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I would like to know how to avoid a sneaky interest charge in 6 months. I have made payments for the exact balance of a promotional purchase, only to find out that it was just applied to the overall balance. Any ideas on how to get PayPal to direct the payment, to pay in full the outstanding balance for promotions? Thanks in advance for your awesome feedback!
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That doesn't happen so I am on hold again trying to ask them to allocate my payment. Once I am paid I am done. I thought Paypal would be easy but it is very time consuming and not worth my time. If they would just make it easier it would eliminate a lot of frustrated customers and calls for the call center.
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I just got off the phone with PayPal, and yes it's true that anything over your balance goes to your promotional balance, BUT only if it's within 2 pay cycles of its due date. If you would like part of your payment (you must pay the minimum amount due first) allocated to promotional purchases outside of the two billing cycles... you must call in. It's quick and easy, but you must call. Cheers!
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I only use PayPal Credit for extended interest free payments. Otherwise I would pay the entire amount of current purchases plus 1/6 of my original purchase amount. With other similar situations I will create a spread sheet showing what the promotional balance should like at every statement cycle, and monitor it closely for the first two months. I also pre-enter all my payments on PayPals website from my checking account to pay the promotional balance before the expiration date. With multiple promotional balances I try to always spread the payments out evenly over the time period, making sure each promotional balance gets paid off before the expiration date. I use a spreadsheet, applying each payment to the earliest promotional balance to expire. I have never had to call to get a payment applied correctly, I never carry any balance that creates interest. I have never paid one bit of interest in my PayPal Account. Every payment is set up months in advance on PayPal credit's website.
Also, keep in mind, generally, your payment will be applied to minimize the interest paid during the current statement cycle. This is always how PayPal does it. They strictly adhere to banking rules. The way they apply payments is to always favor keeping the interest charges an a minimum. They do not apply payments any differently than any other credit card with similar promotional balances. I have done these types of no-interest promotions many many times, virtually everyone of my major purchases are handled this way, even if I have the cash to pay at the time of the sale. I only made one mistake, but not with PayPal. I didn't realize the card had a huge minimum payment and scheduled the first payment before I saw the first statement. I was like 2 days late and only 4 dollars short and paid the late fee. I have never missed paying off a balance before the promotion expired.
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Mark, you seem to have a pretty good understanding of this complicated system. If I understand this right; if you have say, paid 3 months already on a 6 month promotion; you are just SOL and can't pay on a specific promotional purchase?
Thank
Garry
@mark_LOL wrote:I only use PayPal Credit for extended interest free payments. Otherwise I would pay the entire amount of current purchases plus 1/6 of my original purchase amount. With other similar situations I will create a spread sheet showing what the promotional balance should like at every statement cycle, and monitor it closely for the first two months. I also pre-enter all my payments on PayPals website from my checking account to pay the promotional balance before the expiration date. With multiple promotional balances I try to always spread the payments out evenly over the time period, making sure each promotional balance gets paid off before the expiration date. I use a spreadsheet, applying each payment to the earliest promotional balance to expire. I have never had to call to get a payment applied correctly, I never carry any balance that creates interest. I have never paid one bit of interest in my PayPal Account. Every payment is set up months in advance on PayPal credit's website.
Also, keep in mind, generally, your payment will be applied to minimize the interest paid during the current statement cycle. This is always how PayPal does it. They strictly adhere to banking rules. The way they apply payments is to always favor keeping the interest charges an a minimum. They do not apply payments any differently than any other credit card with similar promotional balances. I have done these types of no-interest promotions many many times, virtually everyone of my major purchases are handled this way, even if I have the cash to pay at the time of the sale. I only made one mistake, but not with PayPal. I didn't realize the card had a huge minimum payment and scheduled the first payment before I saw the first statement. I was like 2 days late and only 4 dollars short and paid the late fee. I have never missed paying off a balance before the promotion expired.
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PayPal for sure using shifty practices when applying payments. June VI statement had 10 six month promo purchases @960.05, made 350.00 payment, July statement has 9 of same purchases @ 910.05. though only 50 of that should of went to a 24 month promo. Seems they may applied 300 to the 24 month, and only 50 towards upcoming 6 month promo. Shifty, deceiving and UNETHICAL. My remaining balance on 6 month promo should be as round 660, not 910
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I suspect that this is done so you dont do payments on item & they can then charge 27% interest on it.
Just spent almost a day on Paypal help messaging basicly going round in circles.
Did what they said and paid into Credit account.
This has not gone to pay off 4 month Item,Just been advised that should pay invoice at end of expiry date.Doesnt seem to be any way to pay installment or in full on Specific item
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