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Thread: Can Paypal affect my credit record?
mjjking
New User

From: N/A
Messages: 9
 Can Paypal affect my credit record?
Sent: 12-05-2006 13:19
  Reply



kunoichi, do you think that paypal could file a court action against me? I have several debt for several closed accounts (in brief, I closed my account and I didn't notice some fraudolent users filed chargebacks and claims!). Now, paypal tells me I owe them money...! But it happen with each account, singularly. Please note that each and every account was not verified. Do you think thay will be able to trace me as owner of all the accounts and comulate the debt then? singularlyt, it's not more than 200-300 GBP per account, but totallyu would be about 4-5000 GBP! They really sucks!
Oh by the way: I'm italian, I live in Italy but I opened finnish accounts because I resided there at the time. What will then happen? P.S: The phone numbers I provided paypal with aren't working anymore!!
THANKS GUYS!!

 




Popolo
New User

From: N/A
Messages: 2
 Can Paypal affect my credit record?
Sent: 12-02-2006 21:43
  Reply



I also am in the same situation, i sold a game account through paypal for 300$ and then bought something with that money. Now paypal has claimed that the funds wre fraudulent, so i am left with -300$ in my paypal. Paypal has called me and threatened to call the credit bureau if i dont not pay up. However i am completely out of money. I did nothing wrong, i sold the game account with full info and the buyer was satified. Keep in mind i am under 18. What should i do, will the credit bureau come to my house? will it affect my credit record? Will i keep on getting calls and letter? how often? I would appreciate any input. Thank you

 




davedavedave
New User

From: N/A
Messages: 6
 Can Paypal affect my credit record?
Sent: 11-22-2006 10:08
  Reply



davedavedave, and another thing, using paypal for 2 years, and if i recieve £1 into account the charge say is (just a guess here) 10p, if i receive another £1 the charge is 11p! tonnes of transactions are the same, they charge an extra penny for the same amount, if they do that to millions of people they get a load of cash to cover losses (78 million paypal users)

 




davedavedave
New User

From: N/A
Messages: 6
 Can Paypal affect my credit record?
Sent: 11-22-2006 10:06
  Reply



sunder, $1900 debt to them is nothing read on here some people £1900 yes thats right ££££ POUNDS
so ur only £1000, no one coming after u, usuall letters, thats it, just pretend it doesnt exist, oh and if you get the phone calls, just say never heard of him/her, u been ripped off, done nothing wrong, so even if in 10 years the FBI kick ur door in and start shooting, no worries, you did nothing wrong to incur that debt

 




sunder
Big BOSS

From: England
Messages: 396
 Can Paypal affect my credit record?
Sent: 11-21-2006 05:17
  Reply



forgoton,

NO county court judgement. The WORST case scenario when they are chasing you for money are annoying letters. Always keep in mind pop pickers that should they ever hassle you by phone tell them clearly that A. The debt is not yours wink, wink B. That by calling you more than once you interpret their calls as 'demanding money with menaces', and it is causing you stress. It should end there. However should they persist simply write a letter to the same effect and post it to them by registered post.

 




forgoton
New User

From: Florida
Messages: 1
 Can Paypal affect my credit record?
Sent: 11-20-2006 15:20
  Reply



Thank you for all the great posts guys. I have one outstanding question that I'm trying to find an answer to:

in most cases, will PayPal file for a County Court Judgement if their collection agency doesn't succeed? The amount we're talking about is approximately $1,900 if that has any bearing.

I understand all the points about not necessarily having to pay the debt, though I do want to protect my credit. Like some of you guys, i've sadly encountered a chargeback on PayPal...

Thanks in advance for any responses.

 




brightertimse
New User

From: N/A
Messages: 3
 Can Paypal affect my credit record?
Sent: 11-01-2006 12:45
  Reply



Thanks for the post jackdore. Following on from the good advice he has given.

Since the energy provision was deregulated about 6 years ago it has become very very messy especially when switching providers, with competion even tho you have changed they sometimes try to 'loose' the change of provision contract to meet their quotas!

Make sure you have:

* Your welcome letter/start date from powergen
* A copy of your agreement when you rented the house and the date you moved in.

Write to them with a strong worded letter enclosing the above documents (copies) and advise them that if this matter is not cleared up within the next 7 working days you will be seeking legal advice. It may be of benefit to say if they do not believe it should be cleared up to provide YOU with (a) Ask them to post/prove a copy of the contract you signed when they say they got service with them. (b) copies of when they were given details of your moving in and by whom.

If they have not sorted it out after 7 working days then go to www.moneyclaim.gov.uk/

It's a small claims court and you can fill in the details online, make a good amount say 500 pounds for all the harassment and nasty letters you have received.

You normally have to pay 30 quid to to the moneyclaim but if ruled in your favour they will have to pay the 30 pound on top as well. If they do not pay within 30 days the company will get a ccj in their name. However, depending upon the size of the company the odd few ccjs dont really matter.

I hope this has been of some help and if you need more then email me please: paypalsucks at brightertimes dot com

 




jackdore
New User

From: N/A
Messages: 3
 Can Paypal affect my credit record?
Sent: 10-26-2006 21:16
  Reply



spunko2010, utility bills.......You need to do three things.....first make a copy of your agreement with Scottish Power and your subsequent bills from them....second write a letter to PowerGen enclosing these copies and explaining in clear terms that unless they 'cease and desist' harrassing you, you will report the matter to the ombudsman and if necessary, defend the matter in court and seek not only costs but damages. Thirdly, contact Scottish Power and ask them to confirm in writing that they 'ported' your account over from PowerGen. When you have that info from SP, keep it handy...you may need to take it to the court and/or the ombudsman to show proof......Don't worry, just stand your ground...make your case clearly and unemotionally....they are coming after you because they are incompetant fools who have no idea how to do their job and you are an easy target....I had similar problems with both gas and electric companies for over a year....boring and time consuming but the upshot was that I got free gas and electric for a year when I proved that they were idiots....as a good will gesture, they cancelled all bills for the year....stick with it matey!!

 




spunko2010
New User

From: Atlanta, Georgia
Messages: 10
 Can Paypal affect my credit record?
Sent: 10-26-2006 06:33
  Reply



brightertimse, Hi there!


I relied upon your help a few months ago in regards to a debt collection agency and I now need some further advice (not to do with PayPal but still...)

It's in relation to Powergen. We've been living at a rented flat for 6 months and have just received an elec bill for £178! However, we switched over to Scottish Power when we move din, and have never used Powergen, and yet they are billing us for it, they've passed it onto debt collection etc and now we are getting "court action imminent" letters - the usual bullsh*t.

We have never used Powergen, I've contacted Powergen and the debt agency but they both say "call the other one". Can I just ignore this? I don't want my electricity to be cut off but I resent paying TWICE for electricity... I also don't want a CCJ :)


Any advice?

 




brightertimse
New User

From: N/A
Messages: 3
 Can Paypal affect my credit record?
Sent: 07-20-2006 16:19
  Reply



spunko2010,

First off, Call the police. If this guy has stole from you, let them handle it and sort it out. Theres no reason you should be down for any money that was not your fault, wether it's 50, 500 or 5000 Pounds.

NCO are bully boys, I have had the 'tuesday' calling card and there is nothing they can do. They cannot affect your credit rating as you do not have a credit agreement with them. Credit reference companies have very strict criteria for allowing searches/recording data.

For instance if I let you 200 pounds and you did not pay it, I could not ring the credit reference and say "This guy owes me money! Blacklist* his credit file"

* p.s. theres no such thing as a credit blacklist.

The only course of action I would have is to either contact the police or take you to court and get a ccj registered for you, thats if the court ruled in my favour.

When you go for a loan, or a credit card etc you sign a consumer credit act form which means the company and you agree to the 'agreement'.

Now, you didnt sign one with paypal.

Take this example. When I was younger I got into the habit of writing cheques and backing them with a cheque g'tee card. You can go to cheque cashing places and they will give you money if you write them a cheque.

Now, if you go overdrawn with the bank, they can refuse the cheque even though it's a g'teed that the payment will be accepted.

That means if the company has paid you cash and your cheque has bounced, then that is not covered under the consumer credit act. If it was it'd be different but it's not

if any one needs general advice on how credit reference works email me on paypalsucks@sugarsteps.org

Spunko2010 in a worse case scenario, lets say nco took you to court and you got a ccj you would have some issues getting credit for the next 6 years, but it's not illegal to get into debt. You cant even go to jail (unless it's for council tax) - theres really nothing they can do to get that money off you if you dont want to pay. Trust me, when I was younger i run up 50k of debt with about 8-9 companies and I have never ever paid a penny back.

1.. Dont give NCO any information
2.. If you do want to call them, tell them the person was renting the house and lives there no more ("i.e. you are the landlord")
3.. Ring them up and ask them for their address. Go to a supermarket and buy a whole big wet smelly fish. Get a large jiffy bag and put the fish inside it. Hold it for a day or two and then send it to them.

But my best advice chief would to contact the police and give them the police details and let them sort it.

Hope this has helped

All the best

 




spunko2010
New User

From: Atlanta, Georgia
Messages: 10
 Can Paypal affect my credit record?
Sent: 07-20-2006 10:05
  Reply



brightertimse, Very interesting stuff.


To cut a long story short, a guy initiated a chargeback against me for just over $1500 for a website I sold. He still owns this website and I cannot get it back, which is in effect stealing. To be honest I put it down to experience and let it go.



But now PayPal have ruled that they cannot go against the original chargeback (for reasons unknown) and say I owe THEM the $1500 as my account is negative. I can't see them writing this debt off as is it so big. The guy who purchased the website has his PayPal account still set-up on the website, so I guess he is making money from it. I don't want to get the police involved, I would rather forget it all.

If NCO come after me, do you think that I could plead innocence and tell them HE still owns the website I sold?


I cannot afford to pay back this money as I am a student. It is obviously intangible and so not covered by PayPal's policies, if that helps?

Any ideas? Thanks in advance.

 




brightertimse
New User

From: N/A
Messages: 3
 Can Paypal affect my credit record?
Sent: 07-19-2006 12:02
  Reply



kunoichi,

Hi

I work for equifax which is one of the leading credit reference agencies.

I will try to make this as clear as possible.

A company *cannot* do a search on your details without having your explicit permission. That's final.

If it does not say it in the terms and conditions they run a search on you they can't. I suggest you do get a copy of your credit record to see if they have. Check equifax, experian and callcredit.

If they have done a search then frankly that's against the law - I know large companies in the past that have had accounts cancelled due to this.

Also if you owe money with paypal, they cannot 'dirty' your credit file in any way. Seriously. Unless you signed a *CREDIT AGREEMENT* with them, they cannot leave you with any 'marks' on your credit file.

The only time this can happen is if you get a county court judgment and that would be registered on your credit file, however that comes through the courts not directly from ebay or paypal.

Also it's not illegal or against the law to get into debt, you cannot go to jail for owing money or getting into debt (EXCEPT COUNCIL TAX!). If you were to be in negative funds with paypal/nco and even if they did take you to court (and give you a county court judgment) - you still don't have to pay. Sure it would stay on your credit file for 6 years wether you paid for it or not.

So basically, dont way bout ebay or paypal as you have signed no agreement under the consumer credit act so they have no leg to stand on in regards to your credit file.

Thanks and hope this helps!

 




Hawkeye
Registered User

From: N/A
Messages: 16
 Can Paypal affect my credit record?
Sent: 06-19-2006 07:48
  Reply



From what I know.......

1. They can do a search for a credit reference, and this doesn't do much harm. Only if there are lots of searches in a short time period does it actually hurt your credit rating. Frequent credit reference searches imply that somebody is desperatly seeking to borrow money.

2. They cannot file a 'debt' with a credit reference agency because even though they've flagged you as owing them money you do not in fact owe them anything.... it's just on paper.

eg. Suppose you sell something for £100. The buyer pays you through PayPal who take their cut along the way. The buyer had their account debited which was either a PayPal balance or a transfer from their bank aco**** into the PayPal account. You get credited with the money. If the buyer at a later date disputes the purchase and PayPal decide to rule in their favour, then PayPal will try and squeeze the money out of you. If you do not allow the debit (by emptying your PayPal account), PayPal will not pay over the £100 to the buyer, but they'll put your account indo debit by £100 - so it's only on paper - no real money has changed hands in the 'claim'.

3. What really matters on a credit search is County Court Judgements (CCJ's). They would have to go to court and prove that you owe them money. If the court agrees, then you are legally bound to pay up, and then, if you refuse to pay you get Balifffs knocking at your door.

4. PayPal may send you a letter from a debt collection agency. This is purely somebody who tries to get you to pay up. They are not authorized by the court to collect from you. You can dismiss them straight away telling them that you do not owe PayPal anything and that if PayPal want to dispute it then they will have to go to court. End of.

Believe you me, PayPal do not hand over any money to anybody UNLESS and UNTIL they've been given the money. If they did, they'd have MILLIONS outstanding at any one time.

 




kunoichi
New User

From: N/A
Messages: 3
 Can Paypal affect my credit record?
Sent: 06-18-2006 16:16
  Reply



I have a "debt" with Paypal due to a fraudulent chargeback which I am now disputing.

In Paypals terms and conditions, it says somewhere that they will do a search with a credit reference agency if an account is in debt. Since I will refuse to pay the "debt" and assume this will be passed on to their debt recovery agents, will this show on my credit record?

Also, has anyone here actually been taken to court to recover a "debt"?

Advice will be much appreciated!

 






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