I spoke with a young man in telephone support.
There is a security "upgrade" that creates the situation that you cannot add funds on a new account, and cannot use the debit card without funds to begin (new account also).
He suggested a "workaround" to schedule a fund transfer (which apparently will work tomorrow for example). The funds WILL transfer, and then cancel the scheduled transfer (if you choose to not have a scheduled draft of x amount from your bank account).
Not being a Bank, Paypal cannot see your bank account funds when you request a debit with their card. In effect, this is a small loan until they receive the funds days later from your bank... IF you have those funds.
The new account workaround should not be required (broken) but would be acceptable if I chose to continue with the debit card. I am not, as I see too many broken issues with the product. It is a shame. I would NOT advertise a product with 1% cash back ( a hook! ) and have such a crummy product. All that is resulting is advertising a terrible product and irritating and losing customers.
Very simple to understand. The problem (other than they couls use some security issues resolved for new accounts) is that they can't see funds. Partner with a bank or create a bank subsidiary to complete the transactions properly (see funds). That fixes the issue. Probably too simplistic. There must be a reason they have not done this... but for the life of me: why would they not stop advertising and damaging your market share with such awful products/services!
Someone at Paypal management is fairly stupid it appears. I figured out the problem, and a solution, in less than a week. No one wanted to tell me the problem... I had to ask very specific questions to verify my assumprtions. This long without a fix (years!)? Yea... someone is very, very stupid.
