How does Paypal work?

How does paypal and ebay work?

• i have both paypal and ebay accounts and a little money waiting to be spent, but in order to get that money i need a verified paypal. i don't have a bank account but another option is getting thier paypal card,im a little confused and don't know how this should work. do i pay on ebay with the card paypal gives me or can i pay on ebay directly from my paypal account without using the card. in the end all i wont to do is spend the little piece of money that's waiting for me and avoid any kind of credit card debt. is this scenario possible in the game we call life. : )

• Answer:

  Vincent Taylor, If you have linked your PayPal account to your eBay account, you'd be able to pay your eBay seller with your PayPal account and without a card. eBay would just debit the amount you owe from whatever your balance is in your PayPal account. To stay out of credit card debt it would be best to link a pre-paid debit card as a back-up funding source for your PayPal account. This way if your PayPal account falls to zero and fees are due, eBay will debit your PayPal account, but the debit will bypass PayPal and be taken from the pre-paid debit card. It's like overdraft protection of a checking account, only it's not a bank but PayPal. Speaking of overdrafts. AVOID linking a checking or savings account to a PayPal account. When you link a checking account to a PayPal account you open yourself up to unnecessary overdraft fees from your bank at anywhere from $25-$35 a pop! Life happens and here's how: Let's say you're a eBay seller and it comes time to pay your monthly invoice. If your eBay account is linked to your PayPal account, which most are, eBay debits your PayPal account. But oops, you have a zero PayPal balance and there's not enough money in your checking account that you linked to your PayPal account to pay the invoice, but eBay still debits your PayPal account and since it's linked to your checking account, your bank now charges you an overdraft fee because of insufficient funds. And eBay will keep trying to debit your PayPal account for the fees until they are paid. If one is not careful they could discover 2 or 3 debits to the account which would mean 2 or 3 overdrafts. It's just like throwing money out the window! Avoid the possibility of that scenario happening by leaving your checking account off. With a pre-paid debit card that you can pick up at any local Rite-Aid, CVS or Walgreens, you wouldn't incur any overdraft fees when the PayPal account is debited. And you can always add money to the card to ensure the next time the debit occurs, the money is there to pay the eBay fees. The PayPal card you spoke of is it's debit card which you can apply for, but you must have a verified account to do so. However you wouldn't need this card to pay your eBay seller fees. The PayPal debit card is a convenient way to access your money immediately after an eBay sale has been made. It works just like any other debit card. You are allowed to access any ATM, enter your account info and withdraw the money you wish from your PayPal account. This isn't a credit card although PayPal offers one, but a debit card, where they (PayPal) doesn't check your credit. To get at your money right now, you would have to put in for the amount that you want to withdraw from the account by requesting a check. This normally takes PayPal from 7-14 business days as to where the money ends up in your hands. Sorry for the lengthy answer. Hope it helps!