Victim of PayPal Scam/Fraud

[TripleDigitRide]

Thursday, I received 12 email from PayPal, 6 informing me that I have paid 'Skype' $10 (total of $60) using my PayPal account and 6 more emails informaing me that my account has been refunded. All emails were sent within a 30 minute period.

From what I've been able to gather, someone was able to access my PayPal account and use my account and routing numbers to make payments to Skype. How they've done this, I have no clue.

As soon as I got off the phone with PayPal (Thursday morning), I contacted my bank, but they were not seeing any such transaction. I checked again this morning, and sure enough, all 6 $10 charges had hit my account. Now I have to wait 3-4 before PayPal actually credits the $60 back to my bank account.

I have to go through the process of closing one bank account and open another. What a pain in the ass this is. Switching the account isn't the biggest pain, though. Now I have to contact everyone to switch over the information for direct deposits and automatic withdrawls.

Now, to decide what I'm going to do about PayPal. Do I need to get rid of it, or can I make some changes to make my information more secure? I don't use it all that often, but it does come in handy when i need it. I usually only use it when I'm buying something on ebay, and I have it set up to pay my monthly "Benefactor" fee for TGO.

Oh well, I had nothing better to worry about today.

[Guest c.a.s.]

All I can think of is indeed, changing your account and you could possibly change the email address registered to the paypal account (plenty of free ones around). And, of course, changing the password.

Do you use Firefox? It has a password generator addon that makes very secure passwords. I'll generate one now.

6n3zrg0q

Like that. You can change the settings on what is included in the password.

[TGO David]

Be sure to use the one that CAS just provided!

[BryanP]

I use Paypal occasionally, but I have never done the "verified" thing that requires you tie your Paypal account to your bank account. It hits one thing only: the credit card that I use for online purposes.

They bug you about getting verified and point out there is a limit on lifetime expenditures. They've bumped that limit up several times over the years. Right now I think it's $10,000.

[DRM]

Why are you closing your bank account?

I had $1600 fraudulently taken from my bank account through PayPal about a year ago. It took about 3 days to get it back, but the people never had access to my bank - they just hacked into my PayPal account.

[DRM]

Do you use Firefox? It has a password generator addon that makes very secure passwords. I'll generate one now.

6n3zrg0q

Like that. You can change the settings on what is included in the password.

Hi-jack... but how do you remember those randomly generated passwords?

[TripleDigitRide]

Why are you closing your bank account?

I had $1600 fraudulently taken from my bank account through PayPal about a year ago. It took about 3 days to get it back, but the people never had access to my bank - they just hacked into my PayPal account.

I'm changing bank accounts, because I was told that whoever did this was using my bank account number and my bank account routing number. I have always kept a zero balance in my PayPal account, so it's not like they took it from there. I just wanted to be safe.

[TripleDigitRide]

All I can think of is indeed, changing your account and you could possibly change the email address registered to the paypal account (plenty of free ones around). And, of course, changing the password.

Do you use Firefox? It has a password generator addon that makes very secure passwords. I'll generate one now.

6n3zrg0q

Like that. You can change the settings on what is included in the password.

Yea, all of my passwords consist of letters, numbers, and symbols where available.

[Mike.357]

but how do you remember those randomly generated passwords?

I use the tried and true method of writing them on a post it note

[TGO David]

I'm changing bank accounts, because I was told that whoever did this was using my bank account number and my bank account routing number. I have always kept a zero balance in my PayPal account, so it's not like they took it from there. I just wanted to be safe.

Your routing # is the same routing # as anyone else who uses your bank. The routing # is specific to the bank, not to your account.

[TripleDigitRide]

Your routing # is the same routing # as anyone else who uses your bank. The routing # is specific to the bank, not to your account.

Yea, that's how I understood it.

[Guest c.a.s.]

I use the tried and true method of writing them on a post it note

So do I, but my sticky notes are actually on the desktop! Windows Sidebar Widgets FTW.

[TGO David]

So do I, but my sticky notes are actually on the desktop! Windows Sidebar Widgets FTW.

[DRM]

I'm changing bank accounts, because I was told that whoever did this was using my bank account number and my bank account routing number. I have always kept a zero balance in my PayPal account, so it's not like they took it from there. I just wanted to be safe.

If the funding request came through payPal - your bank account is safe as soon as you "disconnect" it from the Paypal account.

[TripleDigitRide]

If the funding request came through payPal - your bank account is safe as soon as you "disconnect" it from the Paypal account.

As I said, I'm not a big time PayPaler, so is there a way to use PayPal without having your bank account tied into it?

[DRM]

As I said, I'm not a big time PayPaler, so is there a way to use PayPal without having your bank account tied into it?

I think so - but I have had a Business account with PayPal for longer than I can remember, so I'm not sure how it's done.

One recommendation would be to have a dedicate d"play fund" checking account that is tied to the PayPal account. That way at worst - you're out the "play money" for a few days to get this straightened out, instead of your working household account.

[DaveTN]

As I said, I'm not a big time PayPaler, so is there a way to use PayPal without having your bank account tied into it?

I wanted to do that also. It’s my understanding that you can use a credit card, but then it takes about 10-14 days to get any money received because they have to mail you a check.

I haven’t got around to doing it yet, but I should. PayPal is not secure (IMO), just too many horror stories.

[TripleDigitRide]

I think so - but I have had a Business account with PayPal for longer than I can remember, so I'm not sure how it's done.

One recommendation would be to have a dedicate d"play fund" checking account that is tied to the PayPal account. That way at worst - you're out the "play money" for a few days to get this straightened out, instead of your working household account.

I've thought of that, and it seems to be the best solution that I've come up with.

[Daniel]

I use Paypal occasionally, but I have never done the "verified" thing that requires you tie your Paypal account to your bank account. It hits one thing only: the credit card that I use for online purposes.

They bug you about getting verified and point out there is a limit on lifetime expenditures. They've bumped that limit up several times over the years. Right now I think it's $10,000.

thats how i do it. ive never verified and i use it for paying for things. i have never been paid through paypal though.

[Oh Shoot]

Thursday, I received 12 email from PayPal, 6 informing me that I have paid 'Skype'...

Hmmm...there is something in the wind here re PayPal/eBay/Skype.

You are not alone, Google for "PayPal Skype Scam"

You know, PayPal (or eBay) owns Skype now.

I doubt if your bank account was ever at risk..I haven't read up on all of it yet, but I'm guessing internal data glitch of some sort...

- OS

[TripleDigitRide]

Hmmm...there is something in the wind here re PayPal/eBay/Skype.

You are not alone, Google for "PayPal Skype Scam"

You know, PayPal (or eBay) owns Skype now.

I doubt if your bank account was ever at risk..I haven't read up on all of it yet, but I'm guessing internal data glitch of some sort...

- OS

Interesting. Thanks.

It looks like there's a couple different variations to the same scam. Some people are Skype customers, and some are not. I've never been a Skype customer.

[Oh Shoot]

Interesting. Thanks.

It looks like there's a couple different variations to the same scam. Some people are Skype customers, and some are not. I've never been a Skype customer.

Looks like a failed scam or something.

I mean, what individual could benefit?

- OS

[Guest Jason F.]

Paypal will also issue you a debit card tied to your paypal account alone. You can withdraw funds from your paypal account at an ATM with your PIN number. No need to wait for a check to be cut and mailed if you get a payment to PayPal. You can not withdraw any more money from the card than is in the account. In other words you can not access your bank account via the Paypal debit card.

There was no need to change bank accounts as someone else stated but if you have done so there can certainly be no harm other than your frustration and time spent.

[BryanP]

As I said, I'm not a big time PayPaler, so is there a way to use PayPal without having your bank account tied into it?

Yes. You have an "unverified" account like mine. They bug you about verifying it, and there is a ceiling on total transfers, which last I checked was $10,000. Mine is tied to a credit card that I use for one thing only: online transactions. It has no ties to my bank account.

Some people don't like to do business with people who use unverified paypal accounts. If that is the case I buy from someone else.

[DRM]

I've thought of that, and it seems to be the best solution that I've come up with.

It's what I do. And to be honest - keeping all my "play money" in one account not only has that safety benefit to limit your exposure, but it also makes it easier to keep "fun" purchases accounted for and nice and clean when you sell something.

Shoot - I suggest everyone to use this method if you have a hobby you regularly buy, sell, and trade goods in...