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Payment declined due to insufficient funds

New Community Member
Posted on



so today my Paypal balance went to negative due to "insufficient funds in my bank account". I've checked my bank account, there are more then enough funds to cover the balance. The problem occurred on a automatic payment. Up until now there were no problems with the payment for years. I've added a second bank account to my Paypal account in order to resolve the problem. The account was added without a problem, but when I go to the automatic payments, I can not change payment method to different (new) account. Instead it says that there's an error. Now I don't have a possibility to pay anything with my Paypal account, although there's sufficient funds in my bank account. The two connected bank accounts are shown in my paypal account, but I can not choose any of them for my automatic payments.


Payment declined due to insufficient funds


Hello @KarolisVas,


Welcome to PayPal Community Forum and thank you for posting!


I understand your concern about the automatic payments and the negative balance and I'm sorry to hear about the experience you have had. Whenever you make the payment, PayPal will instantly transfer the funds to the recipient and then would retrieve the funds from your Preferred payment method. If there are not enough funds then we would try to collect the funds from a back up funding source. If you have tried to change the payment method on or after the due date, please note that it will be effective in the next billing cycle. Once a payment has been sent to another PayPal account, the funding source cannot be changed. Here's the help center article to update/change the payment method. To resolve the negative balance on the account, you may try to add the funds to your PayPal account.


I hope this helps,


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