Did my paypal credit limit increase??

[msalgado3]

so on paypal's site, they say that if you purchase something with paypal credit and you don't have enough credit to cover for your purchase, paypal will instantly review your account to see if you're qualified for a limit increase and if they can't raise, they'll tell you why or whatever. So, I had a low balance on my paypal credit and purchased something that was more than what I had. The purchase went through and I was charged and in paypal's terms it means I got increase, but now my paypal balance is in the negatives. Does this mean my credit limit increased or did I do something wrong.

i can easily just pay for it but decided to experiment to see if I get an increase. It's been about 3 days since this happened and I have not recieved an email why my account was not increased.

[DPCreations]

Was the PayPal Credit option specifically available at time of purchase?

If so, did you specifically select that option for payment?

[msalgado3]

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@DPCreations wrote:

Was the PayPal Credit option specifically available at time of purchase?

If so, did you specifically select that option for payment?

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Yes, paypal credit was an option and I selected paypal credit. When I go to my paypal credit account (not my paypal balance, my actual paypal credit account where I can see my balance and activity), it shows that my paypal credit limit is -$120. ALSO, my purchase with paypal credit was completed and my item shipped.

[DPCreations · Accepted solution]

Does this mean the purchase shows as a PayPal Credit transaction?

Did you go over your limit by $120?

If the answers to both questions is "yes", then all should be ok.  Then here is what I think happened and it's just a matter of PayPal and PayPal Credit doing their accounting.  PayPal and PayPal Credit are separate businesses so specific accounting transaction records need to show trail of money flow.

Since payment can't  come from PPC directly (it's above your limit), PayPal "borrows" the money from your PayPal fund (making it negative) as a temporary measure until your PayPal Credit limit is adjusted.  When that happens the negartive transaction may disappear or you will see $200 move from PPC back to your PayPal fund.

I just confirmed activity in my own account for the last PPC purchase (it was below my limit).  There was a negative transaction in my PayPal acocunt with a same day linked transaction showing a withdrawl from PayPal Credit.  If I collapse that transaction it shows a negative $ but no change in PayPal balance.

So check the PayPal transaction on your Activity page and see if there is a dropdown option.  If not, I suspect it's just a delay for approval.

[msalgado3]

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@DPCreations wrote:

Does this mean the purchase shows as a PayPal Credit transaction?

Did you go over your limit by $120?

If the answers to both questions is "yes", then all should be ok.  Then here is what I think happened and it's just a matter of PayPal and PayPal Credit doing their accounting.  PayPal and PayPal Credit are separate businesses so specific accounting transaction records need to show trail of money flow.

Since payment can't  come from PPC directly (it's above your limit), PayPal "borrows" the money from your PayPal fund (making it negative) as a temporary measure until your PayPal Credit limit is adjusted.  When that happens the negartive transaction may disappear or you will see $200 move from PPC back to your PayPal fund.

I just confirmed activity in my own account for the last PPC purchase (it was below my limit).  There was a negative transaction in my PayPal acocunt with a same day linked transaction showing a withdrawl from PayPal Credit.  If I collapse that transaction it shows a negative $ but no change in PayPal balance.

So check the PayPal transaction on your Activity page and see if there is a dropdown option.  If not, I suspect it's just a delay for approval.

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Yes, it shows up as a PPC transaction and yes I did go over my limit by $120. My payal credit limit is $250 with a remaining balance of $15 and made a purchase of $135 (all in Paypal Credit).

What if I made another purchase even though I still have negative funds in my PPC???

[DPCreations]

I think you willl be fine as long as you don't attempt another PPC purchase.

PayPal Credit doesn't like unusual activity; establishing a purchase AND payment history in small increments (especially for a low limit) is really important.  I think you should wait until you pay your PPC balance before making another purchase.  Focus on a good reputation rather than taking a risk to push your limit.

[msalgado3]

Alright, thank you so much for your help!