PayPal & Credit Card Scams

[ausgeoff1946]

This may well have been discussed previously, and most eBayers are probably aware of the scenario anyway, but I thought I'd just let people know of fraudulent activity connected with credit cards linked to PayPal.

Recently I had cause to question an unauthorised transaction (a debit of $553) made to my bank-issued VISA card.  Subsequently, my bank advised me that numerous fraudulent debits were made against the credit card (up to $800+) but which the bank automatically "bounced" on my behalf after successfully investigating the first instance.  I'm located in Australia, and all of the frauds originated in the USA.

As a result, and on the advice of my bank, I cancelled the credit card account, and advised PayPal of the new credit card details (in order to use as a buyer).  PayPal is the only commercial entity I use this particular credit with, so I'm aware that any bogus transactions are originating from PayPal's servers and/or merchants and/or individuals that also have a PayPal account.

Within 24 hours of advising PayPal of my new credit card details, I was flooded with all sorts of advertising spam, once again all originating from the USA.  I use a paid email service, and they all ended up in my TRASH folder, so it was no big deal to get rid of them.

The point being that PayPal's server is obviously not secure (despite what they claim), and anybody utilising PayPal can have their account details, such as credit card numbers, easily compromised.

So... if you have a linked credit card listed with PayPal, ensure that you check every transaction on at least a weekly basis.

Luckily, I don't have a  bank savings (cash) account linked to PayPal, and I'd advise anybody who does to immediately unlink that account, and use only a credit card.  Also check with your bank as to its credit card chargeback facility, and ensure that it's at least operative for 60 days or more.

Hope this helps someone avoid these pernicious PayPal pitfalls.

—G.

[harley_babes_hoard · Accepted solution]

I have a bank account just for ebay sales .Money that goes into paypal from sales is used for my purchases  but surplus is transferred to the account. once in the account it is then transferred to my main accounts of which ebay have no details for.

Never ever have any bank accounts that hold a lot of money attached to ebay or paypal.

[phorum_junkie*]

I would bet good money that it is your computer that is not secure rather than the Paypal servers. Have you run a full, in depth security scan with system restore disabled? You may have fallen foul to a phishing email or one that has downloaded a keylogger months or even years ago. It is also a more likely possibility that the hack has been to your bank account, again as a result of a phishing email. 

[cq_tech]

Is there any such thing as bad money?

[cherry*135 · Accepted solution]

You have never used that credit card to buy anything online (excluding Paypal usage)?

[chrisn5162 · Accepted solution]

"I would bet good money that it is your computer that is not secure rather than the Paypal servers. Have you run a full, in depth security scan with system restore disabled? You may have fallen foul to a phishing email or one that has downloaded a keylogger months or even years ago. It is also a more likely possibility that the hack has been to your bank account, again as a result of a phishing email."

Yes, I would expect hacking...Maybe a keylogger installed....Happened to me one time on a forum I am on..

Someone got all my passwords etc!....Not nice..

A decent malware check and removal would be the go, and of course, change all your passwords..

[raptor_rebooted]

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@phorum_junkie* wrote:

I would bet good money that it is your computer that is not secure rather than the Paypal servers. Have you run a full, in depth security scan with system restore disabled? You may have fallen foul to a phishing email or one that has downloaded a keylogger months or even years ago. It is also a more likely possibility that the hack has been to your bank account, again as a result of a phishing email. 

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good suggestion