PayPal Business Debit Card is removing backup bank account funding

[moorewmla]

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.

[Cromer]

Well this was dumb! No reason to have the debit card anymore. I can’t even count how many automatic payments I have set up with this card. I’ve been using this card for at least 10 years. They used to pay 3% cash back way back when too. Bye bye PayPal. There’s no reason to have you anymore.

[jsclair]

Yeah, I happened to completely miss the e-mail on the 17th (a.k.a LESS THAN A MONTH) and was surprised by having a declined transaction yesterday. I actually thought my account was compromised, but I happened to find this thread.

PayPal, this truly was a foul decision for a piece of functionality so huge. This was honestly the MAIN reason I used the card, but it's now lost its edge. 

[Temp20230913]

I have been using my PayPal Business Debit Card for years..  It's linked to my bank account.

The process has always been I make a purchase with my PP card and it's always accepted.  The next business day, the transaction hits my bank and the amount is taken from my bank account.  Everything is good and just in the world..  It's been this way literally for years.. 

This is the way.  😄

Yesterday, I did a transaction in the morning and it was fine.. That afternoon, I attempted 2 transactions and the transactions were declined..  The only help I could get from PayPal was "You need to load more money on your card" or some such nonsense..  Everything is fine with my bank and my account..  The PP card just stopped working..

I just checked it and it's still not working..

Anyone else having trouble with the PayPal card??

[Madilynnsmommy]

They changed the policy. They no longer allow you to use backup funding. It was buried in the legal changes email they sent out in August. I’m done with the card.

[bearcatnat]

Yep, I called customer service to see what the issue was. I’ve been using my PayPal card as my main debit card linked to my bank account for years to earn the cash back bonuses. I’m not loading money to PayPal. Guess I’m done with the card too. I’m sure glad I had another card to use as a back up. Thanks for the great job warning us about this huge change, PayPal! 😡

[t0mmyr]

Same here. My frontier internet and water bill were setup for autopay using my PayPal card like always. Nothing changed but they both got declined in the last 48 hours. WTF. Now what’s gonna happen to the hundreds of Amazon subscribe and save orders I have linked to this card for discounts throughout the year?

[Madilynnsmommy]

It’s sad that the new no back-up funding policy will mark an end to my relationship with the PayPal Debit MasterCard. I feel that this policy will cost them dearly as my transactions will end and I believe that many others’ transactions will end also. Why carry that card, when I will just use the debit card that was associated with the checking account that backed up PayPal? Preloading is time consuming and not practical. It was a protection not to have to use the direct card. Now, I have no incentive to use the PP card. This means they will lose a good deal of money they were making on the charges.

[ConleysCoins]

I agree. This is not a wise move by PayPal. There is no reason to use my PayPal debit card now. I'm going to disconnect my PayPal account from all payments now! After 23 years, I have to say goodbye.

[Kristic72]

SAME

[Kristic72]

SAME HERE