PayPal Business Debit Card Declining?

[Kallidre]

After having my card seemingly declined randomly lately I contacted PayPal tonight. I've been a card holder for about 4 years and have my bank account linked and verified. I've always used my PayPal card whether or not I have money in my Paypal account. The representative told me they are using a new "algorithym" that randomly declines cards due to the fact that they have lost money from back up funding sources not coming through. The only way to avoid this is 1. Call PayPal whenever you want to use your debit card (that's customer friendly...) 2. Transfer money into your Paypal account. Well tonight my card was declined for a $30 charge WITH a couple hundred dollars in my Paypal account. The rep told me I would not be able to use my card as I have for several years now and also there were no plans to let their customers know about this change. He had a carefully scripted answer to my question so it's apparent;y they are getting calls about this. BAD customer service Paypal! How can you let your customers get their cards declined without letting them know why! Last night I tried to use it to purchase a bleep deal on some air fare. They allowed the initial authorization to go through then declined the charge several hours later. When I woke up I saw the email saying I had lost out on my airfare. Basically they have changed the terms on their debit card without any plans of telling people. Ticked off? You bet I am. 

[Dozette]

I've been having the same problem since July 13th.  I've called 4 different times needing them to override the **bleep** hold and it just happened again tonight.  If this is going to continue than they need to go back to 24 hour customer service.  I have made bigger purchases in a single day than I have in the past week and never had a problem.  It's getting quite irritating.

[amann1]

I have a debit business card used it once for gas and it went through with no problem, I realized that the payment was coming straight out of my checking account i had linked to the card, then it started to decline on purchases although i had money in my account, so i unlinked my checking account from the card and tried to use it at a dollar store and it decline again. What is the card for? Why have it if you can't use it? I told family and friends about this paypal credit card and now I will tell them don't bother no good. I will try calling customer service and see what the deal is with this BUSINESS CARD!!!!!  Thanks for posting I feel better I'M NOT ALONE IN THIS MATTER OF EMBARRASSMENT.

[JJBoods]

I know this is a thread from a year ago.  I had this same problem back a few years ago...maybe 4 or 5.  At the time, I had the $1000 per day spending limit.  I called and was told about this same new algorithm.  THey very nice supervisor looked my account and said she'd take care of it.  Since then, I have had no problems...until now.  Starting last week, my card and my wife's card have been declined randomly.  My daughter's, on her own account, has also been declined.  I called on Friday evening and spoke to a suprvisor who said they were aware of the increased security and scrutiny and it should be resolved by Monday. 

Yesterday, I was declined again.  The purchase was at Lowes for under $10.

I called again this morning and was told that my issues had NOTHING to do with the ongoing Paypal problem which was still not resolved.  The supervisor, Daniel, explained that I have made over 2500 purchases totaling over $86,000 with no issues from my back up funding source...pretty good track record.  And the average is $34.40.  He also explained that I had about $100 in incomplete pruchases and another $600ish in completed purchases that were still pending payment from the bank.  And this was the reason I was declined....FOR $8!!!!!

I explained that I cannot function in life using a card that is like a lottery ticket...never knowing if I'm going to win or not.  He couldn't tell me how many purchases could be made or what outstanding amount couldn't be exceeded. 

Yet he continued to stick to his story that their ongoing issue was not affecting me.  I also explained that my spending habits haven't changed.  His response was that the security algorithms and features can change from time to time.  Great, more ambiguous information making my Paypal Business Debit Card no better than a pair of dice at a craps table in Vegas.

Paypal...if you want to continue earning X% of my $86000 in purchases, I strongly suggest you resoplve this issue.

[lancelotme]

@JJBoods

Just curious,do you get a cash rebate of 1 1/2 % ?

86,000 purchase adds up,$1290.

May be try raising your daily limit?

I get 1 1 1/2 % rebate,my daily limit is 4000,but most of the time,I used it to buy grocery and pay some bills, 

[JJBoods]

My daily limit is $3000.  I'm not sure how your reply real pertains to my issue?  What does my cash back % matter?  And If I have a $3000 limit and am getting randomly rejected for an $8 purchase, why does an additional $1000 help?

[lancelotme]

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@JJBoods wrote:

My daily limit is $3000.  I'm not sure how your reply real pertains to my issue?  What does my cash back % matter?  And If I have a $3000 limit and am getting randomly rejected for an $8 purchase, why does an additional $1000 help?

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I agree,raising the limit is not going to solve the problem.

The reason I ASK if you are getting a cash rebate is just curiosity why you would spend $86K using your Paypal debit card if it does not give you somethng back in return?

If you use a bank issued credit card,you earn points and you can redeem points to get gift cards,grocery cards etc.$86,000 would give you 86O dollars  

[Ccbeals]

Every bank does not give rewards. I get more rewards from PayPal then through my bank. And his issue was his card declining g why do you care if he can get more rewards somewhere else. It is pointless and seems as if your just picking and changing the subject. And why do you assume you know the policies of every bank in America?! This is what's wrong w everyone. Haven't you heard when you assume you make an **bleep** out of yourself!!!

[lancelotme]

@JJBoods-

The supervisor, Daniel, explained that I have made over 2500 purchases totaling over $86,000 with no issues from my back up funding source...pretty good track record.  And the average is $34.40.  

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may be they want you to use it on big ticket items! 

[JJBoods]

Yes, I get 1% cash back.  I like getting cash back on my own money.  No over extending.  No interest rate. 

He said larger than average purchases are worse.  Not sure why $8 was declined....well...I do know why.  They've made some change similar to what they did a few years ago which penalizes too many purchaces rather than too large.