PayPal setup tips thread - How (and with who) is your related bank account set up?

[yllus]

So far, I've divined the following advice when setting an account to be used for PayPal:

1. Set up a separate bank account to be tied to your PayPal account, for the reason of if there ever is a dispute with a charge, your entire account is likely to be frozen while they take their sweet time sorting it out.

2. Keep a balance of $1.00 in the time you between making PayPal payments. Reasoning being the Internet is generally not a friendly place and disallowing meanies from taking any money out of your PP account because there is literally none to take is a wise course of action.

Hmm...I would have sworn I had a longer list of tips than that in my head but I guess I can't remember the rest right now. Anyone care to add anything? Also, a question of my own to all of you out there:

1. a) What kind of account (chequing, savings, some special acct geared towards Internet transactions) do you have PayPal tied to?
b) Any specific banks I should check out to open my PayPal account with, or will any old bank do?
c) This is sort of combining a and b together - I assume that PayPal transactions are counted as transactions and not transfers, correct? Any banks out there that allow a high number of transactions for a minimal fee?

Thanks guys.

 

[jlee]

The only thing I use my checking account for is paypal-related transactions..I have $3 in my checking account now. My paypal account has a balance of $0.00 - part of the reason is that it's tough to hold on to... The other part is I just don't want to keep much money in there, in case something does happen.

 

[RossMAN]

I opened a PayPal specific checking account with my bank.

So if I ever get ripped off, the balance is only $60 in this account I wouldn't lose the shirt off my back.

 

[KevinF]

According to a post PayPal Damon made a while ago, PayPal can't touch the bank account you have linked to your checking account, if you registered before a certain date. I'm not sure what that date was, but I'm sure he'll show up in this thread soon. If you have a PayPal account that you set up years ago, I wouldn't worry about having the bank account linked.

From your post, however, it sounds like you're just registering a PayPal account now. I'm not sure what advice to offer you... try calling your local credit union and see what they say.

 

[Johnnie]

i have had well over 500 trasaction with Paypal..never a problem....
same bank account since i started...2.5 yrs ago

 

[Yossarian]

Originally posted by: Johnnie
i have had well over 500 trasaction with Paypal..never a problem....
same bank account since i started...2.5 yrs ago

There was another guy on here posting the same thing, until he got ripped off for several thousand dollars.