PayPal Credit

Samsung_Note2 · 22 May 2018 at 1:16PM

Thought id throw this out there..no doubt the regular posters will all know the in"s and out"s of PayPal credit and its terms,but for the great unwashed and the general thicko"s like me...read on.;)

Long story short bought a Office Chair from Ebay..used paypal credit as payment methord,thought it best way as being a virtual credit card (virtual as in not physical) would have buyer protection as any other credit card.

Just called paypal credit department and said ive got a problem an item and was told although yes it is a virtual credit card it offers ZERO protection other than the standard 60 days paypal does.

After the chap stated several times yes its a credit card all be it virtual...when i mentioned the call being recorded by myself he said it wasn't a credit card as it doesn't offer the protection others do and is simply called a credit card for easy understanding.

So whats my rambling point...AVOID paypal credit as it offers no protection,your far better off using a proper credit card and link it to your paypal.

The chap at paypal said its between myself and the seller...hmmm seller states they are UK based...yet have Chinese writing where address is, which suggests they are china based,well thats a non starter.

Candyapple · 22 May 2018 at 1:52PM

It's no different to credit accounts that you would get at say Very or Next, except whereas those are limited to said companies, because Paypal is a payment provider, you can use it anywhere that accepts Paypal.

PayPal Credit is like a credit card, without the plastic. It's a credit limit that's attached to your PayPal account which you can use for your online purchases.

Their wording is very deceptive and ambiguous.

Have you tried using eBay's buyer protection first? Failing that, it does say:

Does PayPal Buyer Protection apply to my PayPal Credit purchases?

Yes. If an eligible item that you’ve bought online doesn’t arrive or doesn’t match the seller’s description, PayPal Buyer Protection will reimburse you. Buyer Protection covers all your PayPal purchases including those paid with PayPal Credit.

Samsung_Note2 · 22 May 2018 at 3:08PM

Yeah tried that..but Ebay and Paypal only cover items for a maximum of 60 days.

Chair bought end of January..so both Ebay and Paypal said not there problem...the paypal credit doesnt cover it as it runs hand in hand with the 60 days cover which you get anyway.

So kinda begs the question why bother with Paypal credit..it has no more protection that cash.

Agree but if bought through Very or Another catalogue firm you could argue the not fit for purpose,which is exactly what ive said to Paypal..Gaming chair snapped clean in half and narrowly missed seriously hurting myself (makes it worse its on CCTV..lol).

Being told its not our problem go chase someone in China isnt really very helpful from Paypal...will simply pay off paypal balance and never use it again as its a complete gimmick.

eskbanker · 22 May 2018 at 3:18PM

Even if it was a credit card, the fact that the issuer is a Luxembourg-based company would presumably nullify any section 75 protection anyway?

Samsung_Note2 · 22 May 2018 at 3:32PM

eskbanker wrote: »

Even if it was a credit card, the fact that the issuer is a Luxembourg-based company would presumably nullify any section 75 protection anyway?

Which would mean that paypal credit is even less worth while than previously thought.??

eskbanker · 22 May 2018 at 3:52PM

Samsung_Note2 wrote: »

Which would mean that paypal credit is even less worth while than previously thought.??

Not really, the gap between PayPal Credit and the notional Luxembourg credit card is narrower than the gap to a UK-based card with section 75 protection!

lxworld · 6 January 2019 at 6:17PM

The only draw of PayPal Credit is the 4 months interest free loan you get on purchases over £150 i.e. you get 4 months to pay it off before paying interest. The danger is the temptation to do this on several purchases and before you know it you are out of your depth or paying interest on the purchases as it's surprising how quickly 4 months comes around when you are trying to keep all the balls in the air!

When I first took out my PayPal Credit account I paid off the balance almost straight away, accidently with an old debit card that I couldn't delete on my PayPal account.

I rang PayPal Credit and explained what had happened and the irish guy I spoke to asked me why I was paying it off so quickly given that I had 4 months to pay it. "Are you trying to encourage me to stay in debt?" was my reply, to which he had no answer!

Anthorn · 6 January 2019 at 6:56PM

Paypal is a third-party payment processor so as such the usual protection afforded by using credit cards does not apply. Paypal Credit is like a bank account or credit card in that it is a payment method which is used to credit the PayPal account from which payment to a seller (retailer) is tendered. Therefore even when using PayPal's own credit provision Paypal is still acting as a third-party payment processor.

Paypal gets by that lack of protection by providing its own protection which I personally have found to work.

18cc · 8 January 2019 at 9:16AM

Yes be careful about section 75 when paying with your credit card but linked via Paypal. The link between the merchant and the card is indirect as Paypal is in the middle.

Better to pay for large items on ebay with a credit card direct if possible.

PayPal Credit

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