Help - NSF funds - how to resolve

[usaa7777]

please see the letter I sent to paypal below - any recommendations?

fyi images removed and sensitive contact info remvoed

Subject: paypal account:xxx

Owner: xxx

To whom it may concern:

When using Ebay in the past to pay for shipping the funds have always been withdrawn from my paypal balance. When I purchased 3 shipping label utilizing Paypal on July 23, 2019 Paypal deducted by bank account without my approval. 

I never set my bank account as my primary source of funding, it has always been my paypal balance. On July 23, 2019 there were funds available in my paypal balance. 

Also, according to the Paypal User policy, if another source besides the Paypal balance is going to be utilized, the Paypal user will be notified:

Please see this statement from the user agreement that is current:

“Selecting a preferred payment method You can choose any of the payment methods in your account with PayPal as your preferred payment method in the Payments section of your account settings. If you select a preferred payment method, it will be shown as the preferred payment method when you make a purchase online, in-store, or when you send money via goods and services."

When purchasing the labels through Paypal on Ebay below is what is displayed:

Please note it says “existing method” for payment - which would be my paypal balance.

I have never given authorization to Paypal to use my bank account as my primary source of fuding.

When the three shipping labels were generated (pictured below), they all were withdrawn from my banking account resluting in $59 in overdraft fees.

These are the steps I took to resolve the issue:

1. Contacted Paypal through chat. The conversation is noted below the numbered notes in bold. The customer service offered to send me a letter, but I have approached my bank earlier and they will not reverse them for paypal customers, because in their own words “this is a known paypal issue and we will not refund these type of issues”. The paypal representative would not give a clear answer on why my funds were not withdrawn from my paypal balance.
2. Attempted to reconcile the issue through the paypal dispute online tool on 7/25. There was a decision not in my favor.
3. Attempted to reconcile the issue through the paypal dispute online tool on 7/26 with more details attached on how it was a paypal issue and to contact me through my xxxx email address because my old email address does not work anymore. No notes included / no emails / no reason as to why my paypal balance was not debited, just a decision not in my favor again.
4. Called the paypal help desk 7/26/19. I went through history of what had happened and asked why my paypal balance was not debited. The representative could not give me answer. She then said my case was still being investigated. I asked her for the case number. She gave me case #xxxx  I told her thank you and thought that there must be some new notes in the resolution center. I went to the resolution center and saw that this case number referred to the third closed case. ( this conversation can be confirmed - recorded paypal line )
5. Called the paypal help desk 7/26/29. I went through the history of what happened again and said I was given a case number on an ongoing investigation - but that case was actually closed and the previous customer service tech gave me incorrect information. The customer service tech said that my bank account was charged because my account was limited. I informed the tech Lori (same name as me) that according to the limitation on my account this was not one of them - I could still send and receive money through my paypal balance. The only limitations were adding money to my paypal account and closing my account. Please see the screen shot below online chat conversation. The service tech had no comment to this and got flustered with this calling me “sir” and that she could not help me.The customer service tech said she could not help and would transfer me. At that point the connection was broken off. ( this conversation can be confirmed - recorded paypal line)
6. Went to the paypal “contact us” portal and sent an email requested the details as to why my bank account was charged and to contact me using the verified email set up. I have seen no response.

Chat conversation:

xxx 07:44 PM

1. my preferred method of payment has always been my paypal balance. When I last shipped on july 10th **** the funds came from my paypal balance. I have never changed my preferred payment method. I just sold 3 items on eaby, and the payment method I choose was paypal balance ( it still says paypal balance if I go to process a shipping label now) - the shipment cost deductions on 3 labels processed thru paypal from my checking account. there is no money in my checking account resulting in $58 in overdraft fees. What is the resolution since I never switched my preferred method of payment and had the funds in my paypal account?

Na

Nethra 07:44 PM

Hello, Welcome to PayPal Chat! My name is Nethra, how may I assist you today?

Please give me a minute to go through your concern.

lp

xxx 07:45 PM

that was july 10th, **** on the ****

two thousand eightenn - not letting my type the numbers 🙂

Na

Nethra 07:47 PM

I understand your concern Lori, as this transaction have already passed more than *** days, we will not be able to take any action on this transaction.

lp

xxx 07:48 PM

this just happened

july 22

Na

Nethra 07:48 PM

May I know are you referring to the recent shipping labels?

lp

xxx 07:49 PM

Yes, the three created on july 22n

Na

Nethra 07:51 PM

Thank you for the information.

I see that this have been charged from your check account.

I understand because of this you have been charged NSF fee.

lp

xxx 07:52 PM

correct, and correct

in the past shipping always came out of my paypal balance - i never changed my preferred method

Na

Nethra 07:53 PM

Please give me few minutes while I review this for you.

Thank you for your patience.

lp

xxx 07:57 PM

thats fine!

Na

Nethra 07:57 PM

I reviewed all the transactions for you and I see that previously it was taken from the balance.

However if the system triggers and if we were unable to process the transaction with the balance, we will charge your bank to process the payment.

lp

xxxn 07:59 PM

my paypal balance shows funds deposited from buyers on 7-20 with no hold - shipping labels processed 7-22

so funds were available in my paypal balance it the time the labels were created

there were no funds taken from my paypal balance- they were taken from my checking accoun

account

Na

Nethra 08:01 PM

Yes Lori, the funds have been taken from your checking account.

lp

xxx 08:01 PM

correct - I never set the checking account as my primary paying account.

Na

Nethra 08:03 PM

I understand that you have never set the bank as your preferred funding source. However as I mentioned if we were unable to process the transaction with the balance, then the money will be taken from your bank.

Regarding the NSF fee, I can send you a letter and you can provide this letter to the bank.

lp

xxx 08:03 PM

When I paid from my shipping label on eaby it said the the funds would come from my paypal account / the paypal customer agreement policy states "Selecting a preferred payment method You can choose any of the payment methods in your account with PayPal as your preferred payment method in the Payments section of your account settings. If you select a preferred payment method, it will be shown as the preferred payment method when you make a purchase online, in-store, or when you send money via goods and services."

I never set my bank account as my defualt account - it has alwasy been my paypal balance.  Funds were available on 7/22 in my paypal balance but were withdrawn 3 times (this is 1 of the 3) resulting in NSF charges of $59. I am requesting these funds be refunded since I did not authorize paypal to take the funds from my checking account.

Na

Nethra 08:06 PM

Yes Lori, the transaction was processed with the PayPal using the checking account.

I apologize for the inconvenience caused to you.

I'm really sorry, once the transaction is initiated, we will not be able to change the funding source.

lp

xxx 08:07 PM

Selecting a preferred payment method You can choose any of the payment methods in your account with PayPal as your preferred payment method in the Payments section of your account settings. If you select a preferred payment method, it will be shown as the preferred payment method when you make a purchase online, in-store, or when you send money via goods and services. please read the customer service policy - when i purchased on ebay it said "paypal" account and did not indicate another payment method when i chose paypal.

I did not authorize paypal to use my checking account - it is not my primary source - since the customer service agreement was voilated I am requesting my nsf funds be refunded

funds were available in my primary source - my paypal balance, at the time the labels were created and paid for - ebay acknowledged my paypal balance would be charged - paypal balance is set as primary funding source,

Na

Nethra 08:10 PM

I apologize, we are limited via chat and we will not be able to waive the NSF fee.

In this case, please call us at[Removed. Phone #s not permitted]/strong>

So that we will try our best to help you with this.

I once again apologize for the inconvenience caused to you.

xxx08:11 PM

I tried, on hold for 2 hours and could not get through (end conversation)

Screen shot from limitation on my paypal account:

Dear Paypal :

I am requesting a resolution from Paypal for this please before I try to get a resolution through other means and resources that are authorized legally here in the state of Florida

The resolution I am requesting is that $59 is put back into my paypal account, or that Paypal contact USAA, my bank, directly and resolve the NSF fees, and put the $59 back in my bank account.

I look forward to a happy resolution,

Thank you,  xxxx

xxx email

[Teslafan101]

TOO LONG .

Try adding more fund to your bank account.

Or find another way to print shipping labels until the problem is resolved.

[WebWideJosh]

I had this happen but it was while I was closing the account. So the account is in closed-pending status. My other account (always set for "preferred") is available, but has been for months.

Will PayPal try to get the shipping label from the previous account that caused NSF (has $0 balance *and* in closed-pending status with BBVA), or will it try another funding method next time? Thanks!