Returned direct debit

[ELRAorW]

I have a PayPal Credit account. I have made repayments every month since I opened the account via direct debit. I have never had a problem. Unfortunately, this month I was charged a fee because my direct debit was returned. My PayPal account shows that the normal payment was debited from my bank account, but that it was “Returned” shortly after. My bank account is always in credit, I don’t have an overdraft. There is no way that the payment could have been declined due to lack of funds. I have generally found the PayPal Credit system to be extremely confusing. I did manage to find some information about this returned payment, and it appears that the direct debit arrangement is with an account that has never existed. The last four digits are all that are available to me, those four digits could belong to a card number or an account number. They do not belong to any card or account of mine.

[PayPal_JonK]

Hello @ELRAorW, 

Welcome back to PayPal's Community Forum. I'm sorry to hear you've run into some issues with a recent payment to PayPal Credit. You're normally only able to make a payment with a bank account that's already attached to your PayPal account. I'd first recommend visiting your PayPal wallet to look for any payment methods that shouldn't be there. If you do find any, you can reach out to our Customer Support teams to see when they were added and report any potential unauthorized activity if necessary.  However, you may want to ask any spouses or household members who may have access to your account if it's their financial information added to your account by accident.

In regard to the returned payment fee, reaching out to PayPal Credit Customer Support would be your best option. They'll be able to discuss any available options with you regarding that payment and any fees involved. You can find their information at the bottom of this FAQ page under Contact Us.

Best wishes!

 - Jon K

[JoeyVesc]

You realize user is talking about payment to the PayPal Credit account to lower the credit balance, not a payment using the Paypal Credit method! two different things, yet you replied as if you had the whole truth!! Next time read first! 

[JoeyVesc]

Just had the same issue. It seems like they are messing things up at their end and then blaming customer. I had my bank provide evidence of available funds, and evidence that at no point Paypal/Synchrony attempted the pull of funds, yet Paypal/Synchrony still contended it was my fault. I will be opening an investigation with my bank for fraudulent Paypal/Synchrony activity as this is clearly and example of them just being neglectful and assessing unwarranted fees and charges upon their customers. Also contacting State and Federal Consumer Protection Agencies to have them also open investigation into this seemingly repetitive practice by Paypal/Synchrony.