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Paypal "Cash Advance" Warnings

  • 19-10-2006 9:48pm
    #1
    snappieT
    Registered Users, Registered Users 2 Posts: 3,357 ✭✭✭


    I got this rather unusual email from Paypal today:
    Paypal wrote:
    Dear <my name>,

    The PayPal account registered with this email address has made
    transactions that could reasonably be considered to be cash advances.
    Cash advances are not permitted under PayPal's User Agreement, which
    reads as follows:

    "Your information and your activities (including your payments and
    receipt of payments) through our service shall not consist of providing
    yourself a cash advance from your credit card (or helping others to do
    so)."

    If you wish to send a credit card funded payment as a cash advance in
    the future, you must select Quasi-Cash as the funding method.

    Please note that a second instance of cash advance behavior will result
    in your account access being limited.

    Sincerely,
    PayPal Account Review Department
    PayPal, an eBay Company

    Now, I transfered 60 yoyos into a friend's account because he is sorting out some hosting packages for me, and the hosting company accept paypal. I have no idea why this would spark a problem with Paypal. Can anyone shed any light on this, or has anyone recieved a similar email?

    This payment will be a monthly thing, so I want it sorted with Paypal before they start "limiting my account access".

    Thanks,
    snapp


Comments

  • #2
    Beano
    Closed Accounts Posts: 3,357 ✭✭✭Beano


    If you transfer funds from your account to his then paypal are correct. If you take their advice and send it as quasi-cash then your credit card company will treat the payment as a cash advance and charge you the appropriate extra fees. that could get expensive.

    If this is going to be a monthly thing why dont you send the payment directly from your paypal account to the hosting company? That would get around the problem for you.


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