive a security code on your phone without which you can't log-in (well you can but only if you know your 2 security answers, not something the average criminal will have ready access to).

This is what I do and have never once faced an issue.