PayPal’s Over Billing Response: Some Good News But Still Some Worrisome Issues


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PayPal's Response to Overbilling

PayPal’s Response to Over-billing

I wrote an article two weeks ago where I claimed PayPal overcharged me when doing a combo payment (PayPal balance and credit card).  They billed me a credit card fee for the full amount, not just the part paid with a credit card.  I tweeted them a copy of my article without really expecting a response.  They ended up contacting me via a message in my PayPal account.

PayPal Contacts me via PayPal Messages

The PayPal rep attempted to call me prior to sending the message which I thought was impressive. Here is a copy of the message sent:

PayPal's Response to Over-billing


I was surprised by this.  It did explain why I randomly had an 82 cent balance in my PayPal account earlier in the day. I did not expect PayPal to credit the full fee…I was perfectly fine paying for what I should have been charged.  The response essentially stating – that is how it is written in our terms – did not sit well with me though.  I sent them a response a few hours after receiving the message.

My Response

Here is a copy of how I responded.

PayPal's Response to Over-billing

I was very curious how they would respond to this.  I was not even sure if they would but they did a few days later.

PayPal’s Second Response

PayPal's Response to Overbilling

This seemed like a well thought out response to me.  They acknowledge the issue and accepted some responsibility for it.  Will they follow through on it is the question.


PayPal had an adequate response to my issue.  They contacted me after seeing my tweet, they credited the full amount, and they acknowledged the issue.  While it worked out for me what about the people that this affects and they don’t even know it?  It makes me cringe to think about some of the larger over-billings that have happened.  Even if PayPal’s terms say they can bill this way it does not seem customer friendly or honest.

I do appreciate that PayPal says they are working on it though and are aware of the issue.  Is their response smoke screen or an honest response? It looks like we will just have to take a wait and see approach. I hope they are able to make the adjustment sooner rather than later. I would recommend transferring all PayPal balance out before making a payment or doing two separate payments until that day comes, if it ever does.

What do you think of PayPal’s response?  Do you think they will make the necessary changes?  Let us know in the comments!

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  1. This is perfect for a Class Action. They admit they are defrauding customers by overcharging and probably affects tens/hundreds of thousands of customers.


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