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PayPal cannot take more money out of your account than what is in the account. If you have $500 in an account the bank will not let PayPal withdraw $5000 from i
by ptero 4y ago
PayPal cannot take more money out of your account than what is in the account. If you have $500 in an account the bank will not let PayPal withdraw $5000 from it. It's not different from writing a check for $5000, which will just bounce.
The bank is not in the business of allowing overdrafts and then somehow collecting the difference.
- dotancohen 4y ago> The bank is not in the business of allowing overdrafts > and then somehow collecting the difference. But one's main bank is? I don't see how the intermediary is any different in that regard?
- ptero 4y agoNo bank will honor your check for more money than is in your account. The amount in your account gives a hard stop on the amount you can lose. Having a separate account with enough for the current Paypal transaction (that you refill from the main bank account as needed, in a few mouse clicks) means you limit your losses from a transaction gone wrong with a major company. Can a malicious player try pulling money from your main account? Absolutely. But the chances of a large company, like Paypal, hitting you like this on an account not registered with them is zero. And your bank's fraud protection should stop an attempt to pull a large sum from your account by an unknown company in a sketchy country.