After numerous phone calls and emails, I finally got an answer as to why my bank account was hit instead of my credit card when I did a transaction on 12/30 with my Starbucks account , which has always hit my CC before. I was told that even though my PayPal wallet clearly indicates that my preferred funding source is my credit card, they can still hit my bank account if there is not a clearly indicated preference for my CC in my vendor agreement which is a separate item buried under my profile section. Apparently, on this occasion, PayPal determined there was some risk in using my CC so they made the choice to hit my checking account instead which was allowed since this separate vendor agreement did not specifically list my CC as the preferred choice. What this means in plain english is that anytime you do business with any vendor you need to determine that your vendor agreement with that vendor states your preference for using your cc otherwise PayPal may override your CC preference (as indicated in your PayPal wallet section) and hit your bank account if they decide there is some risk in using your CC which leaves the customer totally unprotected if there is some dispute with the vendor as a checking account can never be refunded but a credit card can. This really is a terrible process since it puts customer money at risk and is not even remotely explained to customers anywhere on the website.
... View more
