PayPal Business Debit Card is removing backup bank account funding

moorewmla
Contributor
Contributor

I am not sure I am posting this in the correct location but we just received an email from PayPal informing us that starting September 12th the backup funding from our bank account to our PayPal Business Debit Card function is going to be removed from ALL PayPal accounts. I called and spoke with a wonderful customer service rep Lori who spoke with her supervisor (and they had to speak with their supervisor). Apparently no one had informed them of this major change in PayPal business account functions. 

 

We really rely on this benefit as we are fully self-employed with three businesses and live in a very rural area. The Debit Card backup funding gives us the peace of mind to know our accounts are running smoothly and we don't have to constantly check balances. Ours is a perishable product business and our sales are cyclical on a weekly basis, we don't have customers making purchases every day of the week.

 

Bottom line: booooooo to PayPal!! You just made our businesses HARDER to run on a day-to-day basis despite your claim in that very email stating your "ongoing focus on helping your business to thrive". I imagine there will be a lot of folks shopping around for other options since PayPal thinks it is fine to cut major functional benefits to their customers with no information or basis in doing so.

 

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278 REPLIES 278

Temp20230909A
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Contributor

Is anyone else upset with the new Business Debit card funding rule?

You now have to have a Paypal balance in order for your card to work. You can no longer link your bank account to the card so that transactions are debited from your bank.

I have had my account for years, never had an issue & we literally got notice this week when my new card came since my old one is expiring.

I am not happy about this at all. I am a small, small business owner & I don't always have a balance sitting in my Paypal account.  So I linked the card to my business bank account so I could use the card & get the cash back offer. Now, there is no point in using the card, I can just use my bank card. 

Anyone else voiced their opinions to Paypal?

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JNDAccount
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To clarify, do we need to have the entire amount of a debit card purchase in our paypal account for it to work? Or can we have, say a dollar, then it will default to the back up funding? Thanks

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motak30
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Contributor

That is what the consensus is, yes. Very dissapointing.

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ckstephens86
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I’m very upset at this as well. If anyone finds an alternative please let me know
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ConleysCoins
New Community Member

After 23 years, I'm done with PayPal. There is no reason to use their card now and I'm not going to keep funds in a non-banking institution like PayPal.

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dceasar56
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Contributor
This is my response as well. There is no reason for me to even use PayPal anymore. They just lost this customer of over 25 years.
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motak30
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Will the bank backup funding actually quit tomorrow or not until the 13th? Is tomorrow the last day it does work, or the first day it doesn’t? I can’t seem to find exact info on that.
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LThom1212
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Contributor
It happened on the 12th. Mid day for me
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billandrewsjr
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Contributor

I tried using my PayPal Debit Card today. It was declined both times. I have a valid bank account linked for backup funding. My PayPal balance is zero but for years I could still charge on the debit card then it would auto transfer money from backup funding to cover. Has PayPal policy changed?

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Librald1017
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Contributor
I was just at Walmart and declined twice dont understand what the point of the card is now!
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