Cash Advance charge through using PayPal

flash22333

I've come across an unusual problem & am looking for some advice on how to proceed. I allowed my home insurance provider to auto-renew my policy and take my annual premium from my credit card via PayPal as I had paid my last years premium online using the same channel, (i.e. using PayPal to pay from my credit card). Upon checking my credit card statement I noticed that I had been issued with a cash advance charge relating to the payment my insurers had taken for this years premium. I immediately called my CC provider who assured me the charge was valid as the Insurance company had requested cash. Upon ringing the Insurance company they assured me that they had taken the payment the same way it was taken last time so there should be no difference in the method. PayPal have also told me that there is no difference between last years & this years payment yet I am sitting with this charge through no fault of my own other than to let my cover auto renew. I feel like i'm banging my head against a wall trying to get someone to own up to this discrepancy. has anyone else encountered this situation and come to a successful resolution?

tastyhog

if paypal processed the payment as a balance topup instead of a card transaction then you will be charged a cash advance fee, much in the same way as if a shop processes a gift card purchase in a certain way you'll be charged a cash advance fee from your card.

what does it say in the paypal transaction details? doe it say the payment was direct to the insurer, or is there a transfer to paypal, and then a payment to the insurer out of a paypal balance

but this has nothing to do with the insurer, it's about how paypal themselves have requested the money from your card.

flash22333

Not much that gives any indication of how it was paid, just that it was a 'Pre-approved Payment' from my credit card to the insurer