Jump to content

Sign in to follow this  
fxtalon

Unauthorized ( I think) charge to my debit card, after prior use with business

Recommended Posts

I have a small loan through a loan company. Usually I make the payment through my bank, with my checking account. 

A couple of weeks ago, I made a payment with my PayPal debit card. 

 

Yesterday I saw that the loan company, on their own, pulled the payment I was to make today, off of my PayPal debit card. My PayPal account didn't have enough for the payment, so PayPal pulled it out of my checking account. End result, is the current payment is made, and I am baffled and irritated they used my debit card to draw the payment. I did NOT authorize the company to use the card. 

 

What is this? I talked to PayPal, and they said the loan company had "permission" to use my debit card, since I had used it in the past to make the payment, so they could pull the payment now.  

 

Could someone give me more information about this? I have never heard of this before. PayPal did tell me the only way to stop the pull now was to cancel the debit card and request a new one with a new number. I will do that. 

Share this post


Link to post
Share on other sites

29 minutes ago, fxtalon said:

I have a small loan through a loan company. Usually I make the payment through my bank, with my checking account. 

A couple of weeks ago, I made a payment with my PayPal debit card. 

 

Yesterday I saw that the loan company, on their own, pulled the payment I was to make today, off of my PayPal debit card. My PayPal account didn't have enough for the payment, so PayPal pulled it out of my checking account. End result, is the current payment is made, and I am baffled and irritated they used my debit card to draw the payment. I did NOT authorize the company to use the card. 

 

What is this? I talked to PayPal, and they said the loan company had "permission" to use my debit card, since I had used it in the past to make the payment, so they could pull the payment now.  

 

Could someone give me more information about this? I have never heard of this before. PayPal did tell me the only way to stop the pull now was to cancel the debit card and request a new one with a new number. I will do that. 

Issue is with Paypal. Check your T&Cs on whether they can pull from your checking. I've used debit cards for recurring payments before. You might have authorized the loan company to do it.

Edited by cashnocredit

Share this post


Link to post
Share on other sites

You need to look at the terms of your contract.  Small loan company sounds like precisely the sort of entity that has language authorizing them to reach out to ANY source you have previously utilized in paying.  And if the PayPal card was an authorized form of payment, my guess is that PayPal has language that allows THEM to go to your alternate funding source to make good a transaction processed with THEIR card. 

 

As such, you need to look at BOTH Agreements as well as the terms associated with the portal language to know what precisely you have agreed to before you do ANYTHING! 

 

I would be inclined to bet that neither entity did anything improper here.

Share this post


Link to post
Share on other sites

You are probably right. I simply wasn't aware that they could pull a payment without me initiating the pull. 

 

Share this post


Link to post
Share on other sites

I had a similar issue with my gym membership.  I wanted to use a different account one month and changed the debit card information.  What I did NOT see was the teeny tiny print and check box that was automatically checked stating make this my new payment method.  Next month they use that account and the payment did not got through.  Check the website to see if you got bit by that.  

 

I managed to get the fees refunded after reaching the right person to screech at about the tiny font and that I should not have to opt out of permanently changing my payment method.  Especially when they do not allow you to store more than one card.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  




  • Today's Birthdays

    1. trent101
      trent101
      Age: 52
    2. Brog
      Brog
      Age: 57
    3. BrentN
      BrentN
      Age: 49
  • Member Statistics

    • Total Members
      177,987
    • Most Online
      2,046

    Newest Member
    BaxterStJ
    Joined

About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines