Paying a family member by credit card- is it possible?

Emily_Joy

spadoosh wrote: »

Ive assumed getting additional credit is an issue for the OP hence stating that 'a personal loan isnt an option until im established in the job'.

On the basis that they have to use the card they have now, there is two (maybe a few more options). 1. Cash withdrawal or 2. Through paypal. They might have money transfer options available to them depending on the card theyve got.

As far as I understand you can't just send money from your PayPal account to another one and choose Credit Card as an associated funding source - you need to use either a debit card or a current account. It has to be classified as a purchase at first place to put it on the credit card.

Candyapple

spadoosh wrote: »

Ive assumed getting additional credit is an issue for the OP hence stating that 'a personal loan isnt an option until im established in the job'.

On the basis that they have to use the card they have now, there is two (maybe a few more options). 1. Cash withdrawal or 2. Through paypal. They might have money transfer options available to them depending on the card theyve got.

A new credit card is not a personal loan.

If they used cash withdrawal on their current credit they would incur hefty fees plus interest each and every time they withdraw (lets assume cash daily limit of £300, would need to do that at least 6 times, meaning 6 lots of fees).

You can't send money to friends/family via Paypal funded by a credit card. It's cleared funds only. If you fund via a card, it has to be for a purchase and even then, the recipient would be charged fees to receive the payment.

spadoosh

Emily_Joy wrote: »

As far as I understand you can't just send money from your PayPal account to another one and choose Credit Card as an associated funding source - you need to use either a debit card or a current account. It has to be classified as a purchase at first place to put it on the credit card.

I thought the other person just needed to say it was for an invoice?

Emily_Joy

Candyapple wrote: »

A new credit card is not a personal loan.

If they used cash withdrawal on their current credit they would incur hefty fees plus interest each and every time they withdraw (lets assume cash daily limit of £300, would need to do that at least 6 times, meaning 6 lots of fees).

You can't send money to friends/family via Paypal funded by a credit card. It's cleared funds only. If you fund via a card, it has to be for a purchase and even then, the recipient would be charged fees to receive the payment.

I imagine in addition to cash daily limit there is a total limit for cash withdraws, which is likely to be way under £2000 for a card with the credit limit of £2600.

spadoosh

Candyapple wrote: »

A new credit card is not a personal loan.

If they used cash withdrawal on their current credit they would incur hefty fees plus interest each and every time they withdraw (lets assume cash daily limit of £300, would need to do that at least 6 times, meaning 6 lots of fees).

You can't send money to friends/family via Paypal funded by a credit card. It's cleared funds only. If you fund via a card, it has to be for a purchase and even then, the recipient would be charged fees to receive the payment.

Its not a loan no, thats why its called a credit card.

There are lending criteria for loans and credit cards, i made the assumption that the OP would struggle to meet lending criteria, largely because it says theyve been ill and will presumably have relatively low income.

The op didnt ask for the best or most economical way, they asked for a solution to a specific problem.

The solution, given the parrameters imposed by the OP is either cash withdrawals or a Paypal payment. You can pay for an invoice on paypal, all be it with hefty fees.

I completely agree with what your posting and how youd sensibly approach something like this however the OP rules out a loan (which i read to be any credit applications) and limits to their existing card. Theres only going to be more expensive options associated with that.

Its like 'best way of financing car'. The answer is cash but realistically and typically its not the answer that fits the circumstance.

crumpetman

Contrary to what has been said already, you CAN send money to friends via Paypal and use a credit card as the funding source without paying a fee.

The most I have sent is £200 but I just logged in and input £1000 to send and it showed zero fee. That is with any funding source I have including American express and MasterCard credit card

PRAISETHESUN

Unless your friend has some sort of facility to accept card payments, it is unlikely to be possible. A MT card will probably be the best bet. Otherwise another way would be if you have the funds available now, use them to pay for the car and then pay for whatever you would've used the cash on with your credit card - that way you will effectively be paying yourself back rather than your friend.

As above, I'd also avoid the eBay/PayPal route for the unnecessary fees. Yes you can send money for free by PayPal but I'm fairly sure the recipient pays for receiving it or PayPal takes a cut. Either way its gonna cost you

Jami74

thinkstoomuch wrote: »

A family member has offered me her car as they don't really need two. It seems a fair deal and a good motor. It's £2800. Which is about/less than I'd be paying at a reputable garage here. A personal loan isn't an option until I'm established in the job.

I have £1500 in savings but I'll have rent/council tax/living to factor in before the first pay

I know it sounds like a kind and convenient offer, but it is possible to buy a small car with a years MOT on it for £1000 (or less). Then you'd need some money for tax and insurance. If you have your heart set on a more expensive car you could use a cheaper car for six months and then upgrade.

Or, if it's a close family member could you ask to pay them in installments over the next three months? Maybe they could even add you to their insurance and keep the car in their name until you've paid in full, this would save you having to pay the MOT and insurance before your new job starts.

EarthBoy

crumpetman wrote: »

Contrary to what has been said already, you CAN send money to friends via Paypal and use a credit card as the funding source without paying a fee.

I confirm this is true because I've done it myself. I've only ever had a credit card linked to my PayPal account, never a debit card or current account, and I've never paid any fees.

Emily_Joy

EarthBoy wrote: »

I confirm this is true because I've done it myself. I've only ever had a credit card linked to my PayPal account, never a debit card or current account, and I've never paid any fees.

Does it appear as a purchase or as a cash transaction on the CC statement?

The recipient will have to pay fees anyway (and to face possible complications of PayPal blocking the account for suspicious transaction).