You may have seen some small and surprising charges pop up from your PayPal account to your credit card and wondered what was going on. Why did someone charge a dollar to your account that now appears in your PayPal transaction history?
It may look like a scam (and none of us want to be even more stressed about our finances). Or perhaps you might be worried that someone has accessed your account information. But you probably don’t have to be concerned.
So what is going on here? This is what you need to know about those dollar charges.
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That dollar amount in your PayPal account
PayPal can be a great asset for things like online payments and other transactions. Perhaps you use it to send money to friends and family. The PayPal Pay with Rewards program even lets you use credit card rewards to shop online.
However, when you add a credit or debit card to your PayPal account, you might notice a charge to your credit card for a small amount of money that shows up in your account PayPal transaction history. But why?
When you add or change a credit or debit card within your PayPal account, the company checks to make sure the new card works for your account. That means PayPal may make a temporary charge to the card for up to a dollar in order to verify that the card works and is in good standing.
And yes, it could be “a temporary charge of up to $1,” according to the company’s website. In other words, it might be a dollar, but you could…
