Starting in August several of my families PayPal Family and Friends payments (non-merchants) are being classified as "Money Transfers" when they are transmitted by PayPal to my credit card company. This causes my CC company to treat the payments as cash advances and I am incurring cash advance fees and interest. My CC company says this is caused by PayPal and that they have no control over it. They also told me other PayPal members are having similar issues. PayPal is unreachable by phone! Their system is not even working properly to try to get to a representative.
Can anyone explain why this is happening? Payments to the same individuals prior to sometime in August did not have this issue.
