PayPal is one of the popular E-Merchant platforms that offer multiple easy money transfers options along with the protection of users’ data. The company also offers to buy and to sell options to people so they can exchange products across the world. It is mainly known for safe and secure payment receiving options. But sometimes, there are some instances when you want to increase the PayPal credit limit to increase the balance in your wallet.
Mainly, sometimes your PayPal account goes into a frozen state and this may restrict you from performing some general transactional activities, including sending money to someone and withdrawing money from your PayPal account. So, if you are thinking about how do I get money out of my PayPal account if it is frozen and how to unfreeze my PayPal account, understand why PayPal has taken this step. PayPal puts the restrictions because of certain reasons. Until you understand and abide by their ideologies, you cannot unfreeze the PayPal account. So, before going further, check out the common methods to increase your PayPal credit limit.
How do I increase My PayPal credit limit?
Given below are some popular tips that might significantly help you to increase your PayPal credit limit:
Frequent account activity
In general, an active PayPal account indicates that you value all the services and other promotions that the company offers. When your account is to be reviewed for the purpose of increasing your credit limit and you have been seemingly active in purchases, especially there is a high chance of availing of promoted offers.
Before your PayPal account credit limit increases, the company checks your account whether it is eligible for completions or not. In order to comply with this, you must have various credible and consistent transactions that make your account eligible for increasing credit limits.
Extensive support and customer feedback
Reaching out to several forums for certain changes and sharing user’s experiences with certain special PayPal services like PayPal premier may increase your chances of increasing your PayPal credit limit. The act to apply for a PayPal credit increase while actively participating in these social discussions is always synergistic in the overall chances!
Pros & Cons of PayPal Credit
Check out the advantages and disadvantages of using PayPal credit:
Pros of PayPal Credit
- Fast & Convenient: PayPal Credit help users to make a purchase as soon as they are approved. Usually, the process completes within seconds. In comparison, you have to wait for about a week or more for a credit card you’ve applied for to come in the mail.
- Will Help You Build Credit: Before October 2019, PayPal Credit was considered a “hidden tradeline” as it didn’t report any of your activity to the credit bureaus. But after that PayPal has reversed this policy, after which PayPal Credit reports every of your payment activity to the big three credit bureaus (Equifax, Experian, and TransUnion).
- Use Anywhere PayPal Is Accepted: This includes several websites along with an increasing number of brick-and-mortar stores as well.
- PayPal Purchase Protection: Whenever your online purchase doesn’t match the description or if it doesn’t arrive, PayPal will refund the full purchase price plus original shipping costs.
Cons of PayPal Credit
- Low Credit Limit: Unlike a traditional use of credit, PayPal Credit limits are comparable to or even lower than most credit card limits, with the majority of users’ limits that vary from just $250 to a few thousand dollars.
- Hard Credit Inquiry: The hard credit pull during the whole application process will likely ding your score several points.
- High APR: While not outside of the range of credit card APRs, you may be able to get a better APR from a traditional credit card, especially if you have excellent credit.
Hope, the above article might have provided you with brief information about PayPal credit: its pros and cons, and how to increase the PayPal credit limit.
Frequently Asked Questions:
Is PayPal Credit a credit card?
PayPal Credit functions just like to a credit card in nearly all respects but isn’t a literal card that you can carry around in your physical wallet. PayPal Credit is a revolving line of credit that allows you to manage any transaction on which you could use your PayPal account.
What’s the difference between PayPal and PayPal Credit?
PayPal Credit is basically a service offered under the PayPal brand in partnership with Synchrony Bank. To use PayPal Credit, you must have a PayPal account. Think of it as an add-on feature to PayPal, i.e., you can use PayPal without any PayPal Credit, but it is not possible to use PayPal Credit without using PayPal.