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Original poster

DS bought a phone with Paypal

52 replies

LovelyBath77 · 02/05/2017 17:14

I'm not sure how, he doesn't even have a debit card. He's 12. Had a letter from a debt collection for Paypal today asking for £60. I told them his age and they said to send in proof. Obviously I'll speak to him, but what happens now, do I need to pay this? It looks like something he has bid for on Ebay, but not having a method of payment Paypal has somehow paid it? Not sure.

OP posts:
Empireoftheclouds · 02/05/2017 20:24

He must have lied to se tit up in order to get any sort of credit. Min comes through my bank DD not from my debit or credit card but you have to set that up. I'm not sure what comeback you will have as he must have lied

AndNowItIsSeven · 02/05/2017 20:58

He won't have had any credit - the seller posted the phone with no payment received.
The Paypal refunded the seller from PayPal accounts and want their money back.

Empireoftheclouds · 02/05/2017 20:59

Thats credit.

AndNowItIsSeven · 02/05/2017 21:01

No it's not credit , PayPal compensated the seller. They haven't lent the op ds anything.

Empireoftheclouds · 02/05/2017 21:11

PayPal have. The DS now has a negative balance, like an overdraft.

TommyandGina · 02/05/2017 21:14

DS is classed as a minor and as such is not liable for the debt, he is not deemed responsible for opening a credit account.

titchy · 02/05/2017 21:17

It's come out of his bank account - how can he owe PP anything Hmm

FATEdestiny · 02/05/2017 21:19

The phone and all that aside, i would sugfest you put money into into your DS's PayPal account to clear it to a zero balance.

You could go down the route of trying yo get the debit written off, given his age. You probably would succeed in getting this hapoen, given the over 18 requirement to use PayPal.

However...

PayPal are very good and linking accounts and keeping records. Your son will never be able to open a PayPal account since his name and address will match an account showing (a) a minus balance and (b) closed due to fraudulent activity.

Consider your son as an actual adult, when he wants to use PayPal for normal online purchases. Your actions with regards to this payment will affect that. If PayPal matk him as fraudulent, he will struggle to open an account with them in the future.

You may also find your own PayPal accounts flagged too - given you share an address, isp and surname (?).

For this reason, I would suggest you don't cry fraud, unfair, he's too young, I'm not paying. The only fraud here is your son - he has a phone that has not been paid for.

So you pay funds into PayPal and clear the negative balance.

Then withdraw the same amount from h7s bank account to pay you back.

Then bollock him. Big time.

Online fraud is no small matter. It could have significant long term consequences if you are not careful.

Empireoftheclouds · 02/05/2017 21:22

DD is classed as a minor and as such is not liable for the debt, he is not deemed responsible for opening a credit account. that was kind of my point. The OP won't have much comeback because the DS has lied.

Empireoftheclouds · 02/05/2017 21:24

It's come out of his bank account - how can he owe PP anything of course. Please ignore any posts by me, for some reason I picked it up completely wrong

FATEdestiny · 02/05/2017 21:27

titchy. I think she meant the money came from her DS's PayPal account rather than his bank account. Keaving a negative PayPal balance.

Empireoftheclouds - it's not an overdraft or credit. The buyer made a fraudulent payment of £60. The seller sent item worth £60. The £60 never materialised. The sler proved to PayPal that they sent the item as they should have done. So PayPal compensated the seller under the Seller Protection Policy. PayPal are therefore £60 out of pocket and are chasing the buyer for it.

This is neither credit nor an overdraft. It's run-of-the-mill online fraud. Retailers who use PayPal come across it all the time. Sadly.

Empireoftheclouds · 02/05/2017 21:27

i got it wrong, I already acknowledged that fact.

SandyDenny · 02/05/2017 21:30

OP has said her son's account is down £60 so paypal must have taken the money. If the seller doesn't have it paypal need to pay it over.

No one's opened a credit account, that's not relevant as far as I can see.

I don't know if paypal ask your age but my DC have accounts under 18 linked to debit cards

FATEdestiny · 02/05/2017 21:30

Crossed post Empireoftheclouds. Your two posts weren't there as I was typing. Sorry.

SandyDenny · 02/05/2017 21:32

OK, I think I've misunderstood too - OP can you clarify which account is £50 down - the bank account or the paypal account?

Ohyesiam · 02/05/2017 23:18

Sandy it must be the p p account. Or none of this would have happened.

Original poster
LovelyBath77 · 03/05/2017 08:02

Hi it is his Paypal account which is down.

Yes, I know there are debit cards for his age, I deliberately didn;t get him one in case of this sort of thing. His account is with he co-op bank and has a simple cash card- they can withdraw ten pounds at age 11, 20 at age 12, etc to give them more responsibility with time.

I agree he should pay for the phone, it doesn't teach a good lesson to think you can do this and get a free phone. I would get him to return the phone, but it is too late for that now.

He says he bid for it on Ebay and assumed others would bid too, but a high bid amount and didn;t realised how it worked. Well he does now.

I think the best thing to do would be to pay Paypal not the company, and then ring the company and say I have done that.

Oh, and the money will be coming directly from his savings account- his birthday money. I'm not paying for it, he will be.

OP posts:
Empireoftheclouds · 03/05/2017 08:05

What company? If his PayPal account is -£60 then all you need to is deposit £60. I'm not sure what company you need to contact

Ellisandra · 03/05/2017 08:07

Didn't realise how it worked? Hmm

He was able to set up an eBay account, and PayPal, and link his card details. I think he knew exactly how it worked and was happy to spend the money - if he'd had a regular account so the issue with PayPal being unable to draw the money hadn't happened, he'd be happy with his phone that you thought came from his money. Which it did.

RebootYourEngine · 03/05/2017 08:15

I have had this before. I bought something from ebay, thought there was more money in my bank account than there was. I got an email from paypal explaining what had happened. I checked my paypal and my paypal balance was in a negative to that amount so all i did was add funds to my paypal account and that was the end of it.

Original poster
LovelyBath77 · 03/05/2017 09:29

Yes, I do think he thought his card was a debit one and could be used online. So, as it is coming out his other, savings, account it is not a problem as such.

However think it might be useful to highlight children can do this, open a Paypal account with no debit card or means of payment and buy things on Ebay...

I thought that not giving him a debit card would protect against things like this until he is a little older, however that hasn't happened. I think having spoken to him today he will be a little wiser about Ebay / paypal and how they work and bidding etc, we talked about a 'cooling off period' too where you think about it for a while, and how these things are set up to make you want to bid / win etc.

Anyway he's paid in now, so it is sorted, I hope this post may help others, especially those whose children do have bank cards of either type, just to be wary of this kind of thing.

OP posts:
Original poster
LovelyBath77 · 03/05/2017 09:31

Bi didn't realise how it worked, I meant with Ebay- I don;t think he realised that bidding was a final thing- the same as buying something- he didn't realise it couldn't be retracted. If he had spoken to me sooner, we could have probably sorted out contacting the seller for a refund. Anyway all a learning experience I suppose. I think i remember doing something similar with Ebay to start with.

OP posts:
19lottie82 · 04/05/2017 08:28

None of this makes sense.

Bidding on eBay isn't final, the purchase can't be forced through if the seller then doesn't pay. Worse case scenario they get a non payment strike / defect on their eBay account. 100% matter of fact.

PayPal can't just deduct money from a buyers account, it doesn't work like that.

The only way they can take money so when a SELLER sells something on eBay and it doesn't arrive (or buyer claims it doesn't and there is no proof of delivery), or the item is faulty / misdescribed and the buyer opens a dispute with eBay.

19lottie82 · 04/05/2017 08:30

Even if the seller posted the phone without payment, that's their own mistake. PayPal wouldn't get involved and force the cash from the buyers account.

OP, is it possible your son has been SELLING stuff on eBay? Check his account and see what's been going on. That would be a simple explanation for this.

Even his emails from PayPal / eBay should be able to explain what's going on.

HotelEuphoria · 04/05/2017 08:41

DS (23) set up a PayPal account recently, it was a right bloody faff and his card and bank account all had to be verified with £1 debit or credit being made and authorised before it was all set up. Can't remember the details but it was a right royal PIA so I am not sure how a 12 year old with a cash card has got through the net.

I think I would clear the £60 and raise a formal complaint to PayPal as a parent and ask for an investigation as to what happened and how it could be prevented.

Surely if it were this easy fraud would be a doddle.