You should have the option to cancel the transaction from your end and refund the money. Did you send an actual request to your boy friend for the money or did he just use the send money feature on his own ?? If someone is using the Send Money feature - they have to "choose" either "Friends and Family" or "Goods and Services". There is a fee to the receiver for "Goods and Services" however, if the sender selects "Friends and Family" and uses funds from either their PayPal Account or their Bank Account, there's no fees.
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You may want to contact Tech Support with your concerns (I'm guessing this is probably a change you can't change but, Tech Support should be able to give you a definitive answer.)
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What option is your grandmother using when she sends you the money or are you sending a request to her ?? You're being charged a transaction processing fee on the total amount. I'm guessing the "Goods and Services" option was used meaning you're being charged as if you had sold something, which is a common mistake. If you look at the details of the transaction in your Account Activity, you should see what is going on. If the "Friends and Family" option is used and the sender chooses either their PayPal Account Balance or Bank Account as the funding source - then there's no fees.
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PayPal keeps a history of email addresses that have been used and are currently in use. Although you know that the address you want to add is valid, there's a good chance that it was used for an account in the past. (It's part of the system's fraud security.)
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Don't think that method is available anymore, at least not for US Accounts. The only way to downgrade from a Business Account to a Personal Account is to contact customer service. (Note, Premier Accounts and Student Accounts are no more, Personal Accounts were enhanced with some of the features that Premier Accounts had so they are bit more useful - moving forward, there's two types of accounts - Personal and Business.)
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