Do I get charged a fee cuz I didn't have enough $ in my bank and it gets charged to my credit card?

[CaptainCanada]

Hi, say I bought an item that was about $200 bucks, when I went to pay I chose the option to pay with my bank account and if I have insufficient funds in my bank, it will get charged to my credit card. What I wanted (since I had about $100 in my bank account) was to pay with whatever funds were in my bank and the other half to the credit card.

First, does Paypal charge me a fee with the option that I chose because I used a credit card (I read this somewhere)? Second, does my bank charge me because Paypal tried taking $200 out of my bank, yet I only had about $100?

PS. I am from Canada and I bought the item from the US in US currency.

Thanks for any replies. -Chris

[PayPal_Adrian]

CaptainCanada -

Welcome to the boards!

When PayPal submits an EFT debit to your bank account, we have to submit the full amount.  The bank then either accepts or rejects it - they're not allowed to partially fulfill the debit request on their end.  For example, if you were to receive a cheque from a friend, and took it to their bank in person, the bank couldn't give you only part of the cheque.  They would have to either give you the full amount of the cheque or nothing at all.  An EFT debit works the same way.

If the bank doesn't pay the EFT debit, PayPal moves on to your secondary funding source if the transaction has one.  PayPal doesn't charge a fee if the EFT debit fails, and we don't charge a fee to switch to the secondary funding source if that same debit fails. 

However, your bank may charge you a fee for denying the EFT debit.  If you don't have enough funds in the bank to cover the purchase, you might consider selecting the card as the funding source instead of the bank.

Thanks!

Adrian