Beginning on September 12, 2023, the Backup Funding Source linked bank account feature of the PayPal Business Debit Mastercard will no longer be available. You’ll only be able to use the Business Debit card if you have existing funds in the Paypal account, per the recent Paypal Policy Update page.
Some people like to use the Paypal Business Debit card on purchases that don’t accept credit cards. As long as you can make the purchase without a PIN number, you’ll get 1% cashback reward on the Paypal Business Debit card. Going forward, you’ll need funds in the Paypal account to take advantage of this.
Hat tip to UncleB on MyFico Forums
Been using PayPal debit Mastercard for at least 10 years now. I guess I won’t be using it anymore.
They totally suck. Screwing the small business. Never using them again
Another multi-decade customer here that will be taking business elsewhere.
This just happened to me. Declined at dinner and this morning. I have been with Paypal since the beginning. This is some straight up BS.
so pissed off at paypal, i have had their back for years and gotten a lot of people to sign up for accounts and cards. I love their security and help. But this is the dumbest thing I have ever seen a company do. They are reverting themselves back to zero in my eyes. Take away their best feature they say. The people will love it they say, customer support will suffer and we dont have to worry the higher ups say. I now only use my paypal online, card gone. Paypal is a distant afterthought now. F#*K you paypal.
I totally agree! I have been with them since elon founded Paypal from X.com online banking. Paypal can kiss my ass and call me gone!
I’m furious as well. What is the point of transferring money to paypal and having them sit on it for 5 days?! Just use my bank debit card. The whole thing is shitty and so short-sighted. I just told them I have no use for them and will be using Venmo from now on. I have about 12 different recurring payments and charities that are attached to that card so now i get the joy of updating my info with all of them. I am done with PayPal.
Pretty sure they use the funds in your account to make themselves money
joke’s on you because Paypal owns Venmo…
Agree 100%
This a bad policy decision. It was a convenient and easy. Why transfer when you can just use the bank debit card? At least the banks have someone to talk to when there a problems. PayPal customer service is the worst. Like everyone else, going to look for a alternative.
This is super shifty PayPal. I’ve used you personally and also for my business for the last 17 years. All you did was let people know about what was happening with Venmo. You never once sent anything out to people in regards to PayPal. All of a sudden I end up with declined payments all over the place today. We have enough on our plates to do as business owners, or people who heavily use their PayPal card. With consistent fraud all over the place being able to use a linked card to your bank account instead of your actual main bank card was a great safety feature for many. I also will be looking for alternatives, and my 13-year-old company will be doing the same!
Perfectly said. I am in total agreement with you. I had no idea until things started declining all over the place..
Paypal was very vague about changes to the account in an email, they should have been upfront about this, instead they’re pissing people off, …I had no idea this was happening ahead of time, I found this article today, I’m look for alternatives to PayPal.
I’m also looking for alternatives… I’ve been a PP customer for > 20 years… Let me know if you find a viable alternative. I’ll do the same.
I’m absolutely FURIOUS at this new policy. I have so many things attached to my PP debit/MC card it isn’t even funny. I ALWAYS transfer PP balances into my bank account and never leave a balance with PayPal. I’ve had the PayPal Debit/MC card since it was introduced and have never had an issue with backup funding. I won’t close my account, but I’ll only use PP to collect F&F money from now on.
In case anyone was wondering, they did the same thing with Venmo.
They also removed auto backup top up as a function from spending using Paypal in stores