posted on October 31, 2000 03:38:12 PM new
Somewhere, last night, I read a post from a seller that
says the best way to take PayPal is not to
verify the account. That way PayPal can not
get into your bank account. There were other
advantages too, but now I can't find the post. I would have to cancel and then reopen my account. Any pro or cons on this idea?
posted on October 31, 2000 05:26:23 PM new
The pros are many.
The con is that PayPal will warn anyone that tries to send you money that you're unverified and therefore a snake-in-the-grass to be avoided unless you don't mind losing your money to an unscrupulous seller (paraphrased, of course)...
posted on October 31, 2000 05:40:18 PM new
When I signed up with BillPoint I gave them my account # (a good thing since that's the only way I can get paid)
I've had PayDirect verify two bank accounts by letting PayDirect make deposits and me confirming them.
PayPal... well I verified my account long ago so I could fund my PayPal account from my checking account if I wanted to.
I'm not sure if I'm real naive or others are real paranoid. I've let many company's issue drafts against my checking account, I've done it for years, never a problem. When someone is going to steal money they tend to avoid leaving proof they did it.
There is one danger I can validate with checking accounts... never, never, never, have a joint account. I love my wife, but she will steal my money in a heartbeat.
"Honey, look at the drapes I got for next to nothing at Macy's!"
posted on October 31, 2000 05:50:32 PM new
Verifying your account does not give Paypal any additional power. The minute you let them deposit money in your account, they now have the power to withdraw it as well. My bank told me two things:
1) there is no way to stop them unless you block everybody from electronically accessing your account. Since my mortgage and other bills are paid electronically, I cant do this
posted on October 31, 2000 06:59:36 PM new
>2) if they do access your account, you can put a stop on it just like you can stop a check you wrote.<
>>If you find out about it and can react before the transaction is completed. <<
According to my bank, unlike a check which must be stopped quickly, with an electronic withdrawal, you have a generous amount of time (depending on circumstances, 10 to 30 days or more) to reverse it. Unless you are in the habit of not checking your bank account for months at a time, you should have plenty of time to react. It is because you have so much time that Paypal is able to "reverse" transactions months later. So you can "reverse" the reversal. The burden of proof then falls on Paypal to prove they have the right to do this. According to my bank, I would almost always win unless Paypal proved that I committed a fraud or that the deposit they were reversing was made in error.
