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Paypal over drafted my bank account because of “their system”

Just spent 2 HOURS on the phone with eBay & PayPal!!!!

When you print a shipping label there is an option to pay or the label cost when the funds become available in PayPal.
WELL, they decided not to wait till the funds became available but to charge my account randomly a few days after the label was created which debited my bank account. This happened on 5 transactions which ended up getting me 5 $35 OVERDRAFT FEES totaling over one hundred bucks!!!

I am absolutely SURE that I selected the correct option when printing my shipping label, because when you select it once, it automatically chooses that as your option for any future labels you print.

I called PayPal first, waited 13 minutes before someone answered. They told me I need to talk to eBay, so they transferred me, put on hold for about 10 minutes. eBay answered, told me they need to review my account, got put on hold, said they didnt know what was going on, got put on hold again, then they said they need to call up PayPal and get them on the line, 20 minutes later of being on hold they said Sorry for taking so long we need to put you on hold again, 10 minutes later, sorry they wouldn’t answer you need to call them. So I call Paypal, they transfer me back to eBay who puts me on hold while they research my problem, then they tell me they need to transfer me to another department, but then eBay transfers me to the wrong department (as I am told after I explain my situation for the 6th time), then I’m transferred to someone who actually has half a brain and knows how to research into my shipping charges issue, puts me on hold for 10 min (we’re at 2 hours now) tells me that he has no proof I did select the correct Label payment option for PayPal because it does not show anywhere, then tells me there’s nothing he can do and I should call Paypal.

SO I call Paypal,
I explain the situation AGAIN. I had 5 transactions on eBay which I selected the “Pay later for shipping label after funds become available” option.
But I was charged the label cost to my PayPal/Bank (backup funding source) BEFORE the funds became available. This resulted in overdraft fees on my Bank account.

I was told that sometimes the system “just does that” and it “is not an error” even though I selected the option, “if the system determines that the option is not available it will bill your Paypal account and backup funding source”

WTF is the option there for if “the system” will decide to do whatever it pleases?!?!?
I selected the option FOR A REASON!
False advertising of a service PAYPAL!

I hung up on PayPal & called Bank of America.
Explained the situation and told them it was an unauthorized charge and they would not own up to their mistake, fortunately they refunded all the overdraft fees :)

Posted: October 15, 2012 at 4:34 pm

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3 thoughts on “Paypal over drafted my bank account because of “their system”
  1. Sarah Ferguson on

    I have been trying to get paypal to understand I am getting money taken out my bank account in Aug £67.79 Sep £56.42 I have sent 8 emails a reg;letter in the long run I had to phone and i think it was to bloody China I got a email this morning to ask what the problem is can any of them read

  2. Jason on

    Yes, I too had paypal cause overdrafts on my account. Once I made the grave mistake of verifying my bank account with PayPal.

    I had ordered things on Ebay and had the money in my account. But for some strange reason, overdrafts kept appearing even though I had the money to pay for the item. I called my bank and they said the overdrafts were coming from PayPal. So I called PayPal and demanded to know what they were doing. The agent said they were doing transaction queries into my account. I thought “WTF? Transaction Queries? What’s in my bank account is none of their damn business.” So I told her to stop them. But of course, it wasn’t stopped. More and more overdraft fees were being charged to my bank account by PayPal account queries. I had lost $928 total in overdraft fees from PayPal’s illegal activities. So I closed my bank account and I will never verify another bank account with them again. I would ask you all the same: Don’t trust PayPal with your bank account info. You will end up being screwed in the end.

    • Michael on

      I just got the bugger from PayPal also this is
      A massive issue and needs addressing.
      Fortunately I didn’t get it in the anus more than 200$ butt still it was rather uncomfortable an i lost my items I sold to pay PayPal they say the transaction of my funds are on hold they can no longer give me a reach around because I am not a homo.i canceled my account it’s the only way and had to cancel bank account also.