Protocol around "PADS" (Pre-Authorized Debits)

[ErinD]

I'm new to paypal. I confirmed my bank account today. I'm just a bit wary of agreeing to the terms and conditions for allowing Paypal to do 'PADS" (pre-authorized debits)...Will a PAD only be done if I initiate it, i.e. if I want to make a purchase, or will paypal sporadically take money out of my bank account to ensure I have money available for future purchases in my paypal account? 

The wording on the terms and agreements section is just a bit unclear to me.

Thanks.

Erin D

[PayPal_Adrian]

Welcome to the boards!

PayPal will only debit your bank when you request a transfer - whether it is for a payment you authorized or because you used the Add Funds feature to move money into your PayPal balance (which isn't necessary to complete a payment).  Randomly pulling funds from your bank account every so often will not happen. 

Thanks!

Adrian

[sugarbear187]

" which isn't necessary to complete a payment "

Thats **bleep**. I added and confirmed my bank account. was on ebay and went to pay for an item that was $2.45 and i was told i did not have the funds to pay for it! I started a transfer FROM my bank account on the 16th of dec. The money came out of my bank account on the 20th.... and today.. the 22th.... the money is no where to be found! You should not lie to people mr paypal admin!!!!

[PayPal_Olivia]

Hi sugarbear187,

I'd be happy to clarify for you. The neat tip that Adrian was sharing is that it is not actually necessary to initiate an add funds as a separate process from making a transaction with a seller.

When you go through checkout or pay an invoice or send funds, if you select to use your bank account, the request for funds from your bank is automatically followed up by the sending of the funds to the seller, without any further action by you. Further, when you have a credit card on file as a backup funding source, we'll even pay your seller up front for you while we wait for the funds to fully clear from the bank (a process that takes 5-7 business days).

To clarify on the time frame of the transaction you're currently in - if you initiated the transfer on the 16th, that means that the funds should be expected to clear somewhere between December 23rd and December 27. Bear in mind that the increased traffic in addition to decreased staffing at most banks during the holiday season may potentially prolong processing times.

I hope this helps!

Olivia