What does PayPal 'balance' mean?

[Gooberman]

My account says 'PayPal Balance £38.47'. That sounds like I have money in my account, but I think I owe them money. They keep on calling me and have threatened to send debt collectors etc. I actually paid this amount in a couple of weeks ago, but the payment was apparently immediately 'returned', for reasons I don't know. I'd pay the money again, but I don't want to go into positive credit in my account, however that's expressed, as I'd like to cease using PayPal after this experience.

[kernowlass]

@Gooberman 

Sounds as if you had a failed bank transfer at some point, when you do then paypal remove the bank account as a funding source so that would explain why you can't add the funds.

When you pay with paypal its never instant, they credit the seller and then wait for your funds to transfer, if you don't have enough in your bank account when the transfer is requested (from a few hours up to a few days later) then your balance would go into negative.

Ways to clear a negative balance.

1. Transfer funds from your bank account via the add funds function.

2. The quickest and easiest way is to get a mate or family member to send a payment via the friends / family option. As long as they don't fund it with a card it should be free.

3. Via a card over the phone with paypal.

4. Buy something and Paypal will normally add the debt to that payment during checkout when you authorise the purchase.