What would have happened if PayPal sent this to collection..

[b_t]

I sent a guy payment for an item on PayPal, and then PayPal accidentally refunded me the money somehow. So I had a payment to PayPal and then a deposit from PayPal showing on my balance in the same day.. they weren't supposed to do that, and it took them a week to figure it out.

So then my PayPal account had a balance of -$2,100. I was really tempted to just leave it alone and let them try and get the money, but that was asking for trouble so I just squared it away today. It sounds like they send you e-mails for 6 months and then they send the debt to a collections agency.

In the States it is pretty easy to dispute those kinds of debts and you can get them removed without many problems, but I don't know what happens in Canada. If you have a collection out on you for $2,100, how does that affect your credit score and how long does it stay there? Is it as easy to get a collector off your back in Canada as it apparently is in the states?

...reason I'm asking is its not too late to block the payment :rofl:

[Carlton]

They send it to collections that is all. You'll get some phone calls, letters, etc. The same thing happened to me. I didn't bother paying it. As far as it going on your credit report, it will barely do anything. I still bought my car shortly after with no issues...

[gqmw]

I had something like that, I was planning to pay for an item using my bank account because I had reached my credit limit for that month.
However, I wasn't paying attention and the credit card was set as primary source as well as secondary source of payment. :banghead:
So as a result, it bounced and I had negative.
I then got countless messages and letters/phone calls from the collection agency when it was not paid within 90 days.

I know I paid it off...but I'm not sure what would happen if I didn't.

[b_t]

I'm going to let it go through just because I want to buy a house soon and don't have a very long credit history. Getting a black mark on it right now would suck.. although it would have been nice to rip PayPal for $2100.

[spikerS]

Originally posted by b_t
I'm going to let it go through just because I want to buy a house soon and don't have a very long credit history. Getting a black mark on it right now would suck.. although it would have been nice to rip PayPal for $2100.


Because we all hate scammers and people with low moral standards.

[szw]

how is it easy to get it removed in the states?

[b_t]

Originally posted by spikers



Because we all hate scammers and people with low moral standards.

:dunno: I didn't scam anyone. PayPal had an error on their end that refunded the money to me, and they asked for their money back. Or I guess more demanded because of their draconian terms of service. I had the option of refusing.

You didn't hear the news? http://www.paypalsucks.com/

[b_t]

Originally posted by szw
how is it easy to get it removed in the states?

Just going off some things I read on the Internet, the laws governing debt collectors in the States are very strict and most of them violate the laws in an attempt to bully people into paying up. So you send them a letter in registered mail citing all this stuff, and as soon as it shows up, they give up because to follow the due process would cost them so much in time it becomes unprofitable to try and get the money back.
Of course, that probably becomes less likely to work as the dollar amount increases