Warning: PayPal To Charge a £12 Inactivity Fee - How To Avoid It
PayPal decided to introduce an annual fee of up to £12 for users whose accounts have been inactive for a year or more. You can however avoid this fee by simply logging into your account before the deadline of the 16th of December 2020.
PayPal defines "inactive" as an account where for at least 12 consecutive months the user hasn't sent, received or withdrawn money, or logged into their account.
If your account has been inactive for 12 consecutive months or more, PayPal will deduct up until the amount of £12 or whatever lesser amount is available in your PayPal account. The great news however is that PayPal will not deduct any money from your account if you have a zero balance or a negative balance (even if you have a credit or debit card linked to the account).
How Can I Avoid The Fee?
You can avoid the PayPal fee by simply logging into your account on or before the 15th of December 2020. PayPal states that it has no plans to close inactive accounts that does not have any balances.
PayPal also states that it will warn inactive customers they may need to pay a fee by sending them notifications of such intentions 60 days, 30 days and then seven days before the fee is set to be charged.
Are These Fees Applicable Worldwide?
The inactivity fee applies to users registered in the United Kingdom, Bulgaria, Cyprus, Czech Republic, Estonia, Gibraltar, Greece, Guernsey, Hungary, Ireland, Isle of Man, Jersey, Latvia, Liechtenstein, Lithuania, Malta, Romania, San Marino, Slovakia and Slovenia.
However, do not be complacent, as you never know when PayPal may add more countries to the list.
Recent Comments
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Snap, I just read about this a short time ago Schalk. They are supposed to inform you though, 60, 30 and then 7 days before the fee is due. Not that I have had any notifications from an old account.
I could not have imagined that this will only be applicable to certain countries at the time of writing, but it is. Please see the update in the post to see if your country is affected.
Do not be complacent though, as you never know when PayPal may add more countries to the list.
Yes indeed it does. This is what it states in this article
The inactivity fee applies to users registered in the United Kingdom, Bulgaria, Cyprus, Czech Republic, Estonia, Gibraltar, Greece, Guernsey, Hungary, Ireland, Isle of Man, Jersey, Latvia, Liechtenstein, Lithuania, Malta, Romania, San Marino, Slovakia, Slovenia.
I could not have imagined that this will only be applicable to certain countries at the time of writing, but it is. Please see the update in the post to see if your country is affected.
Do not be complacent though, as you never know when PayPal may add more countries to the list.
Thanks for the info!
I just logged into my PayPal account. Do I have to do this each year to avoid the fee if I do not have any activity?
If you are inactive on PayPal, then yes. If you have a zero balance then it does not really matter I guess. You may have to set for yourself an alarm on your phone or write it down in your diary. However, seems PayPal will send you reminders well in advance. But yes, to answer your question. If you are inactive for more than 12 consecutive months the deductions comes into play.
I could not have imagined that this will only be applicable to certain countries at the time of writing, but it is. Please see the update in the post to see if your country is affected.
Do not be complacent though, as you never know when PayPal may add more countries to the list.
Useful info Schalk!!; Thank you!
Must look at my emails from them wonder when they will inform or are they waiting until after the cutoff date!! lols
R
Apparently, they are supposed to email you 60, 30 and then 7 days before to let you know the fee is due Rami.
They won't charge you if there is no balance though, so they say, even though you have a credit or debit card linked to the account.
Every day is amazing Rami..... well most are. Occasionally life has a hiccup but luckily it soon passes, lol.
I hope your day wa also brilliant Rami.
Thank you Linda,
Apart from not having a minute to myself all good my lady!!;
Thank you!
I could not have imagined that this will only be applicable to certain countries at the time of writing, but it is. Please see the update in the post to see if your country is affected.
Do not be complacent though, as you never know when PayPal may add more countries to the list.
Oh! so it's not only a fine but a selective one!! haha
Thanks for the update Schalk!!;
R
Lol something like that 🤣 Not sure why I am getting punished in the UK and USA citizens don't lol.
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I used to have a paypal account from about, oh let's see.....at least ten years ago. Haven't used it since and tried to close my account just recently cuz of an email I received saying I was going to be charged for something. How is that possible when I haven't even used my account for at least ten years!
They would not close it without the bank info that I used back then, and it's been inactive for years, not to mention I couldn't even remember what bank it was.
They also had my old phone number that was inactive and wouldn't let me change or even log into my account to close it!
I wonder why they won't just let me close my account!
I want it closed so that I can open a new one with my business but they just keep giving me the run around.
Pains in my ass!!!!
Anyway, thanks for the info. It is helpful to know. I may call them back and try again.
Angela
Tell me about it. I had massive hassles with them holding back my money and told them that the information they provide in regards to money holds on digital products sold is simply bogus information. I will do another PayPal post soon to explain exactly what happened plus PayPal after a long struggle acknowledging that they will investigate their system regarding the selling of digital products.