Need a credit/debit card to make purchases?

[Tuppy84]

I really don't get this rule. It says i need to add a credit or debit card to complete a purchase with GrubHub but I can purchase a gaming headset from their website, purchase games right on the Xbox, buy clothing right from the Under Armor site and MORE! But all of a sudden I can't buy my son and I a pizza on GrubHub after a long day?

Someone please explain this to me and don't hand me "it's the rules". Make me understand why i can't eat right now

[sharpiemarker · Accepted solution]

@Tuppy84 

I would say its more like, "that's how it works". Not that them's are the rules.

Yeah, because of the way Grubhub has their checkout set up, it wants to set a billing agreement in your PayPal account to streamline the checkout process for future purchases and I don't believe you can opt out of it. Plus, if you're using the PayPal balance to pay, the credit card is for backup so both PayPal balance and credit card will be temporarily charged until the system can determine whether you have enough in PayPal balance, tapping that and releases the temporary charge at your credit card.

Once you add card as back up and complete check out, the transaction details in your PayPal account activity will say "Paid by PayPal balance backed by CARD ####", then in a day or two will switch to "Paid by PayPal Balance" if you have enough funds in it, where applicable.

Read the checkout screens carefully as they don't explain it in so many words. It happened to me before so I just went with it to observe what happens. You can also cancel the billing agreement after the transaction completes so you don't get any strange, surprise charges: 

Go to Account Settings (gear icon) > Payments > Manage Automatic Payments

Select merchant on left, click Cancel on the right.

If that ever happens and you try to dispute it, PayPal will deny the claim because it was a billing agreement set up with the merchant. Then you'll have to cancel the agreement as per above and then ask the merchant for a refund so automatic payments/billing agreements have to be watched over. Also back up payment methods for automatic payments/billing agreements can only be edited from the Manage Automatic Payments page as above. Updating the preferred payment method on the Wallet page will not impact automatic payments and billing agreements payment methods.