Bank Account for Paypal demands Password and Username

[Mandone]

Hi,

I wanted to do payment using credit card however paypal asked me to create a checking account but then asked me for my username and password to give them complete access. This is ridiculous and breach of Bank of America security procedures. Would like to know if anyone of you have been asked about the highly sensitive bank account security information. I will be contacting the bank for further clarification in this regard and what they think of Paypal asking for sensivtive info.

[PayPal_Adrian]

Welcome to the boards!

The process you are describing is referred to as "Instant Account Verification," or instant bank confirmation.  The way it works is you provide the system information for your bank account, it confirms that it is valid with the bank, and then that automatically and instantly confirms the bank account, makes you Verified, and lifts your Sending Limit.  PayPal realizes this may be sensitive information, and so doesn't store the requested information at all.  Instant Account Verification has been expanded to and approved by almost all American banks. 

Thanks!

Adrian