Paypal cash advance

sstteepphh23

Hi

I took out a paypal cash advance in 2015, hings were going well but then over the past 2 years things have kind of ground to a halt. I have been unable to pay back my cash advance at the rate in my agrrement and after having a converstaion with paypal when things started going wrong, i was advised to make at least some sort of payment every 90 days to show i was willing to pay back the advance (even though this was nowhere near the payments i should have been making). Ive had an email today saying they want me to cear the amount today (£16k) or it will go to an outside agency for repayment. I rang paypal asking if i can pay a monthly amount directly to them and they have said no!!

If this goes to an outside agency will it show on my credit file?? Im due to move in a month or so and will need to rent, so dont want a negative impact on my credit file!! Any help is most appreciated.

[Deleted User]

I'd have thought it's already defaulted.

What do your three credit files show?

System

As above. I'd have a look at your credit report as chances are there's already a string of non-payment markers on it.

National_Debtline

Hi there and welcome to the forum


It's unclear whether a cash advance from Paypal is recorded on your credit file so I would agree with the posts above that it is a good idea to check all 3 of your credit files (there are 3 different credit reference agencies).


If Paypal haven't reported it on your credit file, it's unlikely that a debt collection agency (DCA) will. A DCA is not a bailiff and cannot take your goods, they will just be a different company collecting the debt.


I'd recommend you seek help and advice on this from one of the free debt advice agencies. If you are self employed your query will be best suited to Business Debtline, you can call them on 0800 197 6026 or visit www.businessdebtline.org. I hope it all goes well.


Susie
@natdebtline

T-G-C

sstteepphh23 wrote: »

Hi

I took out a paypal cash advance in 2015, hings were going well but then over the past 2 years things have kind of ground to a halt. I have been unable to pay back my cash advance at the rate in my agrrement and after having a converstaion with paypal when things started going wrong, i was advised to make at least some sort of payment every 90 days to show i was willing to pay back the advance (even though this was nowhere near the payments i should have been making). Ive had an email today saying they want me to cear the amount today (£16k) or it will go to an outside agency for repayment. I rang paypal asking if i can pay a monthly amount directly to them and they have said no!!

If this goes to an outside agency will it show on my credit file?? Im due to move in a month or so and will need to rent, so dont want a negative impact on my credit file!! Any help is most appreciated.

Excuse me if I am mistaken on something, but PayPal Credit in the UK doesn't offer the ability to take out a cash advance.

The credit line is intended to purchase products or services on tick, similar to the purchases facility on a credit card, but without the plastic, as the tagline states.

Assuming you are referring to PayPal Credit and the debt in question was through purchases which have not been paid off, you will be treated the same as a credit card provider would treat you for example, as you electronically signed a credit agreement with them. Unlike an informal (unsigned) debt (e.g eBay fees balance) PayPal and/or their collection agencies have more extensive rights to reclaim the amount owed.

I am not an expert, therefore I'd follow all of the advice above and contact PayPal or the DCA to discuss the debt and any implementation of an agreement between you both.

P.S; When I say more rights, I mean they will use whichever legal means necessary to recover the debt, regulated under the Consumer Credit Act. If it were a negative PayPal balance, eBay fees or some other unagreed debt, I would have been able to confidently confirm that no impact will be made to your credit file and/or your requirement to repay.

anfieldred

Assuming it's paypal working capital instead of paypal credit.

It doesn't show on your credit file (s), however, having been in a similar position, I got 30 days to make half the payment, then another 30 to clear it all; they wouldn't consider any monthly repayment as that's part of the original agreement which you've not kept to.

Id say your best bet is to try a personal loan, or wait for it to be passed on and then offer a monthly payment to the new owners of the debt, but then there will be more fees etc. on top of the original amount